FHA Compliance
On February 15th, 2010 (originally scheduled for January 1) the FHA implemented new appraisal guidelines. Based on three mortgagee letters published by the Department of Housing and Urban Development (HUD) in September of 2009, the letters reaffirm existing appraisal guidelines and introduce new requirements. The impact of these guidelines on the way appraisals are conducted is significant and include the following key requirements:
- Prohibit the involvement of mortgage brokers and commission based lender staff from the appraisal process
- Require assurance that the appraiser is correctly identified in FHA Connection
- Reduce the amount of time an appraisal remains valid to four months from six months
Below the links to the original mortgagee letters distributed by HUD.
