HUD HOC Reference Guide
Expiration of AppraisalsChapter 1
Appraisal & Property Requirements
A. Term of Appraisal. Effective for all case numbers assigned on or after January 1, 2010 the validity period for all appraisals on existing, proposed, and under construction properties, including HUD REO appraisals that have an effective date of on or after April 1, 2010, will be 120 days. Please see Mortgagee Letters 2009-30, 2010-08 and 2010-13 for more information.
B. Re-Use of Appraisal. Appraisals cannot be re-used after the mortgage for which the appraisal was ordered has closed. For example, an appraisal used for the purchase of a property cannot be used again for a subsequent refinance, even if the appraisal is within the 120 day validity period. A new appraisal is required for each refinance transaction requiring an appraisal.
C. Extension of Validity Period.
|Content Archived: October 5, 2012|