Reconsideration of Value – ROV

Fannie Mae, Freddie Mac, and HUD have expanded Reconsideration of Value (ROV) requirements outlining specific guidelines to enhance expectations for borrowers, lenders and appraisers.  Effective with loan applications taken on or after 10/31/24 for all Conventional, FHA, and USDA loans, borrowers are required to receive two new disclosures for reconsideration of Value (ROV):

1. Disclosure to borrower outlining ROV process at time of loan application and,

2. Another disclosure to borrower outlining ROV process when the appraisal report is provided

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  • Lenders must provide a disclosure to the borrowers, outlining the ROV process including submission requirements at the time of loan application and again at time of appraisal report provided to borrowers.

  • Your Gateway Regional Sales Manager can provide Sample Disclosures. Always be sure your Compliance/Legal Team approves of the Sample Disclosures shared.

  • Include in your loan file both required ROV disclosures and any borrower’s request for a ROV and documentation of the ROV review results.

Below FNMA link provides the rights and responsibilities of the borrower, lender and appraiser.
Appraiser Update June 2024 | Fannie Mae

Fannie Mae & Freddie Mac Requirements
Fannie Mae SEL 2024-03 and Freddie Mac Bulletin 2024-06

FAQs
FNMA FAQs
FHLMC FAQs
FHA FAQs

Please direct any questions to your Regional Sales Manager