Home Appraisal Waivers Now Available for Some Loans

A recent change in Freddie Mac and Fannie Mae policy allows some homeowners to forgo formal appraisals when seeking mortgage loans or refinances.

Properties invoking the new waiver will be evaluated with proprietary analytics and property data to value homes. This could save homeowners the time and money of in-person appraisals, which cost $500 on average, according to Realtor.com.

However, not everyone is eligible for these appraisal-free loans, which typically require a down payment of at least 20%, according to the Washington Post. Borrowers can't request these faster-track valuations; Fannie and Freddie identify properties that they deem appropriate, favoring those that have had other appraisals in the past few years.

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