FHA Attic Advocacy, Indiana Liability Reform & March Learning Opportunities
In this issue:
- AI Urges Clear FHA Guidance on Attic Inspections
- Indiana Establishes Statute of Limitations for Appraisers
- Special webinar on expanded CU® access for AMCs
- LDAC 2026 & AI Awards: Leadership in Action
Insights
FHA Attic Inspection Policy: Appraisal Institute Seeks Further Clarification
Questions surrounding attic inspection expectations under the FHA Single Family Housing Program have persisted for years within the appraisal profession. Although FHA has made incremental updates to its appraisal guidance, uncertainty remains as to whether attic observation is implied as a default requirement.
As of June 30, 2025, FHA no longer requires photographs of attics and crawlspaces and allows appraisers to note when attic access is blocked or not possible due to safety concerns. These changes were widely viewed as positive steps toward improving appraiser safety and reducing unnecessary risk. However, the absence of explicit language stating that attic viewing is not required has led to continued uncertainty in the field.
That uncertainty was heightened in late 2025 following the tragic death of an appraiser while performing an FHA appraisal. While incidents of this nature are rare, the event underscored long‑standing concerns within the appraisal profession about safety risks associated with attic access, particularly when such access provides limited additional information about a property’s condition.
In response, the Appraisal Institute formally engaged FHA to encourage further clarification of its guidance. The Appraisal Institute’s position is that attic inspection should not be implied as a default expectation, particularly when potential issues can typically be identified through exterior roof observations and other readily available indicators. As FHA has previously acknowledged, appraisers are already permitted to refrain from attic access when safety concerns exist, raising questions about the necessity of maintaining any implied expectation at all.
Representatives of the Appraisal Institute met with FHA officials this week to discuss these concerns and to emphasize the importance of clear, unambiguous policy language. Appraisal Institute representatives highlighted that clearer guidance would not only improve appraiser safety but also promote consistency across the appraisal process and reduce uncertainty for lenders, appraisers, and borrowers alike.
The Appraisal Institute is encouraged by the dialogue with FHA and is hopeful that the agency will provide additional clarification in the coming months. Clearer guidance would help ensure that appraisal requirements align with both sound valuation practice and the practical realities appraisers face in the field. The organization will continue to engage with FHA on this issue and keep members informed of any policy developments.
AI Blog
Artificial intelligence is no longer theoretical. It is shaping valuation workflows, influencing client expectations, and driving demand in emerging property sectors.
A new blog outlines the artificial intelligence programming at the 2026 Annual Conference, from practical GenAI use cases and workflow integration to data center valuation and strengthening the human edge in a technology-driven profession.
Read the blog to see what you’ll learn, and why this year’s artificial intelligence sessions matter now.
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Collateral Underwriter and AMCs: Policy Update and Industry Considerations
Fannie Mae recently announced an update to its collateral risk management framework that expands Collateral Underwriter® (CU®) access to appraisal management companies (AMCs), with the stated goal of improving transparency and alignment in the appraisal review process by enabling lenders and AMCs to work from a shared view of collateral risk. While the change is intended to support earlier issue identification and greater consistency in appraisal quality control, it has also raised concerns among some appraisers about how collateral risk insights may be interpreted and applied. This educational webinar will provide context on the policy change, outline its intended objectives, and address common questions and concerns raised across the valuation community.
Speaker: Justin Alexander, Director of Collateral Strategy and Innovation, Fannie Mae
Land Trust Valuation Developments and Trends
This free, public webinar examines current developments and emerging trends in land trust and conservation‑related valuation work. The session highlights opportunities for appraisers to collaborate with land trusts and provides updates on federal tax law and recent case law affecting conservation easement valuations.
Speakers:
- Rex Linville, Eastern Division Director of Field Programs, Land Trust Alliance
- Diana Norris, Associate Director, Conservation Defense, Land Trust Alliance
March 19, 2026, 11 am CT
Advocacy Updates
Two Weeks Left in the AI PAC Chapter Challenge!
We’re in the final stretch with just two weeks to go in the Chapter Challenge! Thanks to the leadership and generosity of members across the country, we’ve raised $59,464.99 toward our $125,000 goal.
There’s still time for your chapter to step up and make an impact. Every contribution moves us closer, not just to this goal, but to building a stronger, more sustainable AI PAC for the future.
Let’s finish strong!
Top Chapters by % of Chapter Goal Reached (as of 3/2)
#1: Tennessee Chapter – 1,478% (Wow!)
#2: Savannah Area Chapter – 41%
#3: Bluegrass Chapter – 37%
Top Chapters by Member Participation Rate
#1: Tennessee Chapter – 29.6%
#2: Arkansas Chapter – 8.2%
#3: Savannah Area Chapter – 8.1%
Indiana Enacts Statute of Limitations for Appraisal Services
The Indiana General Assembly has taken an important step to bring clarity and fairness to the legal framework governing appraisal practice. On February 24, 2026, Governor Mike Braun signed House Bill (HB) 1429 into law, establishing a clear statute of limitations for civil actions arising from appraisal services.
Effective July 1, 2026, HB 1429 creates a five-year statute of limitations for civil actions against real estate appraisers and appraisal management companies. Claims must be brought within five (5) years of the “appraisal service date,” defined as the date the report was issued or the service was performed (or should have been performed).
The statute applies broadly to claims including contract, negligence, misrepresentation, and consumer protection actions, while preserving accountability for intentional fraud or willful misconduct.
For appraisers, this legislation represents meaningful and common-sense reform. In many jurisdictions, liability exposure can extend for years beyond the completion of an assignment, often tied to uncertain or open-ended timelines. HB 1429 provides a clear and predictable framework that promotes certainty and finality, while maintaining appropriate consumer protections.
With this enactment, Indiana joins a growing number of states that have adopted appraisal-specific statutes of limitations or repose. These policies recognize the unique role of appraisers as independent, third-party professionals and help support a more stable appraisal profession and a well-functioning real estate market.
The Appraisal Institute extends its sincere appreciation to Representative Ben Smaltz for his leadership in authoring and advancing this legislation.
Real Estate Horizons
Stay updated and check out links to the latest major real estate industry stories!
More Opportunities to Learn
Search the latest educational offerings! Find National and Chapter-sponsored classroom, synchronous, and online opportunities.
Your Community
Big things are happening with the AI Awards, and we’re excited to start sharing the news!
Over the coming weeks, we will begin rolling out this year’s award recipients one by one in ANOW. Each week, we will spotlight a distinguished member whose leadership, service, and impact continue to elevate the appraisal profession.
This year’s honorees will be formally recognized during a special AI Awards Ceremony and Luncheon held during the Appraisal Institute Annual Conference, taking place April 14–15, 2026, at the Renaissance Nashville in Nashville, Tennessee. The luncheon celebration will occur on Tuesday, April 14, from 12:30 – 1:30 pm (CT), bringing together award recipients, Institute leadership, and conference attendees for a dedicated moment to celebrate excellence across the profession.
From lifetime achievement to service, leadership, and impact, each announcement will highlight the individuals who are shaping the future of AI and the profession.
Stay tuned as we celebrate excellence week by week. You won’t want to miss it.
Register for the Appraisal Institute Conference here!
Until Next week
Team Appraisal Institute
