Appraisal Reviews by Smithworks LLC

According to a statement by the Federal Reserve, "financial institutions are obligated to have an effective, objective real estate appraisal and evaluation plan," and that appraisers doing reviews are obligated to "have the ability and expertise to determine compliance with the Federal Reserves appraisal rules and guidelines." At Smithworks LLC, we provide appraisal review services that are independent, efficient, professional and square with the Federal Reserve's guidelines.

As stated by the Federal Reserve, appraisal reviews "ought to find out whether the appraisal or evaluation is appropriate for the transaction, the liability of the transaction, and whether the processes by which the collateral valuation is accomplished guarantees independence and quality." Moreover, they "should show whether the appraisal or evaluation report is compatible with the letter of engagement, which sets forth the extent of the appraisal assignment." Lastly, the Federal Reserve notes that "some banks supplement regular reviews with post-funding surveys of appraisal quality for any of their higher-liability or higher-value transactions as a control to assist in exposing valuation problems."

In addition to adapting our work to the processes and guidelines of our review customers, there are four Fannie Mae forms that are widely used for review services, and we'll prepare an appraisal review on any of them. They include an appraisal "desk" review, a "field" review, a "short" form and a "narrative" form. At Smithworks LLC, we're skilled in every type of appraisal review, review practice and the requirements of review appraisers.