On May 1, 2024, Fannie Mae published a new reconsideration of value (ROV) policy standardizing elements that must be part of a lender’s borrower-initiated ROV policies and procedures. I've done many ROV requests over the years but historically each lender has had their own policies and structure for these requests. This standardization formalizes a framework for borrowers to appeal an appraisal on their own behalf. I see this, in part, as a continuation of the push for appraisers to support their adjustments. It's not good enough anymore these days to use a "rule of thumb" or make an adjustment just because that's the way you've always done it. If an appraisal doesn't include support and commentary for market based adjustments like list to sale price ratio, seller concessions and date of sale then you could have a problem. An appraisal should further detail adjustments based on paired sales analysis, the depreciated cost method or regression analysis. For the full detail as to Fanne Mae's recent announcement click here: http://singlefamily.fanniemae.com/originating-underwriting/appraiser-update?utm_source=sfmc&utm_medium=email&utm_campaign=10965074&utm_term=5121337&utm_content=43130906&sfmc_id=1979533289 Contact Comp One Appraisal Services today and put our local expertise to work for you. Based in the Globe Building at Peachtree Dekalb Airport, we are the perfect resource for attorneys, agents, homeowners, and lenders. Thanks for reading!
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