Appraisal: Appraisal Report

An appraisal report is a document that provides an estimate of the market value of a property. It is typically required by lenders when a borrower is applying for a mortgage. The appraisal report is used to ensure that the lender is not lending more money than the property is worth. The appraisal report is prepared by a qualified appraiser, who will inspect the property and gather information about the local real estate market.

Context: Identifying the document.

1. “Uniform Residential Appraisal Report” header

In the Subject section—

Key takeaways: Important information.

1. Property address

2. Borrower(s) name(s)

3. Owner of Public Record

4. PUD checkbox

5. HOA monthly fees

In the Reconciliation section—

Key takeaways: Important information.

1. Appraisal made “as is” or “subject to” checkboxes

2. Appraised value

Notes on the appraisal report:

• If the appraisal is made “subject to” any conditions, it must be immediately reported to the LO and Processor.

• If the appraised value is lower than the purchase price, it must be immediately reported to the LO and Processor.