The Regulation B appraisal requirements apply to any loan application (business or consumer purpose) that is or will be secured by a first lien on a 1-4 family dwelling. The first thing you are required to do is notify an applicant of their right to receive a copy of any appraisal. This must be done within three business days of receiving a covered application or within three business days after learning an application will be secured by a first lien on a 1-4 family dwelling. The second part is actually providing the free copy to the applicant.
Jerod explains more in the video.
Video Highlights:
- A lender must provide a free copy of the valuation used and it must be provided promptly upon completion, at least three business days before loan closing.
- The “mailbox rule” is used to determine when the borrower received the free copy.
- When there are multiple versions of the valuation, each version must be provided.
Published
2023/06/16
