Appraisal Retypes

[mandik]

Lender name change=Not Legal anymore

 

[MORTGAGEman]

yep... appraisal reassigning is no longer legal!

 

[CoolAngel]

Here's my update... The new lender said they would pay for the reduced appraisal fee. (I had the same appraiser and he charged $175 to come back a second time to take 3 new pictures and waste my time). Anyways...So I didn't end up paying the new fee but only because I complained about it enough. Does anyone have a website with the actual law that states that the transfer isn't legal. I would like to discuss this with the previous lender who said I could use the appraisal.

 

[FloridaRob]

coolangel, it is not a "law" but a is a requirement for appraisers. USPAP governs appraisers and how they are to complete an appraisal. The state boards can fine, revoke, or do a number of other things that are not pleasant to appraisers if they do not adhere to all guidelines of USPAP.

Jan 1, 2004, the guidelines changed in regard to reassigning appraisals. It is in regard to teh appraiser/client relationship. Even with permission an appraiser can not change the name and give it to the new lender. The only alternative an appraiser has is to do a new appraisal. Even if the new lender has a copy of the old appraisal, he can not discuss that appraisal. He has to order a new one. Getting a release does not work anymore.

Advisory opinions 25, 26, and 27 of USPAP address this exact problem....

 

[FloridaRob]

I have to clarify something I said earlier. I told coolangel to be sure and order the appraisal next time so that she/he would be in control of where the appraisal went and could change what lender he wanted at any given time. I was wrong on this. The guidelines have changed for this as well. The lender/broker has to order the appraisal. A lender is not supposed to accept an appraisal that was ordered by the borrower/buyer/seller etc due to client/appraiser relationship. An appraiser can not do an appraisal for an individual and then change the client name after the fact for a lender. THE LENDER HAS TO ORDER THE APPRAISAL....