The Appraisal Institute led a coalition of appraisal organizations in responding to FHA’s proposed updates to its Minimum Property Requirements, which seek to more closely align FHA standards with those of Fannie Mae and Freddie Mac.
The coalition supported clearer, more consistent requirements while urging FHA to preserve protections reflecting the distinct risks of its mortgage insurance program. The letter also called for clearer appraiser observation responsibilities, removal of requirements that create unnecessary safety risks, and practical guidance on condition ratings to protect appraiser independence and promote consistent implementation
