It is an interesting time in the world for many industries. The impact of the global pandemic can be felt everywhere. While our government is working hard to be solution-oriented, many Americans are encouraged to stand still and practice social distancing. So, what does this mean for the Housing Industry? It means the way the business is normally conducted must change.
According to Housing Wire, Fannie Mae and Freddie Mac are putting a new process in place to relax the way appraisals are normally conducted. On Monday, the Federal Housing Finance Agency announced they are implementing a system that will use “appraisal alternatives to reduce the need for appraisers to inspect the interior of a home for eligible mortgages.” Since appraisals are a vital part of the mortgage process, concerns have risen over the past several weeks as to how this need could be met. As a result, the FHFA is mandating the use of drive-by appraisals and desktop appraisals to guarantee that the mortgage process is not held up. It is important to note that new appraisal guidelines mostly affect purchases.
For a more in-depth breakdown of the new policies, CLICK HERE
If you are looking to purchase or refinance, contact one of our mortgage experts today!