New Guideline Changes for Fannie and Freddie Mac regarding Appraisals

Real Estate Agent with HomeSmart International

News Flash


Last year, the Federal Housing Finance Agency approved the Home Valuation Code of Conduct (Code) to be implemented May 1, 2009. The code modifies Fannie Mae and Freddie Mac guidelines to improve the reliability of home appraisals and to restore appraiser independence. The intent of the code is to assure that all parties involved in the mortgage process receive fair and independent property valuations.

The code puts in place new regulations governing:

  • The process of ordering appraisals
  • Appraiser Independence
  • Improper influences on appraisers

To read the code in it’s entirety, visit the following websites: 


Fannie Mae (HVCC and FAQ)


Freddie Mac (HVCC, FAQ and fact sheet) 


Federal Housing Finance Agency


New Appraisal Requirements News Transmission

– EFFECTIVE MAY 1, 2009 Effective for all conventional loans with application dates on or after May 1, 2009, will require all conventional appraisals to be ordered through our new appraisal ordering screen in Pronto!. Additional information and training on this new process will be available over the next several days. Currently, the new HVCC requirements only apply to conventional loans. At this time, no changes are being made to the property valuation process for FHA, VA or USDA loans

Comments (2)

Cherry Wings Realty
Cherry Wings Realty - Traverse City, MI
Your Traverse City Michigan Realtor

I think this is a breatha of fresh air for the industry.  Let the appraisers alone and let them do their job.  We don't like other industry professionals telling us how to do your jobs.  Appraisers were getting too much pressure to bring numbers in to best fit the needs of the contract number.

Apr 30, 2009 10:02 AM
Alex Inskeep
HomeSmart International - Chandler, AZ
ABR, REOS - Bilingual

I agree Christine.  They are suppose to be NEUTRAL 3rd parties but I'm sure they felt they couldn't make everyone happy.  Hopefully now their numbers will be closer to ours.

Apr 30, 2009 10:09 AM