Practice Test Geeks(FHA) Federal Housing Administration Appraiser Certification Practice Test
← All FHA Flashcard Decks

Guidelines & Requirements Flashcards

7 cards from real FHA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Guidelines & Requirements flashcards as text

  1. Under HUD Handbook 4000.1, what is the validity period of an FHA appraisal for an existing property?

    Answer: 1 year

    FHA appraisals for existing properties are valid for 120 days from the effective date of the appraisal.

  2. When can an FHA appraisal be transferred from one lender to another?

    Answer: When the borrower moves the loan to a new FHA-approved lender before closing

    FHA allows appraisal portability so a borrower can transfer an existing appraisal to a new lender, preventing the need for a new appraisal.

  3. What is the FHA appraiser's obligation when the subject property's value appears to be influenced by non-arm's-length transaction terms?

    Answer: Disclose the non-arm's-length nature and analyze its impact on market value

    Appraisers must disclose non-arm's-length conditions and analyze how those conditions affect the market value opinion.

  4. Under FHA guidelines, which of the following best describes the 'as-is' versus 'subject to' appraisal conditions?

    Answer: An 'as-is' value reflects the current condition; 'subject to' reflects value assuming required repairs are completed

    FHA frequently requires 'subject to' appraisals where the value conclusion assumes required MPR repairs will be completed before loan closing.

  5. An FHA appraiser notices exposed electrical wiring in the basement. Under MPR guidelines, this should be:

    Answer: Cited as a safety hazard requiring repair before loan closing

    Exposed electrical wiring is a health and safety hazard that FHA MPRs require to be remediated before loan closing.

  6. For FHA new construction, which document must the appraiser review to support the 'subject to completion' appraisal?

    Answer: Approved plans, specifications, and exhibits provided by the builder or lender

    FHA requires new construction appraisals to be based on approved plans and specifications so the appraiser can describe the property as proposed.

  7. Under FHA guidelines, what is the appraiser required to do if a property is located within 300 feet of an underground storage tank (UST)?

    Answer: Note the proximity and flag it as a potential environmental hazard requiring further investigation

    FHA requires the appraiser to note UST proximity as a potential environmental concern and recommend further investigation by a qualified specialist.