3 Keys to Understanding a Home Appraisal
First, you should know the definition of an appraisal which is essentially an opinion of value. There are three important aspects of a home appraisal that homebuyers should be aware of:
- Mortgage lenders are no longer allowed to speak to appraisers regarding the value of the property. Appraiser independence is the law under the Dodd-Frank Wall Street Reform.
- There are certain circumstances where a broker can contact & talk to the appraiser about a mortgage loan appraisal when they have questions or concerns. However, it does not allow a full blown “conversation” or “discussion” with the appraiser to occur.
- When an appraisal is used to obtain an opinion of value of a property for loan purposes, federal regulation requires the lender (Get a Rate) or their agent to place an appraisal order.
For more details and specifics about the home appraisal process please contact us to speak to a mortgage professional.