Mortgagee Letter 2014-24
Establishing the CAFMV for Foreclosure Sales and PostForeclosure Sales Efforts As delineated at 24 CFR §203.368, the CWCOT procedure requires mortgagees to bid the CAFMV at the foreclosure sale of a property securing an FHA-insured mortgage. The property’s CAFMV is defined as its fair market value less adjustments as the Commissioner deems appropriate. Unless otherwise directed by HUD, mortgagees must first obtain, and review for accuracy, an “as-is” FHA appraisal, which includes both an interior and exterior evaluation of the property. If the property is occupied and an interior appraisal cannot be obtained, an “exterior-only” appraisal may be used. The appraisal must be valid on the date of the foreclosure sale. Appraisals are valid for 120 days. If delays such as bankruptcy, court delays or delays outside of the mortgagee’s control occur, the lender is granted an additional 30 day extension on the appraisal expiration date.
OKAY..whats the protocol to follow? I called HUD REO /FHA division, National Servicing, Homeowner appraisal division, National servicing center...... 5 calls so far with no answer..Now what?
YES..as of February there is an acceptable 2055 FHA appraisal....need help from the guru's
