source:
  type: guide
  id: fnma-sel-b4-1.2-03
  authority: Fannie Mae Selling Guide B4-1.2-03 — Hybrid Appraisals
  description: Fannie Mae Selling Guide B4-1.2-03 — Hybrid Appraisals.
  coverage_tier: operative
obligations:
- id: fnma-sel-b4-1.2-03-full
  canonical_id: fnma-sel-b4-1.2-03-full
  section: Fannie Mae Selling Guide B4-1.2-03 — Hybrid Appraisals
  type: do
  tags:
  - regulator-direct
  - fnma
  - selling-guide
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: Fannie Mae Selling Guide B4-1.2-03 — Hybrid Appraisals
    source_class: fnma-guide
    source_url: https://singlefamily.fanniemae.com/media/document/pdf/selling-guide
    snapshot_id: 5f7b8b79da595d76
    fetched_at: '2026-05-25T14:09:57Z'
    content_hash: sha256:98cf85a02861bbe84914a0e339b327c8fc131869a8a573882007bbeea60c5701
    paragraph_quote: 'B4-1.2-03, Hybrid Appraisals (12/10/2025) Introduction This
      topic contains information on hybrid appraisals, including: Overview Completing
      the Hybrid Appraisal Eligible Transactions Ineligible Transactions Exercising
      Hybrid Appraisals Representations and Warranties Uniform Appraisal Dataset (UAD)
      3.6 Policy Overview For certain loan caseﬁles, DU oﬀers hybrid appraisals -
      an appraisal option requiring a property data collection. A hybrid appraisal
      reported on the Uniform Residential Appraisal Report (Hybrid) (Form 1004 Hybrid)
      or Individual Condominium Unit Appraisal Report (Hybrid) (Form 1073 Hybrid)
      must conform to B4-1.1-04, Unacceptable Appraisal Practices. The minimum scope
      of work for hybrid appraisals includes consideration by the appraiser of interior
      and exterior property data collection by a trained and vetted third party (such
      as a real estate agent, insurance inspector, appraiser, etc.). The appraiser
      relies on the data collected (and other sources if needed) to identify property
      characteristics including condition. The property data collection must comply
      with the Uniform Property Dataset and be delivered to the Fannie Mae Property
      Data API. Completing the Hybrid Appraisal Property data collection and the appraisal
      report are separate assignments and may be performed by diﬀerent people. If
      the appraiser does not perform the data collection, the lender must share the
      property data collection with the appraiser at the time of engagement. The appraiser
      will use the data along with other third-party sources to develop the appraisal.
      The eﬀective date of the hybrid appraisal is the date that the appraiser arrives
      at their opinion of value. Note: If the appraiser is engaged as a property data
      collector and at a later date engaged as an appraiser, this is still considered
      a hybrid appraisal. The lender remains responsible for verifying the accuracy
      of the property description and the completeness of the data including the condition
      and quality ratings as determined by the appraiser. The lender is also responsible
      for ensuring the property meets the property eligibility requirements in this
      Selling Guide. Lastly, the lender remains responsible for any life-of-loan representations
      and warranties that may apply to the property or the appraisal. Exhibits: Form
      1004 Hybrid and Form 1073 Hybrid require the same exhibits as traditional appraisals
      with the inclusion of a ﬂoor plan conforming to the ANSI standard. See B4-1.2-01,
      Appraisal Report Forms and Exhibits for additional information on exhibits and
      B4-1.3-05, Improvements Section of the Appraisal Report for additional Published
      May 6, 2026 539 information on the ANSI standard. Entry of Appraisal Assignment
      Type: The appraiser must provide the Appraisal Assignment Type and supporting
      details (located in the Additional Comments section of the appraisal report)
      as shown in the following table. Field Labels Required Entry Appraisal Assignment
      Type "Hybrid" Subject Property Data Collection Method "Physical" Subject Property
      Data Collection Date "YYYY-MM-DD" Subject Property Data Workforce "Appraiser"
      "AppraiserTrainee" "RealEstateAgent" "HomeInspector" "InsInspector" (*Insurance
      Inspector) "Other" Note: For the Subject Property Data Collection Date, the
      appraiser must enter the date that the property data collection was performed.
      For the Subject Property Data Workforce, the appraiser must enter the Workforce
      indicated in the property data that is one of the six Required Entry enumerations
      listed above. DU Messaging: For loan caseﬁles that are eligible for a hybrid
      appraisal option, DU will issue a message informing the lender they can obtain
      an appraisal reported on Form 1004 Hybrid or Form 1073 Hybrid. DU will also
      issue messages for other appraisal options. The lender may select from any of
      the options presented, which may include a hybrid appraisal, desktop appraisal,
      or traditional appraisal. Eligible Transactions The following are eligible for
      a hybrid appraisal: existing one-unit properties, including a condo or unit
      in a PUD; principal residence, second home, or investment properties; under
      construction properties; existing properties with incomplete construction or
      renovation project; community land trusts, or other properties with resale price
      restrictions, which include loan caseﬁles using the Aﬀordable LTV feature; and
      Texas 50(a)(6) loans. The transaction must be a purchase, limited cash-out reﬁnance,
      or cash-out reﬁnance. Published May 6, 2026 540 Ineligible Transactions The
      following transactions are not eligible for a hybrid appraisal: two- to four-unit
      properties; co-op units; manufactured homes; proposed construction; construction-to-permanent
      loans (single-close and two-close); HomeStyle Renovation and HomeStyle Refresh
      loans; DU loan caseﬁles that receive an Ineligible recommendation; and manually
      underwritten loans. Exercising Hybrid Appraisals When exercising a hybrid appraisal,
      the lender must complete all of the following: obtain a property data collection
      and successfully submit to the Fannie Mae Property Data API. provide the property
      data collection to an appraiser for the completion of a hybrid appraisal based
      on property type using either Form 1004 Hybrid or Form 1073 Hybrid. submit the
      hybrid appraisal to the Uniform Collateral Data Portal (UCDP). perform an appraisal
      review in accordance with this Guide. deliver the loan with the hybrid appraisal
      to Fannie Mae. Note: A lender may obtain a hybrid appraisal if a loan loses
      value acceptance + property data eligibility after submitting the property data
      collection to the Property Data API. See B4-1.4-11, Value Acceptance + Property
      Data B4-1.4-11, Value Acceptance + Property Datafor speciﬁc requirements. Representations
      and Warranties When a hybrid appraisal is reported on Form 1004 Hybrid or Form
      1073 Hybrid and submitted through the UCDP, the appraisal will be scored by
      Collateral Underwriter (CU). All eligible loans with a hybrid appraisal receiving
      a CU risk score of 2.5 or less are eligible for enforcement relief of certain
      representations and warranties related to the appraisal value of the subject
      property (see A2-2-06, Representations and Warranties on Property Value for
      complete requirements and additional information). Uniform Appraisal Dataset
      (UAD) 3.6 Policy Lenders using UAD 3.6 must follow the requirements in the UAD
      3.6 Policy Supplement . Recent Related Announcements The table below provides
      references to recently issued Announcements that are related to this topic.
      Published May 6, 2026 541 Announcements Issue Dates Announcement SEL-2025-10
      December 10, 2025 Announcement SEL-2025-04 June 04, 2025 Announcement SEL-2025-01
      February 05, 2025 Announcement SEL-2024-06 September 04, 2024 Announcement SEL-2024-01
      February 07, 2024 Announcement SEL-2023-02 March 01, 2023'
  judgment: false
