With the problems that the HVCC has caused in the real estate industry, such as unqualified appraisers killing deals because of complete unfamiliarity with local markets, or simply because of an overall lack of appraisal experience, FHA Commissioner David Stevens recently stated that FHA has no plans to implement HVCC for FHA loans.

This action may help avoid some of the issues caused by out-of-market appraisers killing deals from not knowing the local markets or recognizing the values of specific areas or neighborhoods.

Realtors, mortgage brokers and the home-buying public should take this as very good news.  For an interesting take on this, click here

The bottom line, and it appears to be very good news for now, is that the FHA will not implement the HVCC for FHA loans, at least for the immediate future.