With Congress' recent mandate that FHA appraisers demonstrate verifiable education on FHA appraisal requirements, the recent elimination of the FHA exam, and FHA and Fannie Mae appraising becoming increasingly similar to one another, appraisers need to keep up-to-date on the latest information regarding the FHA appraisal process.
Specifically, in July of 2008, Congress mandated that FHA appraisers demonstrate verifiable education on FHA appraisal requirements.
In addition, in February of 2008, HUD revised its form that appraisers use to apply to the FHA Roster by removing the ten essay questions which constituted its "national exam." However, the FHA Roster application still requires the applicant to certify to the following:
I will comply with HUD Handbook 4150.2, "Valuation Analysis for Home Mortgage Insurance for Single Family One- to Four-Unit Dwellings" (with particular emphasis on Appendix D, "Valuation Protocol"), any updates to the Handbook, Mortgagee Letters, and all other instructions and standards, in performing all appraisals on properties that will be security for HUD/FHA insured mortgages.
With all of these changes, the Appraisal Institute's online seminarFHA and the Appraisal Process is designed to get appraisers up-to-speed on FHA policies and procedures, but it is much more than that!
If you're brand new to FHA appraising and need to know where to start, or you're a seasoned FHA pro looking for an up-to-date refresher, this is the course for you. Here's a quick rundown on what this course offers:
- FHA's policies on appraising are scattered all over the place. We've pulled together all the essential handbooks, mortgagee letters and web links for you. We give you the basics, but what if you want to go deeper? We show you where to find that information too.
- We take you step-by-step through FHA's eligibility requirements and then show you how to stay out of trouble by examining the key components of the Appraiser Violations Matrix.
- HUD now requires appraisers to use the latest Fannie Mae forms for single-family, manufactured housing, individual condominium units, and small residential income properties. We show you the specific HUD document that spells out FHA's protocol for completing the Fannie Mae forms.
- The old Valuations Conditions form (VC Sheet) for itemizing repairs is history. So we show you FHA's requirements on how to address substantive issues on the Fannie Mae form. We also give you guidance of when to call for a repair and when not to!
- Do you know what steps FHA requires an appraiser to take when the appraised property is vacant and the utilities are off? Do you know what is expected of an FHA appraiser when checking a property's plumbing system? Or what about lead-based paint issues? This course helps you to address these concerns in your appraisal with greater confidence.
FHA and the Appraisal Process will benefit any residential appraiser whether or not that individual ever performs an FHA assignment. Many of the concepts presented are applicable to all residential appraising. And let's face it, most appraisers can benefit from enhancing their skill sets when it comes to property observation techniques. So are you ready for FHA appraising? Here's a closer look at the module topics and learning objectives.
Module 1: Introduction FHA Appraising
Module 2: How to Think Like an FHA Appraiser
Module 3: Property Analysis Part 1
Module 4: Property Analysis Part 2
Module 5: Property Analysis Part 3
Module 6: Highlights on FHA Appraisal Guidance
- Identify HUD’s appraiser eligibility requirements for placement on the FHA Appraiser Roster.
- Recognize HUD guidelines that address unacceptable locations.
- Identify 12 potential hazards that an appraiser should consider during the neighborhood observation process.
- Recognize property analysis issues for FHA appraisals
- Identify issues related to FHA's General Acceptability Criteria (GAC)
- Recognize HUD's methodology for completing appraisal forms that include specific conditions for repair
- Recognize essential information covered in Chapters 4, 5, 8, 9 and the four Appendices of the 4150.2 HUD Handbook.
AI CE Credit for Designated members, Candidates for Designation and Practicing Affiliates
This program is approved for 1.25 hours of Appraisal Institute CE credit for every hour taken.