Does a Buyer need to obtain an appraisal for the lender?
If a buyer is obtaining a FHA 203b or 203b with repair escrows, then the answer is NO. The appraisal done by ITMG, when the property was first assigned, is the only appraisal needed. A lender can obtain a copy of the original appraisal for the purposes of approving the loan. If the buyer is applying for a FHA 203k loan, the lender will most often ask the buyer to activate the utilities and conduct a full appraisal. The lender may also require two appraisals to be completed. In that case the buyer may be required to obtain an appraisal in addition to the appraisal supplied by ITMG. Of course a buyer applying for other than a FHA loan, may be required to have a separate appraisal. However, if it is acceptable to the lender, a copy of the appraisal can also be made available to the lender for the purpose of approving the loan.
Related Questions
- Does the Appraised Value vary depending upon whether the Appraisal is conducted for the buyer, the seller, or the lender?
- What is the best way for me to obtain permission from the seller to offer buyer agency compensation?
- How does a Lender who is already Title I or Titel II approved obtain the other approval?
