Effective March 4, Freddie Mac underwriters require a new compliance checklist for the initial appraisal submitted to Freddie Mac for each loan/property. The Multifamily Underwriting Appraisal Checklist consists of ten appraisal quality-related items that address common deficiencies and/or may materially impact value. Items answered “no” on the checklist will be totaled and a quality score will be assigned to each appraisal. When those deficiencies are found, Freddie Mac will request a revised appraisal report.
In addition to real-time feedback provided by the Freddie Mac underwriting team, a report will be delivered to Optigo lenders from the Multifamily Appraisals team every quarter (as applicable) for deals submitted, and appraisals reviewed that quarter that will summarize the initial appraisal quality scores.
The checklist can be found on the Multifamily Appraisals webpage, and the items are subject to change. Optigo lenders should review these items in appraisal reports and appraisers be aware of the checklist and all Freddie Mac requirements. Specific appraisers who provide appraisal reports that consistently do not meet Freddie Mac requirements may be placed on the Restricted Vendor List (see Guide Chapter 60.4(c)).
If you have any questions regarding this new process, please contact the Multifamily Appraisals team.
