Mortgage originators and secondary
market issuers that engage in credit decisions or covered securitization
determinations themselves, or through or in cooperation with a third-party
or affiliate, must adopt and maintain policies, practices, procedures,
and control systems to ensure that automated valuation models used
in these transactions adhere to quality control standards designed
to:
(a) Ensure a high level of confidence in the
estimates produced;
(b) Protect against the manipulation
of data;
(c) Seek to avoid conflicts of interest;
(d) Require random sample testing and reviews; and
(e) Comply with applicable nondiscrimination laws.
