HousingWire: More accurate AVMs will help lower HELOC origination costs
Mar 29, 2018
Veros Real Estate Solutions is announcing today that it entered into a new partnership with Valligent.
Veros is a leading developer of enterprise risk management services and provides collateral valuations as well as forward-looking data. As a supporter of LendingLife, Veros agreed to give us a first look at its latest partnership they say will lower costs for mortgage lenders, by taking some of the legwork out of valuations.
Being officially announced later today, Veros is teaming up with Valligent, a known innovator in non-traditional appraisals.
The partnership basically integrates the two companies valuation services into a single “next generation” Automated Valuation Model.
This partnership is especially meant to benefit home equity lenders, as HELOC market share is on the rise as more people stay put and remodel.
“This is much more than a one-stop service that covers valuation reports for the full spectrum of home equity lending needs,” said Jeremy McCarty, Valligent CEO and chief valuation strategist. “It’s also a way for lenders to ensure that their valuation processes are fully compliant with all of the related regulations.
“Independent testing shows that, while 70% to 80% of property valuations are best handled by AVMs, the balance require hands-on analysis through an alternative, such as a desktop, drive-by, or traditional appraisal,” according to Veros. [Read more]