New guidelines for the Reconsideration of Value (ROV) process, effective October 31, 2024, introduce new disclosure requirements for lenders working with Fannie Mae, Freddie Mac, and HUD loans. Borrowers must be notified of their right to request an ROV within three days of the loan application, and lenders must provide a detailed ROV process when delivering the appraisal. To comply, lenders should coordinate with Appraisal Management Companies (AMCs), update QC plans, and tailor disclosures to match their actual processes.
Watch The Internal Audit Insight episode below to learn best practices and ensure your ROV procedures align with industry regulations.
