Property Valuation
An Oklahoma lender orders an appraisal but the borrower wants to use an appraisal they obtained themselves. Under current lending practices:
AThe borrower's appraisal is always acceptable to lenders
BLenders must order their own appraisals under FIRREA and Appraiser Independence Requirements (AIR) to ensure the appraiser is free from borrower influence✓ Correct
CEither appraisal is acceptable if the values match
DAppraisals are optional for loans under $500,000
Explanation
Appraiser Independence Requirements (AIR) prohibit lenders from using appraisals ordered by borrowers. Lenders must order appraisals through an independent process (often using an Appraisal Management Company) to ensure no improper influence on the appraiser's value conclusion.
People Also Study
Related Oklahoma Questions
- An Oklahoma buyer's lender orders an appraisal. The appraisal comes in $15,000 below the purchase price. The most common outcomes are:Finance
- An Oklahoma property management company creates a 'good neighbor policy' that requires tenants to assimilate into the local culture and avoid practices that are 'different from community norms.' Such a policy could violate:Fair Housing
- When an Oklahoma appraiser assigns 'condition ratings' to a property under UAD (Uniform Appraisal Dataset) requirements, a C3 rating means the property:Property Valuation
- An Oklahoma appraisal performed using the 'as-is' market value standard reflects:Property Valuation
- An Oklahoma buyer makes a purchase offer of $365,000. The appraiser values the home at $358,000. The lender will finance 80% LTV. How much cash must the buyer bring to closing (down payment + appraisal gap), ignoring closing costs?Real Estate Math
- An Oklahoma appraiser's final opinion of value in an appraisal report is expressed as:Property Valuation
- An Oklahoma property management company develops a 'tenant score' using algorithms that consider factors like social media presence and purchasing behavior. HUD and fair housing advocates are concerned that such algorithms may:Fair Housing
- An appraiser determines a subject property's value using the gross rent multiplier (GRM). The property rents for $1,800/month and comparable properties sell for 120 times monthly rent. The estimated value is:Property Valuation
Key Terms to Know
Appraisal
A professional estimate of a property's market value prepared by a licensed or certified appraiser.
Private Mortgage Insurance (PMI)Insurance required by lenders on conventional loans with less than 20% down payment, protecting the lender — not the borrower — against default.
Debt-to-Income Ratio (DTI)A lender's measure of a borrower's monthly debt obligations relative to their gross monthly income, used to evaluate loan eligibility.
Pre-ApprovalA lender's conditional commitment to loan a specific amount to a borrower, based on verified income, credit, and assets.
State-Specific Concepts
Continuing Education
Study This Topic
Practice More Oklahoma Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Oklahoma Quiz →