What You Need to Know About FHA Appraisers
June 28, 2026
FHA lenders select the appraiser, not the home buyer. This practice preserves the impartiality of the home valuation. The appraiser must remain independent from pressure to reach a specific property value or to revalue the home simply because a buyer or seller disagrees with the valuation.
The FHA Appraiser's Job
The appraiser's job includes establishing fair market value. This calculation provides the lender with the data needed to determine the loan-to-value ratio.
The appraiser must confirm that the property meets the Department of Housing and Urban Development Minimum Property Standards, which require that the home be safe, sound, and secure. If the appraiser identifies conditions that threaten the occupants' health or structural issues, they must note the issues and whether they can be corrected.
Examples include damaged roofing, peeling paint in properties constructed before 1978, or the absence of secure handrails. The lender reviews these findings to determine whether the property qualifies for FHA insurance or requires repairs before the loan can close. But before an appraiser can do any of this work, they must be on the FHA appraiser roster and be in good standing.
Appraiser Assignment Protocols
Lenders must ensure that the appraiser assigned to the file maintains status on the FHA Appraiser Roster, and some lenders may contract with Appraisal Management Companies to handle the logistics of assigning an FHA appraiser.
Even if a third party coordinates the assignment, the lender bears the full responsibility for the appraiser’s qualifications, and the appraiser must not have a financial stake in the transaction.
An FHA appraiser must meet several requirements.
- The appraiser must hold an active license as a Certified Residential or Certified General Appraiser. This certification must meet the standards of The Appraisal Foundation.
- The appraiser must actively appear on the FHA Appraiser Roster. HUD manages this list through the FHA Connection, a portal that tracks appraiser eligibility.
- Appraisers must follow the Uniform Standards of Professional Appraisal Practice. They must also comply with all HUD protocols, including the specific guidance outlined in the Single Family Housing Policy Handbook.
The lender makes a determination based on the appraisal, sets the fair market value based on it, and communicates to the borrower about FHA loan limits and the specific loan amount that may be approved based on the results of the appraisal.
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