Appraisal On Form 1004 For 'individual Client'

[Tumbuktu]

An individual client wants me to do an appraisal for the property that he is buying on cash. He just wants an appraisal report for his own satisfaction. He is aware that the report would not be of much use with any lender.

I intend to do the appraisal on Form 1004. Although the form is designed by Fannie Mae/Freddie Mac, but I suppose there is no such restriction for using it for an individual client.

Guidance and feedback on 'disclaimers, items to remove or add etc; would be appreciated.

 

[BRCJR]

Do not use FNMA 1004 revised March 2005.

 

[Don Clark]

An individual client wants me to do an appraisal for the property that he is buying on cash. He just wants an appraisal report for his own satisfaction. He is aware that the report would not be of much use with any lender.

I intend to do the appraisal on Form 1004. Although the form is designed by Fannie Mae/Freddie Mac, but I suppose there is no such restriction for using it for an individual client.

Guidance and feedback on 'disclaimers, items to remove or add etc; would be appreciated.

It is a violation of Fannie Mae/Freddie Mac copyright. It is also misleading since the form states it is for a mortgage financing. It would be a USPAP violation since it is misleading. Use the General Purpose form.

 

[bnmappraisal]

Usa a GPAR (General Purpose Appraisal Report)

If you use Total it's the "GP Residential [Signature]" form

The reason we're telling you NOT to use the 1004 URAR 3/05 is because of the preprinted Intended Use which states the report is for "Mortgage Finance transaction." (found just under the preprinted Scope of Work section

 

[Howard Klahr]

but I suppose there is no such restriction for using it for an individual client.

So then it is safe to assume that you have never taken the time to actually read the document that you are proposing to use for this purpose?

Modifications, additions, or deletions to the intended use, intended user, definition of market value, or assumptions and limiting conditions are not permitted.

INTENDED USE: The intended use of this appraisal report is for the lender/client to evaluate the property that is the subject of this appraisal for a mortgage finance transaction.

INTENDED USER: The intended user of this appraisal report is the lender/client.

Have you considered one of the General Purpose report formats?

 

[Tumbuktu]

So then it is safe to assume that you have never taken the time to actually read the document that you are proposing to use for this purpose?





Have you considered one of the General Purpose report formats?

 

[Tumbuktu]

Thanks for the guidance. I will go for 'GPAR (General Purpose Appraisal Report).

 

[Howard Klahr]

I will go for 'GPAR (General Purpose Appraisal Report).

Depending on your software of choice, the are a few options to consider depending on the agreed upon scope of work for your assignment

 

[Tumbuktu]

I use Total. Client needs the 'Market Value'. What are the other options

 

[Elliott]

I'm violating FNMA's copyright? Really?

Well, I would never publicly admit it, but I may have used the form, dropped the Cert Pages and used the old general cert pages. There is a couple of reasons for this....one, I have to reformat all the data (and my software pretty much keeps it that way, something about CU). I've looked through the form and there is virtually nothing about "lending" and I include a statement about how the UAD form is used by lenders, but this isn't being used for lending and to disabuse themselves of it being used for lending. I include an abreviation list and I've NEVER had anyone complain.