No Appraisal Required? Yeah, that’s right! No Appraisal!

Over the years I have seen many remarkable features offered in mortgage finance. But, no appraisal requirement? Just to explain and give it scale, let’s answer: Why is an appraisal required? Simply put, it is the single greatest protection against loss to a financial institution. That is, in the event of default, the bank looks first and foremost to the equity in the home. More important than fico scores, income documentation and the like. Yup, it’s E.Q.U.I.T.Y. – let’s say it another way…..It’s a very big deal!

And now, the door which has been locked shut for so long is now open. The pain and suffering of a high interest rate can now be overcome. Today’s mortgage environment has added a stunning new feature. Under new guidelines covered by HARP I, HARP II, and FHA Streamline I have found one recurring feature. FannieMae, FreddieMac, and FHA guidelines are increasingly offering “appraisal waivers”. With so many good borrowers “upside down” in their equity positions needing help, they are now receiving this help by not needing an appraisal.

If you’re suffering with a rate higher than 4.50% it might be a great time to see if you can refinance without an appraisal. What this means is, even if you owe more than your homes value, you may STILL move forward.

We strongly recommend you get in touch with your mortgage professional and find out. This may very well be the magic bullet you’ve been searching for. Appraisal Waiver!