Fannie Mae has announced they will soon start accepting Desktop Appraisals. The appraiser does not inspect the property; however an interior floor plan including walls is required. This in itself is over and above what most appraisers typically provide. We understand Fannie Mae’s decision is based on risk,; however, risk is not part of an Appraisers analysis under USPAP. Will State Appraisal Boards look the other way for USPAP compliance?
How will an Appraiser who does not inspect the property provide an interior floor plan with walls? Will the Appraiser rely on virtual software with the assistance of the homeowner? If so, how will the Appraiser verify the data to comply with USPAP? Will the lender/AMC provide the sketch by an unknown third party? Does having an unknown third party or homeowner provide this information promote public trust? Will investors of the Mortgage Backed Securities accept these products? So many unanswered questions exist. See what Fannie Mae has to say about Desktop Appraisals.
We are not going to rehash everything that is wrong with the Hybrid Appraisal products (and that is exactly what this product is!) We have been there and done that. There is lots of information and comments on AppraisalBlogs, Appraisal Forum and within the Face Book Appraisal Groups.
We are simply going to share a Change.org petition that was started and ask you consider signing and sharing it with your colleagues, friends and professional associations.