FHA Appraisal Process2017-11-28T00:25:17+00:00

FHA Appraisal Process

FHA appraisals carry a slightly different set of requirements than conventional appraisals. When taking out an FHA loan, it is important to understand that the appraiser will also look for safety and livability hazards and require them to be fixed before the FHA loan can move on to final approval.

Differences Between FHA and Conventional Appraisals

Conventional appraisals are based on the actual home value, this can be determined by either the comparable sales method, the income method, or the cost method. FHA appraisals consider the above and also confirm whether the house under appraisal meets the minimum standard of living requirement set by the department of Housing and Urban Development (HUD). Regarding FHA appraisals, the property should be in good condition with no bad repairs. There should be an appliance in a spot if there is a built in place for it. The home cannot have any broken windows, broken stairs, and/or holes in the ceilings or walls.

Here are the four steps to the FHA Appraisal Process:


Order the Appraisal

Academy Mortgage submits an appraisal request on your behalf and a licensed FHA appraiser is randomly assigned.


Home Visit and Assessment

The assigned appraiser visits and inspects the property. The appraiser reviews the home’s livable square footage, features/upgrades, general overall condition, and its systems (heating/cooling, plumbing, etc.).


Research and Valuation

The appraiser researches recently closed home sales in the vicinity of the subject property and that are similar to the subject property. This data, combined with the information gathered in Step 2, helps the appraiser determine the subject property’s value.


Report Delivery

Once the appraiser completes the valuation process, the appraisal report is emailed to Academy. A copy of the appraisal report is also sent to you. The total process usually takes 5–10 business days.

Please contact Academy Mortgage Team 101 with any questions or concerns.