Real Estate Appraisals

Title:
Real Estate Appraisals
Subject: Appraisals
Agency: NCUA
Status: Final rule
Summary:

The NCUA Board (Board) is amending the agency’s regulation requiring appraisals for certain residential real-estate related transactions. The final rule increases the threshold level below which appraisals are not required for residential real-estate related transactions from $250,000 to $400,000. Instead of an appraisal, and consistent with the requirement for other transactions that fall below applicable appraisal thresholds, federally insured credit unions (FICUs) are required to obtain written estimates of market value of the real estate collateral consistent with safe and sound practices. For ease of reference, this final rule explicitly incorporates the existing statutory requirement that appraisals be subject to appropriate review for compliance with the Uniform Standards of Professional Appraisal Practice (USPAP). This final rule is consistent with the final rule, effective October 9, 2019, issued by the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency (federal 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: 2020-08433
Date proposed: Nov. 21, 2019
Comments due date:

Jan. 28, 2020

Final rule effective date: April 30, 2020
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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