Appraisal Checklist (Page 6 of 7) in pdf

COST APPROACH

ACTIONS/COMMENTS

NOTES

52.

Is the land to value ratio typical

Yes

If the site value has been provided be sure the

for the area?

land-to-value ratio is not high for the area.

53.

Is the indicated value by Cost

Yes

If No – Appraiser should comment on the

Approach in line with the Sales

appropriateness of the Cost Approach. This

Comparison Approach?

approach assumes that a potential purchaser will

consider building a substitute residence that has

the same use as the property being appraised.

Fannie Mae does not require the Cost Approach.

Freddie Mac requires the Cost Approach only if it

is applicable and necessary (appropriate for new

or proposed construction, properties under

renovation, homes that are unique based on

styles or construction methods, or homes that

have functional obsolescence not typical for the

market).

Fannie Mae and Freddie Mac agree that

appraisal reports that rely primarily on the cost

approach to estimate market value are

unacceptable.

PUD

ACTIONS/COMMENTS

NOTES

54.

When the property is located in

Yes

If No – Condition as prior to close for the

a PUD and the developer/

Appraiser to complete this section of the

builder is in control of the HOA

appraisal.

AND it is an attached unit, has

the appraiser completed this

section?

55.

Is the project complete?

Yes

If No – Verify project eligibility.

56.

Are more than 10% of the units

Yes

If Yes – Appraiser to address potential

in the project listed for sale?

marketability problem in subject subdivision.

APPRAISER’S SIGNATURE AND CERTIFICATION

ACTIONS/COMMENTS

NOTES

57.

Is the appraiser on the lender’s

Yes

If the lender or investor uses an approved list, be

approved list?

sure to verify that the Appraiser is approved. If

the lender or investor has a watch list, verify that

the Appraiser is not listed.

58.

Is the appraisal signed and

Yes

If No – Condition as a prior to close for the

dated?

Appraiser to sign and date the appraisal.

59.

Is the appraiser’s certification

Yes

If No – Condition as a prior to close for the

or license number and

Appraiser to complete certification or license #.

expiration date entered?

60.

If required, has the supervisory

Yes

If No – Condition as a prior to close for the

information been completed

Supervisory Appraiser to complete and sign.

and signed by supervisor?

ADDENDA

61.

Is there a street map that identifies the location of the subject?

Yes

62.

Is there an exterior building sketch?

Yes

63.

Are there photos of the subject property and the comparable sales?

Yes

64.

Do any of the addenda include adverse comments?

Yes

Date of Appraisal: __________________________________________

Appraised (Market) Value: ___________________________________

Are any changes required? Are there conditions associated with the appraisal report? Are there any clarifications required

of the appraiser?

NOTES:

Intellectual Property of RMIC

Page 6 of 7

Last Revision 10/ 31/07

Appraisal Checklist Page 6

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