Frequently Asked Questions
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URAR (FNMA 1004)
The most commonly used form for purchase and refinancing purposes, this summary appraisal is designed primarily for single-family residences. The appraiser will perform a thorough interior and exterior inspection of the home, taking around 30-45 minutes depending on the size and shape of the structure. The report can include all of the following methods of valuation: cost, direct sales comparison and income approaches. The report usually consists of a market analysis, description of the site and improvements, definition of market value, detailed sketch, exterior photos of the subject and all comparable properties, environmental addendum, location and plat maps, limiting conditions, reconciliation, and certification. If the report is made "subject to" (either repairs or completion of plans), a list of repairs and costs are included with the report.
Back to TopLimited Appraisal (FNMA 2055 Interior/Exterior)
This appraisal form is used in cases where not all of the contents of a full 1004 report are necessary. It is available for single- and multi-family dwellings and condominium individual units. The appraiser performs a thorough interior and exterior inspection, and all information used in the appraisal is obtained from reliable sources. A limited appraisal report usually consists of a brief market area analysis, definition of market value, brief description of the site and improvements, limiting conditions, exterior photos of the subject and comparable sales, location and plat maps, reconciliation, and certification. Valuation is derived mainly from the direct sales comparison approach.
-->Exterior Only (FNMA 2055)
Slightly different from a URAR 1004 and does not include an interior inspection or detailed sketch of the property. This report works off of an extraordinary assumption that the interior of the house is of the same quality and condition of the exterior.
Individual Condominium Unit Appraisal (FNMA 1073)
This report is designed for homeowner association or individual condominium units. Investors and lenders use this report for purchase and refinancing purposes, like a full appraisal. The report contains the same topics found in a full appraisal report.
Multi-Family Appraisal Report (FNMA 1025)
This appraisal report is specifically used for a multi-family dwelling where income being produced is used for considering market value. Similar to a full appraisal and including the same topics, this form is usually supplemented by a rent schedule and an operating income statement (see below).
Property Inspection and Marketability Report (FNMA 2070/2075)
This type of report is for Single Family Residential homes and is usually ordered as an exterior inspection only. An interior inspection can be included if necessary. An "exterior only" report will rely on public records including verification of the property conditions, characterization of the neighborhood, zoning, and MLS data. While an interior report will include a sketch of the subject and verified property characteristics, both reports will include subject pictures, plat map and location map. Typically a 2075 report is used when an appraisal is not needed because this report does not give a value estimate.
Desktop Underwriter Quantitative Analysis Report (FNMA 2065)
This appraisal report can be used for refinancing or home equity loans. It is typically used with an exterior inspection only, but an interior inspection can be completed if necessary. This report compares the subject property with those properties in its market area in terms of its superiority, equality, or inferiority. No market value is given
Final Inspection Report (442)
When a report is completed "subject to completion", a final inspection is required to verify that the conditions of the original appraisal have been met. The appraiser who completed the original appraisal report will also complete the final inspection.
Field Review (FNMA 2000)
Lenders use this report as a quality assurance system to verify or contest the data and conclusions of an existing appraisal report. The appraiser completes an exterior inspection of the subject property and summarizes steps taken in verifying the data from the existing report, while explaining what items are accurate or otherwise. The appraiser will provide a three-year sales history and consider any market trends that the information reveals, and include their own opinion on whether the market value is reasonable or not based on the appraiser's own data (however, if the review appraiser does not agree with the market value of the original report, they must provide conclusive evidence in order to support his/her reasoning).
Desk Review (FNMA 2006)
This report is very similar to a field review, but does not require an exterior inspection of the property. It can be performed on any type of appraisal.
Rent Schedule (FNMA 216)
This form is primarily used on investment properties and is included in most Multi-family appraisals. It assesses the market rent of the subject's property.
Operating Income Statement (FNMA 216)
This form, in addition to a rent schedule, is primarily used on investment loans. It includes the annual income and expense projections for the subject property.