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HJRES 49

Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Federal Deposit Insurance Corporation relating to "Quality Control Standards for Automated Valuation Models".

119th Congress Introduced by Andrew Clyde

Summary of HJRES 49: Disapproval of FDIC Rule on Automated Valuation Models OverviewThis House Joint Resolution (HJRES 49) would provide for Congressional disapproval of a rule sub

Introduced in House
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Bill Summary · HJRES 49

Summary of HJRES 49: Disapproval of FDIC Rule on Automated Valuation Models

Overview

This House Joint Resolution (HJRES 49) would provide for Congressional disapproval of a rule submitted by the Federal Deposit Insurance Corporation (FDIC) relating to "Quality Control Standards for Automated Valuation Models". The resolution was introduced in the House on February 12, 2025.

Purpose and Intent

The purpose of this resolution is to prevent the FDIC's proposed rule on automated valuation models (AVMs) from taking effect. AVMs are computer programs used to estimate the value of real estate properties. The FDIC had drafted new regulations to establish quality control standards for the development and use of these valuation models.

This resolution would invoke the Congressional Review Act to essentially "veto" the FDIC's rule before it can be implemented. The sponsors argue that the FDIC's proposed standards are overly burdensome and could limit the use of efficient, innovative AVM technologies.

Key Provisions

  • Declares that the FDIC rule on "Quality Control Standards for Automated Valuation Models" shall have no force or effect.
  • Prohibits the FDIC from reissuing the rule in substantially the same form without explicit Congressional authorization.
  • Requires the FDIC to submit a new rule, subject to the full notice-and-comment rulemaking process, if it wishes to regulate AVMs in the future.

Potential Impact

If passed, this resolution would block the FDIC's new regulations on automated valuation models from taking effect. This would allow mortgage lenders, appraisers, and others to continue using AVMs without having to comply with the FDIC's proposed quality control requirements.

Proponents argue this would preserve lender access to cost-effective valuation tools and promote technological innovation. Critics counter that it would reduce safeguards against inaccurate or biased property valuations, which could pose risks to consumers and the broader housing market.

The outcome of this resolution could have significant implications for the residential real estate industry and how property values are assessed going forward.

Compiled from official sources — confirm details with the bill’s official record.

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