Quality Appraisal Reviews by Covenant Appraisals

As said in an announcement by the Federal Reserve, "financial institutions are required to have effective, unbiased real estate appraisal and evaluation programs," and that appraisers doing reviews are obligated to "have the ability and expertise to determine compliance with the Federal Reserves appraisal regulations and guidelines." Here at Covenant Appraisals, we provide appraisal review services that are objective, efficient, professional and in accordance with the Federal Reserve's rules.

Appraisal reviews "have to determine whether the appraisal or evaluation is suitable for the transaction, the risk of the transaction, and whether the method by which the collateral valuation is acquired guarantees independence and quality," the Federal Reserve says. Moreover, they "should indicate whether the appraisal or evaluation report is compatible with the letter of engagement, which gives an account of the capacity of the appraisal assignment." The Federal Reserve also says that "some institutions reinforce routine reviews with post-funding surveys of appraisal quality for some of their high-risk or high-value contracts as a method to help in detecting valuation complications."

In addition to adapting our work to the regulations and guidelines of our review customers, there are four Fannie Mae forms that are usually used for review services, and we'll develop an appraisal review on any of them. They include an appraisal "desk" review, a "field" review, a "short" form and a "narrative" form. At Covenant Appraisals, we are qualified in every kind of appraisal review, review process and the obligations of review appraisers.