RHS Proposes that Lenders be Required to Order Liquidation Value Appraisals
In order to reduce costs and increase the speed of the loss claim process, The Rural Housing Service (RHS) intends to amend rules for the Single Family Housing Guaranteed Loan Program (SFHGLP). As a result of the amendment, when a Real Estate Owned property (REO) remains unsold by a lender, the lender would be required to order a liquidation value appraisal. Associated costs would be included in liquidation costs. [10/6/15]