Do appraisers have to consider the prior sales history of a property?

The Uniformed Standards Professional Appraiser Practice (USPAP), requires appraisers to analyze all prior sales of the subject property within the past three (3) years for all types of real property (including one-to-four family), if such information is available in the normal course of business.     Except under limited circumstances, a re-sale within 90 days of the last sale is not eligible for an FHA-insured Mortgage.  The temporary waiver of FHA's regulation that prohibits the use of FHA financing to purchase single family properties that are being resold within 90 days of the previous acquisition, expired on December 31, 2014.

For policy information see Handbook 4000.1 Section II.A.1.b.iv.(A)(3) and II.D.4.c.iii available at https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh

All policy information contained in this knowledge base article is based upon the referenced HUD policy document. Any lending or insuring decisions should adhere to the specific information contained in that underlying policy document.


Topic Number: KA-04545