If the appraisal is ordered by the lender in a Code-compliant manner, are there any specific requirements about how the payment for the appraisal is transferred to the lender?
Except for the requirement that the broker may not be responsible for payment of compensation to the appraiser, the Code does not restrict how a lender obtains fees from a broker. So, for instance, a borrower may write a check to a broker, or provide their credit card information to a broker, for the broker to send to the lender or to an agent authorized by the lender.
Are borrowers precluded from providing payment for an appraisal to an AMC?
The Code does not prohibit a borrower from providing payment to an AMC; however, the borrower may not pay the appraiser directly for an appraisal.
Does the Code prohibit an appraiser from collecting payment for the appraisal directly from the borrower?
Yes, for loans to be delivered to Fannie Mae. The Code requires the lender or any third party specifically authorized by the lender to select, retain, and provide for all compensation to the appraiser.
