Excellent blog Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi , i just went through this with a major appraisal delay. 

One of my Buyer's just received an appraisal waiver. My first. Everyone involved is elated. Buyer, Seller, Listing Agent, Buyer's Agent, Escrow Agent. The only one that isn't happy is the would be appraiser.

Great post Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi We had this situation back in January where the appraisal of a condo was waived. This was the first time that something like this happened to me in many years in real estate and of course everybody involved in the sale was happy :)

Great information, Gene! I just had a buyer receive an appraisal waiver earlier this month. That's a first!

Our lenders have mentioned this but we haven't seen one yet darn it!

Would certainly speed things up!!

Good morning Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi ,

Excellent post! Congratulations on the featured post. I'm seeing more Appraisal waivers. On my last two listings the buyers received  an Appraisal Waiver which we were very thankful for!

Excellent overview of the appraisal waivers! 

Enjoy your day!

Fantastic information, Gene... then again... your posts are always spot on with information we need to know and pass on to our clients. Thank you.

I have had a couple of transactions where an appraisal waiver has been used.  One transaction was for buyer clients of mine and I was actually anxious to negotiate a lower price for them after the appraisal, but alas I did not get to do so, haha.

Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi 

Fantastic Information Gene.  I can speak from personal experience as we are waiting to close on a refinance of our home on June 1.  15 year Loan at 2.75% is fantastic... which kicks the crap out of our previous Great loan of 4% over 30 years.

We are one of those who do not have to have an appraisal...but I did have to close...temporarily at least...an Equiline Credit account to avoid the appraisal.

No problem there. That could be an issue for some however.

You made one statement that is perfect.   Actually many of your statements were spot on!  I really enjoyed this one: "No two loans (or borrower(s) are the same, so no blanket-statement can be made or cover every situation or appraisal requirements required in every transaction."

Thank you for sharing your knowledge!!

Appraisal waivers on a purchase loan are interesting and we've had some clients embrace them and others turn them down.  I guess the case for a physical inspection is to hope(?) that the property doesn't appraise and that maybe that can be used for negotiating the price down?  Still, I tell clients that removing the appraisal removes a variable.  It's one less thing that could add complexity and one more thing to lessen it.  Personally, I love the waiver option and we attempt to determine eligibility on every file that applies.

For the first time in several years I have an offer that need an loan appraisal. The buyer agent assured me they can put more down if needed. In CA we have a no loan contingency check some better neighborhoods sellers want to see that one check off to consider an acceptance.  Once the buyers have viewed and read inspection report they are expected to release the inspection.

A couple years ago, we were buying a house in Reno.  The market was hot and when the lender tried to schedule an appraiser, the first day an appraiser could be at the property was 30 days out, a problem because we had a 30 day escrow.  My local lender advised me to ask if a waiver was possible.  I asked the Reno lender about a waiver.  Let's just say there was a bit of laughter.  I said please check.  A few minutes later, I received a call back.  Right in their paperwork, appraisal waived.  It saved me heartache and a few bucks.  It never hurts to ask.  I have personally received two appraisal waivers.

Great post Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi I have bookmarked it for further reference. 

Hello Gene - some excellent points made and that's not a "blanket statement" either.  

Good morning, Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi we haven't run into this yet.... probably won't....

Gene I have only seen a few appraisal waivers on my loans, but it is great when I get one.  It lowers the closing cost and speeds up the approval process.

Very informative and interesting illustrations of the various types of appraisals and their applications. Great post.

I was told by the sellers agent that an Exterior Appraisal Only was done on a short sale in Feb. This appraisal came back way to high and they will not do another appraisal until 6 months from the last appraisal. Now my buyer has to walk away. The inside definitely needs work. Has anyone run into this?
The sellers agent in my opinion needs to provide comps and photos to the sellers bank.

Great information here, thank you for sharing!

Great post Gene.

Very informative.

With no appraisal needed would there be no appraisal fee forthe buyers, closing cost wise

Thanks for the primer!

A good friend had been greatly vexed by the appraisal issue. He has tried several lender in vain and in frustration. He wants to refinance his principal residence in which he has lived for many years. He want to take out some cash to do improvements and some modernization. The loan that he only wants would only be about 50% of the home’s value. Problem: the home is worth about $1.5 million so the resulting loan would be a cash-out refi of more than $700K. Problem: he is in his 70’s and married; he and his wife are taking precautions during this pandemic which include staying at home and away from other people and preclude the introduction of a stranger (an appraiser) to the interior of their home. All lender whom he has spoken insist on a traditional full appraisal. NOT GOING TO HAPPEN! So the loan will, also, not happen.