New floorplan requirements for traditional and desktop appraisals

by Chuck Mureddu, SWBC LenderHUB

The way home appraisals and valuation services are conducted is changing. The introduction and wide acceptance of desktop and hybrid appraisals during the COVID-19 pandemic have led GSEs Fannie and Freddie to update and standardize the methods used to measure, calculate, and report floor plan details used in these appraisals.

According to Fannie Mae, “Appraisers will be required to use the Square Footage-Method for Calculating: ANSI® Z765-2021 (American National Standards Institute®) Measuring Standard for measuring, calculating, and reporting gross living area (GLA) and non-GLA areas of subject properties for appraisals requiring interior and exterior inspections with effective dates of April 1, 2022, or later.”

The two major GSE’s adoption of the ANSI standard for measuring floor plans is intended to:

  • Create cohesion among market participants

 

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