FHA Intended User

[rs1784]

Hi,

I have an appraisal that states “The intended use of the appraisal is solely to assist FHA in assessing the risk of the property securing the FHA-insured mortgage (24 CFR 200.145(b)).” Shouldn’t it also specifically state something along the lines of “FHA and the Mortgagee are the intended users of the appraisal report” as well or does the first statement suffice?

 

[Mike Ault]

Hi,

I have an appraisal that states “The intended use of the appraisal is solely to assist FHA in assessing the risk of the property securing the FHA-insured mortgage (24 CFR 200.145(b)).” Shouldn’t it also specifically state something along the lines of “FHA and the Mortgagee are the intended users of the appraisal report” as well or does the first statement suffice?

You are correct. As well as "intended use" they need a specific declaration of "intended user" as well. The "intended user" statement you suggested is sufficient.

 

[glenn walker]

Hi,

I have an appraisal that states “The intended use of the appraisal is solely to assist FHA in assessing the risk of the property securing the FHA-insured mortgage (24 CFR 200.145(b)).” Shouldn’t it also specifically state something along the lines of “FHA and the Mortgagee are the intended users of the appraisal report” as well or does the first statement suffice?

I say -- The Big Bank USA is the Lender Client and the FHA reports use along with the intended use of the appraisal is solely to assist FHA in assessing the risk of the property securing the FHA-insured mortgage. I have never had any push back with this. I believe either way is OK-- I just like to preface it wit the lender client first and then add on the FHA Verbiage.

 

[Mike Ault]

I say -- The Big Bank USA is the Lender Client and the FHA reports use along with the intended use of the appraisal is solely to assist FHA in assessing the risk of the property securing the FHA-insured mortgage. I have never had any push back with this. I believe either way is OK-- I just like to preface it wit the lender client first and then add on the FHA Verbiage.

I just found this online – I believe the OP is correct.