Are there changes to the 1004D Appraisal Update/Completion Report?
To facilitate current technology changes, FHA removed the use of form HUD-92051 to be completed by the Appraiser and identified the use of Fannie Mae Form 1004D/ Freddie Mac Form 442 and the Certification of Completion report to document the completion of repairs.
1004D Appraisal Update/Completion Report
On January 10, 2025, the Federal Housing Administration (FHA) discontinued the requirement for appraisers to use Form HUD-92051 (Compliance Inspection Report). Instead, the Certification of Completion is now documented using Fannie Mae Form 1004D or Freddie Mac Form 442. Please note that Form HUD-92051 will be officially retired as of April 10, 2025.
Appraisal Update
- Perform an exterior curbside observation of the subject.
- Research, verify, and analyze current market data to determine if there has been any decline in the subject's appraised value.
- Supply a front photo of the subject.
- Any other supportable data deemed necessary.
- Include an extraordinary assumption that the interior finish and condition are the same as the original inspection and effective date.
All 1004Ds are automatically assigned to the Original Appraiser. If you are not able to complete the 1004D for any reason, require a fee increase, or an extended due date please email assigning@classvaluation.com as soon as possible.
Completion Report
- Please confirm with the point of contact for entry that all items are repaired prior to inspection. If you are made aware that any of the items are not complete, please do not proceed and notify us immediately. We will not accept a report without confirmation of completion of all items!
- Please include the name of the point of contact within the report.
- Supply a photo of the subject front.
- Supply photos of all repairs.
Additional FHA Specific Requirements
Special attention should be given to the following
- FHA Case Number – the FHA Case Number must be located in the upper right-hand corner just above the “File #”. It should not include “FHA No”, “FHA #” or similar verbiage in front of the case number. Do not include the FHA product code at the end of the case number, use only the first 10 digits “123-1234567”.
Appraisal Update
ONLY the FHA appraiser who performed the original appraisal (if currently in good standing and on the FHA Appraiser Roster) can complete an FHA Appraisal Update.
- The 1004MC is mandatory for an FHA/USDA Recertification of Value (Appraisal Update).
Completion Report
Completion of repairs or construction must be documented using Fannie Mae Form 1004D or Freddie Mac Form 442, regardless of property type.
Please include a statement that the subject property now meets the Property Acceptability Criteria as outlined in the Handbook 4000.1 FHA Single Family Housing Policy Handbook.