Fred Griffin: How Long? Do FHA Appraisals Expire?

How Long? Do FHA Appraisals Expire?

      FHA Appraisals are now valid for only 120 days from the date on the Appraisal!  FHA will grant a 30 day extension, if the the Closing Date on the Sales Contract is longer than 120 days, but the Loan must be appoved by the Lender prior to the original 120 day expiration date.

________________________________________________

I recently attended a FHA Bi-Monthly Conference Call, mainly because of two topics being covered, the resent FHA Monthly Mortgage Insurance Premium (MIP), and the Minimum Cash Investment and Secondary Financing.  However, there was one additional topic that was covered which caught my attention, the 25 most often asked questions that FHA has received through there Resource Center.  The #1 question which has been asked almost twice as much as any other question is Do FHA Appraisals Expire?  FHA has received this question through their Resource Center 4,923 times.  So I figured that if FHA has been asked that question that many times, then it might be worth making the answer available to this question here on ActiveRain.

FHA provided an answer to this question which is in my opinion is way to long, and complicates what I consider to be a simple answer.  So here in my blog I will not give the complicated FHA answer, I will keep it simple.

Prior to January 1, 2010 FHA appraisals were valid for six months, but from January 1, 2010 to the present, FHA appraisals are now only valid for a 120 days from the date on the appraisal.  FHA will grant a 30 day extension if the the Closing Date on the Sales Contract is longer than 120 days, but the Loan must be appoved by the Lender prior to the original 120 day expiration date..

FHA also has a very limited provision for the transfer of an appraisal if the Borrower begins the loan process with one Lender, but ends up switching Lenders before receving an approval.  The need to switch Lenders could be for a number of reasons, but the two main reasons would most likely be, because they were denied by the original Lender, or became dissatisfied with the original Lender.  This provision is very limited and it is the exception not the norm.  Even though a transfer of a FHA appraisal may be possible, many Lenders will require a new appraisal to be done.  Also the 30 day extension is not allowed should the transfer of an appraisal be granted. 

Do FHA Appraisals Expire?  Yes at 120 days, with a possible 30 day extension.

 

*******************************************************************************

 Info about the author:

George Souto is a Loan Officer who can assist you with all your FHA, CHFA, and Conventional mortgage needs in Connecticut. George resides in Middlesex County which includes Middletown, Middlefield, Durham, Cromwell, Portland, Higganum, Haddam, East Haddam, Chester, Deep River, and Essex. George can be contacted at (860) 573-1308 or gsouto@mccuemortgage.com

 

Frederick Griffin, Licensed Florida Real Estate Broker    850-545-1901

 

Tallahassee Florida Metropolitan Area

Exclusive Representation for Buyers and Sellers 

Call Fred  850-545-1901

 

 Realtor logo       HUD Logo Fair Housing

 

 

Frederick Griffin, Licensed Florida Real Estate Broker    850-545-1901

 

Disclaimer:  Nothing in the above blog article is to be construed as legal advice, tax advice, or financial advice.  For legal advice see an attorney.   For tax advice or financial advice see a tax attorney, certified public accountant, or other qualified professional.

 

Comment balloon 9 commentsFred Griffin • June 18 2013 07:34PM

Comments

Fred thank you for the re-blog, I appreciate you helping to pass this information to your readers

Posted by George Souto, Your Connecticut Mortgage Expert (George Souto NMLS #65149 FHA, CHFA, VA Mortgages) over 4 years ago

Hi, George!  You are welcome; great information as always.

Posted by Fred Griffin, Licensed Florida Real Estate Broker (Fred Griffin Real Estate) over 4 years ago

Fred, I remembered that I thought FHA appraisals lasted for six months.  I was not aware that it had been changed to four months.  So, thanks to George for the update.

Posted by Karen Anne Stone, Fort Worth Real Estate (New Home Hunters of Fort Worth and Tarrant County) over 4 years ago

Nice job with the re-blog. Great information that George shared in his post, just in case you ever run into the issue.

Posted by Joe Petrowsky, Your Mortgage Consultant for Life (Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709) over 4 years ago

Good information to re-re-blog. It makes sense to have a limitation on the appraisal. In an improving market the appraisal should be "safe" over a three to four month period.

Posted by Gary L. Waters, Broker Owner, Waters Realty of Brevard, LLC, ... a small office, delivering big service! (Waters Realty of Brevard, LLC) over 4 years ago

Fred, nice re-blog of George's blog on the change in FHA appraisals.  He consistently provides current, important info on the mortgage loan industry.

Posted by Pat & Steve Pribisko (Keller Williams Greater Cleveland West) over 4 years ago

Good choice of re-blog Fred.  It's rare we would have to utilize this but good info for the memory file my friend.

What .... You mean I used our rock pic in the past?  Who knows.... when one has posted as many blogs and Debbie and I have anything is possible.  We've been running with a hot market and blogging when and what we can on AR.  I'm seeing a good return with G+.  How's it working for you?  Stay cool my friend.

Posted by John McCormack, AlbuquerqueHomes.com, Albuquerque Homes Realty (Albuquerque Homes Realty * www.AlbuquerqueHomes.com) over 4 years ago

Fred: Nice reblog this is filled with great information. Have a wonderful week. 

Posted by Alan Kirkpatrick, Alan in Austin (Austin Texas Homes) over 4 years ago

Hi Fred, Nice re-blog.  I have come across George when I was working in NJ, great guy small world!

Posted by Christine OShea (RE/MAX Realty Select) over 4 years ago

Participate