Fannie Mae to Adopt ANSI Measurement Standard in 2022

Yellow tape measure, scale and pencils on architectural drawing plan of house project, blueprint rolls on working table, ANSI measurement standard concept

On December 15, 2021, Fannie Mae issued Announcement SEL-2021-11 which heralded a number of changes that were made to its Selling Guide. Several of the changes are aimed at underwriters and do not affect appraisers; however, there is one significant change for appraisers that will change the way they inspect properties in the not-so-distant future.

As of April 1, 2022, Fannie Mae will require appraisers to measure subject property improvements using ANSI Standard Z765-2021. According to the Announcement, “Appraisals requiring interior and exterior inspections must follow this standard; appraisals of this type performed without using this standard will not be acceptable.”

The American National Standards Institute (ANSI) revised its Z765 Standard early in 2021; previous versions of this standard should not be used. Appraisers should note that ANSI Z765 applies only to single-unit (single-family) residences. Also, ANSI Z765 must be used in its entirety; an appraiser is not permitted to pick and choose which part or parts of the standard to use.

ANSI Z765 is a copyrighted document; a downloadable PDF is available for purchase from Home Innovation Research Labs for $25.00. The website can be accessed here: https://www.homeinnovation.com/z765.

Appraisers may begin using ANSI Z765-2021 immediately but are not required by Fannie Mae to do so until April 1, 2022. To prepare appraisers for using this standard, McKissock is offering a live stream course titled Measuring 1-4 Unit Residential Properties with ANSI Z765 Standard.

Self-paced online CE course now available! Enroll in Residential Property Measurement and ANSI Z765, now approved in most states and territories. Or, click here for live stream options.

An additional appraisal-specific change to the Selling Guide addresses the selection of comparable sales in a new or recently converted condo project or subdivision. A link to the Announcement may be found here.

Each year more than 100,000 professionals advance their career with McKissock Learning.

Hear what they have to say.

See More Reviews