NCUA Proposed Rule, Part 722, Real Estate Appraisals

Title:
Proposed Rule, Part 722, Real Estate Appraisals
Subject: Appraisals
Agency: NCUA
Status: Proposed rule
Summary:
The NCUA Board proposes to amend the agency’s regulation requiring appraisals for certain real estate-related transactions. The proposed rule would increase the threshold level below which appraisals would not be required for residential real estate-related transactions from $250,000 to $400,000. Consistent with the requirement for other transactions that fall below applicable appraisal thresholds, federally insured credit unions (FICUs) would be required to obtain written estimates of market value of the real estate collateral that is consistent with safe and sound banking practices in lieu of an appraisal. For easier reference, the proposed rule would explicitly incorporate the existing statutory requirement that appraisals be subject to appropriate review for compliance with the Uniform Standards of Professional Appraisal Practice (USPAP).This proposal is consistent with the final rule, effective on October 9, 2019, issuedby the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency (other banking agencies) that increases the threshold level at or below which appraisals are not required for residential real estate transactions from $250,000 to $400,000.
FR Doc: 2019-25768
Date proposed: Nov. 21, 2019
Comments due date:

Jan. 28, 2020

Final rule effective date:
Rule compliance date:
Agency release: NCUA Seeks Comment on Higher Real Estate Appraisal Threshold
Related Reg Report item(s):

Residential real estate appraisal proposal issued for credit unions; matches threshold set by bank regulators

 

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