On January 1, 2010 FHA is going with a modified HVCC version. It is supposed to be slightly more flexible than the conventional loan version but it appears that when all is said and done, lenders will toss their FHA appraisals with the conventional and send them to appraisal management companies. Appraisal management companies will use the cheapest, often least qualified appraiser who can turn the appraisal in quickly with minimal research. We have several months to try and fight it. Let your representatives know how you feel, sign petitions and let the NAR work on behalf of our industry. Complaining after the fact will not help.

The way I read FHA's version of HVCC the appraisal may be ordered by any person who is not receiving a commission.  In other words any employee who is not directly compensated for the appraisal or loan may order it.  Every lending institution will just need an hourly employee to do absolutely nothing but send out appraisal requests.  This to me does not sound half as bad as HVCC.  At the very least FHA did not give in to a guy from NY who wants to dictate the way the rest of the country does loans.  Please correct me if I am wrong.  The new streamline rules are another story.