CHICAGO (March 6, 2019) – The Appraisal Institute and Freddie Mac today announced a partnership targeted to help real estate appraisers when valuing manufactured housing, meeting an important need for homebuyers, lenders, appraisers and homebuilders.
The Appraisal Institute’s partnership with Freddie Mac will provide practical appraisal training to all appraisers, as well as specifically-targeted training and case studies to address manufactured housing valuation assignments for Freddie Mac’s CHOICEHomeSM. CHOICEHome brings conventional mortgage financing to factory-built homes to help increase the availability of quality affordable homes that borrowers want while providing lenders with the innovative financing options they need.
This new generation of high-quality, factory-built homes, built to HUD-code, provides higher pitch roof lines; lower profile foundations; dry wall throughout; energy-efficient features; and site-built components, such as porches and decks, along with garage and carport type structures.
Freddie Mac will treat loans secured by CHOICEHome similar to the loans secured via a single-family, site-built home. As a result, appraisers will be able to use site-built housing as a comparable sale for valuation. Recognizing that appraising manufactured housing comes with certain challenges, typically around availability of comparable sales, additional flexibility to also consider and appropriately adjust site-built homes has been developed in the training.
“Outreach to Freddie Mac customers and the manufactured housing market indicated that there was a real opportunity to improve appraisers’ skill and knowledge in valuing manufactured homes,” said Chief Appraiser and Director of Single-Family Valuation, Scott Reuter. “Our partnership with the Appraisal Institute will meet a crucial need in the real estate industry with the current manufactured housing stock, as well as address the practical aspects of appraising a new class of manufactured homes.”
“We’re excited to work with Freddie Mac on this important and much needed venture,” said Appraisal Institute President Stephen S. Wagner, MAI, SRA, AI-GRS. “Our education is recognized as being second to none, and we look forward to enhancing the skills of appraisers across the country.”
Freddie Mac and the Appraisal Institute will offer more than 60 educational opportunities in classroom settings in nearly 30 states through November; online classes also will be offered. The first classes will be held April 16 (Dallas), April 23 (Atlanta), April 25 (Charlotte, North Carolina) and May 7 (Detroit).
Manufactured housing is the largest source of unsubsidized affordable housing in the United States. It supports the needs of very low-, low-, and moderate-income borrowers; borrowers in underserved markets and rural areas; and certain other demographics. More than 22 million U.S. families live in factory-built homes today. With that number expected to grow, factory-built homes offer a meaningful way to address the affordable housing supply shortage and expand access to quality housing options.
The Appraisal Institute has led the valuation profession for over 85 years by developing and maintaining the “body of knowledge,” also known as appraisal methodology. The Appraisal Institute is known worldwide for providing high-quality education that has set a standard for excellence and thoroughness.
For more information, or to sign up for classes, visit: http://www.myappraisalinstitute.org/education/course_descrb/def?ault.aspx?prgrm_nbr=883&key_type=CO