The FDIC issued a notice of proposed rulemaking to raise the threshold for residential real estate transactions requiring an appraisal from $250,000 to $400,000. The agency said updating the threshold, which was last increased in 1994, would exempt an additional 214,000 residential real estate loans.
The proposal would instead require exempt transactions to obtain an evaluation consistent with safe and sound banking practices. It also would incorporate the ICBA-advocated rural residential appraisal exemption in the S. 2155 regulatory relief law.
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