source:
  type: guide
  id: hud-4000-1-i-c-post-appraisal-requirements
  authority: FHA Single Family Housing Policy Handbook 4000.1, Part I — c. Post-appraisal
    Requirements (05/09/2022)
  description: FHA Single Family Housing Policy Handbook 4000.1, Part I — c. Post-appraisal
    Requirements (05/09/2022).
  coverage_tier: operative
obligations:
- id: hud-4000-1-i-c-post-appraisal-requirements-full
  canonical_id: hud-4000-1-i-c-post-appraisal-requirements-full
  section: FHA Single Family Housing Policy Handbook 4000.1, Part I — c. Post-appraisal
    Requirements (05/09/2022)
  type: do
  tags:
  - regulator-direct
  - fha
  - hud-handbook
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: FHA Single Family Housing Policy Handbook 4000.1, Part I — c. Post-appraisal
      Requirements (05/09/2022)
    source_class: hud-handbook
    source_url: https://www.hud.gov/hud-partners/single-family-handbook-4000-1
    snapshot_id: 8c03836f77f317e1
    fetched_at: '2026-05-23T00:28:40Z'
    content_hash: sha256:411430f29b13f9b54a2ebb0e6f6e7087ecd2b90d0da22eb0c8c792eaa2d7d0df
    paragraph_quote: 'c. Post-appraisal Requirements (05/09/2022) The Appraiser must
      comply with the following requirements and restrictions for its FHA business
      operations in addition to continuing to operate in full compliance with the
      eligibility requirements outlined in this Handbook 4000.1. I. DOING BUSINESS
      WITH FHA B. Other Participants 9. Title I Chattel Appraisers Handbook 4000.1
      120 Last Revised: 11/26/2025 i. Compliance with Law The Appraiser’s performance
      must comply with all applicable federal, state, and local laws, including the
      Fair Housing Act and other federal, state, or local antidiscrimination laws.
      ii. Appraiser Competency Requirement The Chattel Appraiser assigned to provide
      the appraisal must be able to complete an assignment for the property type,
      assignment type, and geographic location of the subject Property. The Chattel
      Appraiser must comply with USPAP, including the Competency Rule, when conducting
      appraisals of Properties intended as security for FHA-insured financing. iii.
      Communications with Appraisers A Chattel Appraiser must avoid conflicts of interest
      and the appearance of conflicts of interest. To avoid conflicts of interest
      and the appearance of conflicts of interest, the Chattel Appraiser must not
      have substantive communications relating to or having an impact on valuation,
      including ordering or managing an appraisal assignment with any member of a
      Lender’s loan production staff, any person who is compensated on a commission
      based on the successful completion of a Loan, or any person who reports to any
      officer of the Lender who is associated with the loan production staff and process.
      The Chattel Appraiser is bound by the confidentiality provisions of USPAP and,
      other than the exceptions to the confidentiality provisions listed in USPAP,
      may not discuss the value or conclusions of the appraisal with anyone other
      than the Title I underwriter or FHA staff or their representatives. The Chattel
      Appraiser may discuss components of the appraisal that influence its quality
      and value with the Title I underwriter who has responsibility for underwriting
      the case. The Chattel Appraiser may interact with real estate agents and others
      during the normal course of business to provide property access, information,
      and other market data. iv. Appraisal Fees The Chattel Appraiser and the Lender
      or Lender-designated third party will negotiate the appraisal fees and due date.
      FHA does not establish appraisal fees or due dates. v. Obligation to Report
      (A) Professional Appraisal Organizations The Chattel Appraiser may be a member
      or hold designations in professional appraisal organizations. If the Chattel
      Appraiser is a member, candidate, or associate of an appraisal organization,
      the Chattel Appraiser must report to the Lender any I. DOING BUSINESS WITH FHA
      B. Other Participants 9. Title I Chattel Appraisers Handbook 4000.1 121 Last
      Revised: 11/26/2025 adjudicated actions resulting in a disciplinary action,
      or the suspension of the Chattel Appraiser within 14 Days of such action. The
      Chattel Appraiser must also disclose this information on each appraisal report
      submitted for FHA chattel loans for the entire period in which the disciplinary
      action is in place. (B) Safeguards for Appraiser Independence The Chattel Appraiser
      must report attempts to influence independence to answers@hud.gov or by calling
      1-800-CALLFHA (1-800-225-5342). In addition, the Chattel Appraiser must report
      the attempts to HUD’s Office of Inspector General (OIG). All referrals to the
      OIG should be made to the OIG Hotline’s call center at 1- 800-347-3735 or via
      the OIG Hotline’s website at www.hudoig.gov/hotline. Lenders, Appraisal Management
      Companies (AMC), and third parties are prohibited from influencing the independence
      of the Chattel Appraiser and the valuation process. Prohibited acts and attempts
      to influence the results of an appraisal include the following: • withholding
      or threatening to withhold timely payment or partial payment for an appraisal
      report; • withholding or threatening to withhold future business from a Chattel
      Appraiser, or demoting, terminating, or threatening to demote or terminate a
      Chattel Appraiser; • making expressed or implied promises of future business,
      promotions, or increased compensation for a Chattel Appraiser; • conditioning
      the ordering of an appraisal report or the payment of an appraisal fee, salary,
      or bonus on the opinion, conclusion, or valuation to be reached, or on a preliminary
      value estimate requested from a Chattel Appraiser; • requesting that a Chattel
      Appraiser provide an estimated, predetermined, or desired valuation in an appraisal
      report prior to the completion of the appraisal report, or requesting that a
      Chattel Appraiser provide estimated values or comparable sales at any time prior
      to the Chattel Appraiser’s completion of an appraisal report; • providing the
      Chattel Appraiser with an anticipated, estimated, encouraged, or desired value
      for a subject Property, or a proposed or target amount to be loaned to the Borrower,
      except for a copy of the sales contract for purchase and any addendum, which
      must be provided; • providing the Chattel Appraiser, appraisal company, AMC,
      or any entity or person related to the Chattel Appraiser, with stock or other
      financial or nonfinancial benefits; • allowing the removal of a Chattel Appraiser
      from a list of qualified Chattel Appraisers or the addition of a Chattel Appraiser
      to an exclusionary list of qualified Chattel Appraisers, used by any entity,
      without prompt written notice to the Chattel Appraiser that includes written
      evidence of the Chattel Appraiser’s illegal conduct, violation of USPAP or state
      licensing standards, improper or unprofessional behavior, or other substantive
      reason for removal; I. DOING BUSINESS WITH FHA B. Other Participants 9. Title
      I Chattel Appraisers Handbook 4000.1 122 Last Revised: 11/26/2025 • ordering,
      obtaining, using, or paying for a second or subsequent appraisal or Automated
      Valuation Model (AVM) in connection with a mortgage financing transaction, unless:
      o there is a reasonable basis to believe that the initial appraisal was flawed
      or tainted, and such appraisal is clearly and appropriately noted in the case
      binder; or o such appraisal or AVM was completed pursuant to a written, pre-
      established bona fide pre- or post-funding appraisal review, quality control
      process, or underwriting guidelines, and the Lender adheres to a policy of selecting
      the most reliable appraisal, rather than the appraisal that states the highest
      value; and • any other act or practice that impairs or attempts to impair an
      Appraiser’s independence, objectivity, or impartiality or violates law or regulation.
      II. ORIGINATION THROUGH POST-CLOSING/ENDORSEMENT A. Title II Insured Housing
      Programs Forward Mortgages 1. Origination/Processing Handbook 4000.1 123 Last
      Revised: 11/26/2025 II. ORIGINATION THROUGH POST-CLOSING/ENDORSEMENT A. TITLE
      II INSURED HOUSING PROGRAMS FORWARD MORTGAGES The Title II Insured Housing Programs
      Forward Mortgages, Origination through Post- closing/Endorsement section in
      this FHA Single Family Housing Policy Handbook (Handbook 4000.1) provides the
      origination, underwriting, closing, post-closing, and endorsement standards
      and procedures applicable to all Single Family (one- to four-units) Mortgages
      insured under Title II of the National Housing Act, except for Home Equity Conversion
      Mortgages (HECM). The Mortgagee must fully comply with all of the following
      standards and procedures in originating, underwriting, and closing for obtaining
      Federal Housing Administration (FHA) mortgage insurance on a Mortgage. If there
      are any exceptions or program-specific standards or procedures that differ from
      those set forth below, the exceptions or alternative program or product specific
      standards and procedures are explicitly stated. Terms and acronyms used in this
      Handbook 4000.1 have their meanings defined in the Glossary and Acronyms and
      in the specific section of Handbook 4000.1 in which the definitions are located.
      1. Origination/Processing'
  judgment: false
