ALTISOURCE RESIDENTIAL CORPORATION (NYSE:RESI) Files An 8-K Changes in Registrant’s Certifying Accountant

to the approval of the Audit Committee of the Board of Directors
(the Audit Committee), on May 19, 2017, Altisource Residential
Corporation (RESI or the Company) dismissed Deloitte Touche LLP
(Deloitte) as the Companys independent registered public accounting
firm, and engaged Ernst Young LLP (EY) as the Companys independent
registered public accounting firm for the fiscal year ending
December 31, 2017. The decision to dismiss Deloitte and engage EY
was made as a result of a competitive bidding process to determine
the Companys independent registered public accounting firm for the
fiscal year ending December 31, 2017.

Deloitte’s reports on the consolidated financial statements of the
Company as of and for years ended December 31, 2016 and December
31, 2015 did not contain any adverse opinion or a disclaimer of
opinion, nor were they qualified or modified as to uncertainty,
audit scope or accounting principles. During the Companys fiscal
years ended December 31, 2016 and December 31, 2015 and the
subsequent interim period from January 1, 2017 through May 19,
2017, there were no disagreements with Deloitte on any matter of
accounting principles or practices, financial statement disclosures
or auditing scope or procedures that, if not resolved to Deloittes
satisfaction, would have caused Deloitte to make reference to the
subject matter of the disagreement in connection with its reports.
During the fiscal year ended December 31, 2016 and the subsequent
interim period from January 1, 2017 through May 19, 2017, there
were no reportable events as defined in Item 304(a)(1)(v) of
Regulation S-K.

During the Companys fiscal year ended December 31, 2015, there was
one reportable event as defined in Item 304(a)(1)(v) of Regulation
S-K, which is described below.

As previously disclosed in the Companys Annual Report on Form
10-K for the fiscal year ended December 31, 2015, subsequent to
the filing of the Companys Form 10-K for the year ended December
31, 2014, the Public Company Accounting Oversight Board conducted
an inspection of Deloittes audit of the 2014 consolidated
financial statements and internal control over financial
reporting of Altisource Asset Management Corporation (AAMC),
which is the Companys asset manager. AAMC had previously
consolidated the financial results of the Company through the
fiscal year ended December 31, 2015. Following this inspection,
during the fourth quarter of 2015, Deloitte requested a
re-evaluation of certain internal controls. In re-evaluating
these controls, management identified two control deficiencies in
internal control over financial reporting and determined that
these deficiencies were material weaknesses at December 31, 2014.
The material weaknesses were related to the design of 1) the
review of the broker price opinions used to record real estate
owned and real estate assets held for sale, including monitoring
the internal controls that are in place at the vendors utilized
by the Company to provide fair value information for individual
properties and 2) the review of the assumptions used to determine
the fair value of mortgage loans. These material weaknesses had
no impact on the Companys financial position, results of
operations or cash flows as of and for the year ended December
31, 2014. As of December 31, 2015, the Company had remediated the
material weakness relating to the review of the broker price
opinions used to record real estate owned and real estate assets
held for sale. The second material weakness related to the review
of assumptions, including consideration of market transactions
utilized in its determination of the fair value of the mortgage
loans, remained as of December 31, 2015; however, this remaining
material weakness had no impact on the Companys financial
position, results of operations or cash flows as of and for the
year ended December 31, 2015. The Company fully remediated this
remaining material weakness in 2016, which resulted in no
reportable events remaining as of and for the year ended December
31, 2016.

The Audit Committee has discussed the subject matter of the
foregoing material weaknesses with Deloitte, and the Company has
authorized Deloitte to respond fully to the inquiries of EY
concerning such matters.

During the fiscal years ended December 31, 2016 and December 31,
2015 and the subsequent interim period through May 19, 2017,
neither the Company nor anyone on its behalf consulted with EY
regarding any of the matters or events set forth in Item
304(a)(2)(i) or (ii) of Regulation S-K.

The Company has provided Deloitte with a copy of the foregoing
disclosures and has requested that Deloitte furnish the Company
with a letter addressed to the Securities and Exchange Commission
(the SEC) stating whether or not Deloitte agrees with such
disclosures or, if not, stating the respects in which it does not
agree. The Company has received the requested letter from
Deloitte, and a copy of the letter is filed with this Current
Report on Form 8-K as Exhibit 16.1.

(d) Exhibits