Property Valuation

A 'drive-by' or 'exterior inspection' appraisal (Form 2055) in Tennessee is typically used for:

AAll residential mortgage transactions
BLower-risk refinance transactions where the lender does not require a full interior inspection✓ Correct
CInvestment properties with multiple units
DProperties in rural areas where access is difficult

Explanation

Limited appraisal reports like Form 2055 (exterior-only inspection) are used by lenders for lower-risk transactions — primarily refinances with existing equity — where a full interior inspection is not required. They are less comprehensive and appropriate only in limited circumstances.

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