Determine GSE eligibility for hybrid or desktop appraisals on a loan casefile

Steps

1. Confirm the loan casefile must be run through the applicable AUS (e.g., Desktop Underwriter for Fannie Mae), which determines eligibility for a hybrid or desktop appraisal — these are not requested ad hoc by the lender.
2. For hybrid appraisals (Fannie Mae Selling Guide B4-1.2-03), confirm a property data collection (PDC) is performed by a trained, vetted third-party data collector before being handed to the appraiser to develop the value opinion.
3. Check the current Selling Guide for ineligible property/loan types (as of this writing this has included 2-4 unit properties, co-ops, manufactured homes, and construction/renovation loans) and reverify since eligibility lists are amended in guide updates.
4. For desktop appraisals (Fannie Mae Selling Guide B4-1.2-02, Form 1004 Desktop), confirm the scope of work does not include the appraiser personally inspecting the subject property or comparables.
5. Check the Collateral Underwriter (CU) risk score threshold tied to representation-and-warranty enforcement relief for the specific report type before relying on that relief.
6. For Freddie Mac loans, check the current Freddie Mac Seller/Servicer Guide directly rather than assuming parity with Fannie Mae's rules.