What do Mark and Jeff think will happen in 2025 real estate? Are appraisal waivers distorting market pricing? What do industry leaders like Matt Ishbia and Jeff Bezos think about change and disruption? How is artificial intelligence more like electricity than the internet?

Mark and Jeff welcome Freddie Mac's Senior Director of Single Family Valuation, Danny Wiley, to round out the perspective on appraisal waivers from one of the enterprises actually using them. Recently, Freddie Mac published a study comparing appraisal vs. appraisal waiver loan defaults, which is a big topic in this episode. What do appraisal users think about appraisals? Do they want to eliminate appraisers? How can appraisers outcompete the algorithm?

Can the real estate market get any worse in 2025 or is there reason for hope? Mark and Jeff digest a number of data points that give insight into expectation for mortgage rates, housing affordability, and buyer sentiment. What is coming in 2025?

Mark and Jeff talk about hard mode challenges for ibuyer real estate companies and market participants as a whole. Will interest rates stay higher longer? Is home price devaluation the answer to our interest rate problem? Is the Argentina experiment of radical reductions in government spending making its way to the United States with DOGE? Can it offset inflationary polices of tariffs and tax cuts? There's so much to discuss, so let's get started.

Jeff and Mark sit down with Ed Pinto, Co-Director of the American Enterprise Institute's Housing Center, to talk about Fannie Mae, Freddie Mac, and appraisal waivers. They explore how the waiver system could be "gamed" during loan applications. Pinto also shares the history of the GSEs, including their time under conservatorship, and makes a bold prediction as President-Elect Trump prepares to take office in January 2025.

Mark and Jeff respond to the FHFA announcement that they are expanding appraisal waivers from 80% LTV to 90% LTV loans, and inspection-based waivers up to 97% LTV loans. Who are the winners and losers? Why would FHFA take on this added risk, or is it even an added risk? The duo focuses on some good news on PCE inflation hot off the press, as well.

FHFA Announcement https://www.fhfa.gov/news/news-release/fhfa-announces-updates-to-enterprise-policie[…]raisals-loan-repurchase-alternatives-and-pricing-notifications

Appraisal Institute Response https://www.linkedin.com/posts/appraisal-institute_public-announcement-from-appraisal[…]275378302976-LPZ_?utm_source=share&utm_medium=member_desktop

With the election just around the corner, Mark and Jeff welcome Scott DiBiasio, Director of Government Affairs at the Appraisal Institute, to compare Harris and Trump's unique policy positions on housing, residential mortgage, and appraisal. Elections bring uncertainty. If you're affected by the real estate market, tune in for clarity before heading to the polls.

Home prices are up...WAY up...what does that mean for the outlook of the market? Is this a massive housing bubble? Mark and Jeff look at current home prices compared to the last housing bubble, interest rates, and income levels, to determine just how unaffordable housing is. The conclusion isn't what they expected.

Mark and Jeff host guest author Jim Amorin (The Generative Shift) in a wide-ranging, informative conversation about Artificial Intelligence (AI). What is AI? What are Large Language Models (LLMs)? Is this the beginning of the end for appraisers? What other deep impacts in society and business will AI have? Plus, witness the amazing insights that can be gained in seconds as you watch a "live prompt" of a residential data analysis in Chat GPT-4o.

Mark and Jeff assess the residential real estate marketplace post initial federal interest rate cuts, discussing builder sentiment and overall U.S. economic health. The two then take a deep dive into the numerous recent major GSE (Fannie Mae and Freddie Mac) initiatives and how they, in their current state, make it difficult for boots-on-the-ground participants. From hybrids, desktops, and ANSI measuring standards to reconsideration of value, they cover it all.