A frequently asked questions document on federal banking regulators’ real estate appraisal regulations and guidelines was released jointly Tuesday by the Federal Reserve Board, Federal Deposit Insurance Corp. (FDIC) and Office of the Comptroller of the Currency (OCC).
The FAQs have been updated in response to questions raised regarding the agencies’ appraisal regulations and guidance, but they do not introduce new policy or guidance.
In their joint statement Tuesday, the agencies note the FAQs “focus on, and should be reviewed in conjunction with, the agencies’ appraisal regulations issued under Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (Title XI), the real estate lending standards adopted by the three agencies, the December 2010 Interagency Appraisal and Evaluation Guidelines (Valuation Guidelines), and the March 2016 Interagency Advisory on the Use of Evaluations in Real Estate-Related Financial Transactions (Evaluations Advisory).”
The FAQs do not address the agencies’ joint rules regarding appraisals for higher-priced mortgage loans, according to footnote 5 of the statement.
The revised FAQs were transmitted in an FDIC letter and OCC bulletin to supervised institutions.