In July, 2024, HUD announced that it has charged an appraiser, appraisal management company, and lender with race discrimination for issuing a biased appraisal and then denying a refinance loan application in Denver, Colorado. HUD’s Charge alleges that the appraiser issued a discriminatory appraisal that undervalued a Black homeowner’s property, located in a predominantly white neighborhood, on the basis of her race.
The Charge alleges that the appraisal of the duplex was insupportably low, and was rife with inaccuracies and unsupportable methodological choices. The Charge further alleges that, when the homeowner complained to Rocket Mortgage, Rocket Mortgage failed to correct several red flags in the appraisal report and would only proceed with her refinance loan application based on the appraised value that she alleged was discriminatory.
Click here to read the full press release and charge of discrimination.
More from this Newsletter Issue: September 2024
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