The GAD Top Three | March 13th, 2023
NAR Defends Home Equity Interests Before the Supreme Court, NAR Supports New Reduction of MIPs, NAR Comments on Appraisal Bias Hearing
This week, all politics are federal with some of the most notable real estate industry updates coming from the efforts made by the National Association of REALTORS to defend homeowners’ rights to equity, increased affordability through a reduction of annual mortgage insurance premiums, and commitment to fair housing practices in response to a federal appraisal bias hearing.
1. NAR Defends Home Equity Interests Before the Supreme Court
On March 6, NAR filed an amicus brief in a case pending before the Supreme Court of the United States in Tyler v. Hennepein County, a case involving a Minnesota statute that allows the government to seize a homeowner’s property to satisfy a government debt and keep any surplus from the sale in excess of the debt owed as a windfall. NAR, along with the American Property Owners Alliance and the Minnesota REALTORS®, filed the amicus brief in support of the property owner’s entitlement to the surplus equity, arguing the state statute effectuates an unconstitutional taking of private property under the Fifth Amendment. NAR urges the Supreme Court to reject the Eighth Circuit’s decision and the problematic state foreclosure statute in favor of upholding constitutionally protected private property rights. View more information here and the brief here.
2. NAR Supports Newly Announced Reduction of MIPs
National Association of Realtors® President Kenny Parcell issued a statement in response to the announcement made late last month by Vice President Kamala Harris and HUD Secretary Marcia Fudge to reduce mortgage insurance premiums (MIPs) by 30 basis points. The Federal Housing Administration (FHA) projects that this reduction of annual mortgage insurance premiums will save buyers with FHA mortgages an average of $800 in their first year of homeownership. View the full release here.
3. NAR Comments on Appraisal Bias Hearing
NAR submitted comments to the Appraisal Subcommittee in response to its hearing on appraisal bias on January 25th, 2023. The letter outlines NAR's commitment to fair housing and efforts to confront racial bias and discrimination in real estate. It discusses NAR's work to recruit diversity into the appraisal profession, to improve the reconsideration of the value process, to require fair housing education among appraisers, NAR's own code of ethics specific to appraiser-members, and NAR's support of legislation that would provide funding for more impactful enforcement and testing activity. View the comments here.