SOURCE: Fannie Mae — Borrower-Initiated Reconsideration of Value (ROV), Frequently Asked Questions Updated September 26, 2024. Official policy reference: Selling Guide section B4-1.3-12, Appraisal Quality Matters. URL: https://singlefamily.fanniemae.com/media/40591/display ===================================================================== Borrower-Initiated Reconsideration of Value (ROV) — Frequently Asked Questions On May 1, 2024, Fannie Mae, in collaboration with Freddie Mac and HUD, published requirements related to a borrower-initiated reconsideration of value (ROV) that promote consistency when a perceived appraisal issue and/or appraisal deficiency exists. These requirements also recognize the importance of the borrower having the knowledge and opportunity to request an ROV. These FAQs provide additional information about the borrower-initiated ROV requirements. Lenders should refer to Selling Guide section B4-1.3-12, Appraisal Quality Matters, for the comprehensive policy requirements. Q1. Why did Fannie Mae implement these requirements? Historically, lenders have maintained their own ROV policies and procedures; Fannie Mae is implementing ROV requirements to promote consistency throughout the borrower-initiated ROV process. Q2. Will standardized order or disclosure forms be provided by Fannie Mae to lenders? No, lenders are responsible for creating and providing forms that include the information required by Fannie Mae Selling Guide B4-1.3-12, Appraisal Quality Matters. Q3. What does the requirement to provide a disclosure "at the time of application" mean? The first disclosure occurs "at the time of loan application," which is the same as the "application date" definition in the Selling Guide glossary and aligned with the Truth in Lending Act and Real Estate Settlement Procedures Act (TRID or TILA-RESPA) definition in Regulation Z regarding the timing of disclosure. Q4. How will Fannie Mae evaluate compliance with the ROV requirements? Compliance with these requirements will be part of the lender's operational review. Q5. What if the borrower-initiated ROV request submitted to the lender does not meet the minimum Fannie Mae requirements? If the borrower-initiated ROV does not meet the minimum Fannie Mae requirements, the lender should work with their borrower(s) to obtain any missing information and ensure the ROV request meets Fannie Mae requirements before sending the request to the appraiser. Q6. Can the borrower initiate more than one ROV? The borrower may request a maximum of one ROV for each appraisal report. Q7. Will a borrower-initiated ROV replace a lender's ability to request an ROV? No, Fannie Mae's borrower-initiated ROV requirements do not replace the lender's underwriting practices, which may provide for an ROV to be requested by someone other than the borrower. Q8. Can the borrower

Appraisal Process 10-33 22. Reconsideration of Value Change Date March 11, 2019 • This chapter has been revised in its entirety. a. Written Request After the NOV has been issued, the Veteran may request reconsideration of value in writing by contacting the RLC of jurisdiction. If the request is submitted to the RLC through the lender, the SAR is encouraged to research market data and provide a recommendation to the RLC with the Veteran’s request. b. Market Data Providing market data in support of the request, as described in Chapter 10, Topic 8, of this Handbook, is encouraged, but not required. A market data grid is not required. c. Review by VA staff Within 5 business days, VA staff will review the appraisal report, additional submitted data, as well as the market data available through VA’s AMS. In some cases, VA staff may conduct a field review which will be completed within 20 business days. If VA staff determines that an increase in value is appropriate, VA will issue an amended NOV.