Reggora recently announced the addition of a repurchase and loan-level price adjustment (LLPA) warranty to its appraisal review solution, Reggora Appraisal Review.

When an appraisal passes Reggora’s automated technology review, the company now covers any financial loss associated with a repurchase or LLPA adjustment due to an appraisal defect, according to a release.

Reggora said itis the first company within the mortgage industry to provide a repurchase warranty on the results of its appraisal review technology.

Approximately 70 percent of a mortgage lender’s appraisals are eligible for the warranty, allowing a lender to eliminate manual underwriting review on the majority of appraisals and maintain no financial liability, the company stated. This allows mortgage lenders to significantly reduce underwriting costs, close the eligible loans faster, and eliminate financial losses associated with these repurchases and adjustments.

Removing the need for manual underwriting review on most of a lender’s appraisals also allows its underwriting team to focus more heavily on the remaining appraisals, potentially further reducing repurchase risk.

“As the mortgage industry prepares for volume to increase, we wanted to help lenders handle that volume much more efficiently,” Reggora CEO Brian Zitin said in the release. “Eliminating the need to manually underwrite the vast majority of appraisals goes well beyond a technology improvement and truly allows lenders to close loans faster at a lower cost.”