News Release 2021-124 | December 1, 2021

Agencies Announce Threshold for Smaller Loan Exemption from Appraisal Requirements for Higher-Priced Mortgage Loans

Joint Release

Federal Reserve Board of Governors
Consumer Financial Protection Bureau
Office of the Comptroller of the Currency

The Consumer Financial Protection Bureau, the Federal Reserve Board, and the Office of the Comptroller of the Currency today announced that the 2022 threshold for exempting loans from special appraisal requirements for higher-priced mortgage loans will increase from $27,200 to $28,500.

The threshold amount will be effective January 1, 2022, and is based on the annual percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers, known as CPI-W, as of June 1, 2021.

The Dodd-Frank Act added special appraisal requirements for higher-priced mortgage loans, including that creditors obtain a written appraisal based on a physical visit to the interior of the home before making a higher-priced mortgage loan. The rules implementing these requirements contain an exemption for loans of $25,000 or less, adjusted annually to reflect CPI-W increases.

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Media Contacts

Federal Reserve
Laura Benedict
(202) 452-2955

CFPB
Anson Purdy
(202) 435-7290

OCC
Stephanie Collins
(202) 649-6870