Back on July 31st, The Federal Housing Administration (FHA) posted for public review four new, appraiser-specific policy documents that will be part of—or at least relate to—the agency’s Single-Family Housing Policy Handbook (SF Handbook). These new drafts are a continuation of the FHA’s progress toward a consolidated, authoritative SF Handbook that should make it easier for industry stakeholders to do business with the FHA.
Covering appraiser eligibility and oversight, conducting appraisals, and more, the four appraiser-specific policy documents that were posted for public review include:
- Doing Business with FHA—Other Participants in FHA Transactions—Appraisers: This includes FHA Appraiser Roster eligibility requirements and the Roster application process. When published, this sub-section will become part of the future overall “Doing Business with FHA—Other Participant—Appraisers” section.
- Quality Control, Oversight, and Compliance – Monitoring of Other Participants—Appraisers: This includes appraiser responsibilities and compliance actions. When published, this sub-section will become part of the future overall “Quality Control, Oversight, and Compliance—Monitoring of Other Participants—Appraisers” section.
- Appraiser and Property Requirements for Title II Forward and Reverse Mortgages: This includes property eligibility requirements for appraisers when performing appraisals and reporting appraisal results. When published, this will be a separate section of the future SF Handbook, but will work in conjunction with—and will have the same date as—the future published version of the SF Handbook’s “Application through Endorsement” section.
- Appraisal Report and Data Delivery Requirements: This includes all FHA Uniform Appraisal Dataset requirements, as well as all instructions for FHA-approved appraisers to accurately complete appraisal forms for the FHA. While this guide is technically not part of the SF Handbook, it will work in complete conjunction with—and link to—the SF Handbook’s appraiser and appraisal policies.
Within the FHA’s announcement, they also included a link to their “Highlights of Changes” document, which outlines some of the key changes to consider when reviewing the “Appraiser and Property Requirements for Title II Forward and Reverse Mortgages” section.
The FHA has invited all industry stakeholders to review the draft documents and provide feedback on the outlined changes, but is particularly looking for input from FHA Roster appraisers and mortgagee staffs that underwrite appraisals. Stakeholders should use the appropriate Feedback Response Worksheet for each document, noting both the page number and the line number to which their feedback applies. These worksheets can be found here (right-hand side of the screen).
All comments are due by September 2nd, 2014.