What is a 1004 MC?

What is a 1004 MC?

The Market Conditions Addendum (Form 1004MC) is designed to enhance the transparency of the market trends and conditions conclusions made by the appraiser. The Market Conditions Addendum will be required with all one- to four-unit property appraisals performed on or after April 1, 2009.

Does FHA require the 1004MC?

HUD/FHA and VA still require use of the 1004MC, although they could remove this requirement at any time. Some individual lenders may still require the use of the 1004MC, even though Fannie Mae might not. Lenders are permitted to establish additional requirements that exceed GSE requirements (these are called overlays).

Is Fannie Mae Form 1004 required by appraisal regulations?

A URAR form, also known as Fannie Mae Form 1004, contains information needed to complete a full appraisal of a property using three primary approaches to determine value: cost approach, sales comparison approach and income approach. Basic information including address, legal description, owner’s and/or borrower’s names.

Will Fannie Mae accept an FHA appraisal?

Fannie Mae will allow a previous appraisal to be utilized on a subsequent refinance transaction when one of the borrowers is buying out the other borrower. HUD/FHA, however, will always require a new appraisal (with a new FHA case number) whenever there is a subsequent refinance transaction on the subject property.

What is a Freddie Mac Form 70?

Uniform Residential Appraisal Report Form 70 is designed to report the results of an appraisal of a 1-unit property, including a unit in a Planned Unit Development (PUD), a Detached Condominium Unit or a 1-unit property with an accessory unit. An interior and exterior inspection of the subject property is required.

What is a 1004D update?

Fannie Mae Form 1004D March 2005. The purpose of this report form is to provide the lender/client with an accurate update of an appraisal and/or to report a certification of. completion. The appraiser must identify the service(s) provided by selecting the appropriate report type.

Is there a shortage of appraisers in Texas?

How bad is the appraiser shortage in Dallas-Fort Worth? Adams: In 2013 there were 2,367 residential appraisers in the state of Texas and 288,000 homes sold. And in 2020 there are still only 2,371 residential appraisers in Texas and yet home sales topped out at 392,000.

Can FHA appraisals be waived?

NewRez associates and clients, please note, FHA has announced a partial waiver of the appraisal requirement to include a minimum of two (2) active listings or pending sales, in addition to the three (3) settled comparable sales, when appraising properties located in areas with changing market conditions.

What is a 1004 report?

What is a 1004 appraisal report? A 1004 appraisal form is considered to be one of the most commonly used forms in residential real estate appraisals. It includes information about the property, the neighborhood, market statistics, comps, property photos, floor plans, and other pertinent details.

Why do appraisers use the URAR?

A Uniform Residential Appraisal Report or URAR is one of the most common forms used in real estate appraisal which was created to allow for standard reporting and analysis of single-family dwellings or single-family dwellings with an “accessory unit”.

Do conventional loans appraise higher than FHA?

Once you apply for an FHA loan, one of the loan requirements is that the home appraisal is done at a higher standard as compared to the conventional appraisal. The FHA loan has a minimum down payment requirement but conventional loan has a higher down payment requirement despite its lower standards.

What is a 1004 MC form?

1004 MC Forms. Fannie Mae 1004MC/Freddie Mac 71: Market Conditions Addendum to the Appraisal Report. The Form 1004MC is intended to provide the lender with a clear and accurate understanding of the market trends and conditions prevalent in the subject neighborhood.

What is a 1004mc form Fannie Mae?

Fannie Mae 1004MC/Freddie Mac 71: Market Conditions Addendum to the Appraisal Report The Form 1004MC is intended to provide the lender with a clear and accurate understanding of the market trends and conditions prevalent in the subject neighborhood.

Is the 1004mc still required for FHA loans?

Before any celebration ensues, keep in mind that the Selling Guide is not published yet, nor have Freddie Mac and FHA removed the 1004MC as a requirement – although a spokesperson from Freddie Mac did imply that such a move would be likely. Furthermore, lenders may still choose to keep the 1004MC as a requirement of their own.