Reconsideration of Value Overview and Guidance

Waterstone Mortgage is committed to providing our customers with an easy method for raising concerns about property appraisals performed during the application process. If an appraisal is performed on your home, you will be provided a copy in accordance with regulatory requirements. You should review the appraisal report and contact your loan originator if you have any questions or concerns about the appraisal process or the reliability or credibility of the appraisal such as:

  • Factual errors in room count, gross living area, or other factual inaccuracies related or unrelated to the value.
  • Comparable property sales selected may not be the most suitable.
  • Evidence that the appraisal was influenced by bias or discrimination.

What is a Reconsideration of Value (ROV)?

A Reconsideration of Value (ROV) is a formal request made by a consumer for the appraiser to reevaluate the analysis and conclusions of the initial appraisal using additional information provided by the consumer that the consumer believes to be relevant to the appraiser’s value determination.

The ROV Process is not intended to change the value because someone is dissatisfied with the appraisal conclusions or outcome. However, if there are any issues with the reliability or credibility – including any evidence of discrimination or bias – the appraisal value may be reconsidered, or a new appraisal report may be ordered.

Important Note: The ROV process must be completed prior to closing your mortgage loan transaction. Only one (1) ROV request is permitted per appraisal report. Any ROV requests submitted after closing will not be considered.

How the ROV Process Works

You may complete the ROV Request Form on your own or consult with your real estate agent or loan originator for their input as to which comparables or other relevant information may be beneficial to include with your request.

Gather Supporting Evidence

  1. Collect any relevant information or documents that support your request. This may include:
    • Additional comparable sales that were not considered in the initial appraisal
    • Comparable sales must be for a closed purchase within the last 12 months and prior to the effective date of your appraisal.
    • Comparables must come from a verifiable source such as MLS or County Records. Sources such as Zillow and Trulia are not considered verifiable sources and cannot be used.
    • No active listings or contingent sales will be considered.
    • Comparables must be in close proximity to your property and with similar characteristics such as room count, style square footage, updates, location, view, etc.
    • No more than (5) five sold comparables may be submitted.
  2. Description of factual errors or omissions such as incorrect room count; square footage; age of the home; quality or condition ratings; and/or failing to include features such as fireplace, pool, patio, or other amenities.
  3. Report any verbal discriminatory or biased comments by the appraiser, and/or note any references to diversity or lack of diversity, ethnicity, languages, neighborhood gentrification, or other discriminatory references or language in the appraisal report.

Complete the ROV Request Form

Fill out the ROV Request Form provided by your loan originator or located on this page, providing detailed explanations, and attaching all supporting evidence.

Submit Your Request

Once the ROV Request Form is completed, email the request and supporting documentation to your loan originator.

You must complete and return the ROV Request Form. Simply requesting a form does not constitute an ROV request. The form must be returned to and accompanied by supporting documentation to constitute an ROV Request and to initiate the process.

It is important to note that only a mortgage lender can officially request an ROV on behalf of the borrower.

What Happens Next?

Upon receiving your ROV request, we will:

  • Acknowledge receipt of the ROV request in writing.
  • Review the provided information and supporting documentation. If clarification or corrections are needed, we will contact you in writing for further explanation.
  • Forward your request to the appraiser for reconsideration.
  • After receiving the appraiser’s decision and any adjustments to the appraisal report, notify you in writing of of our final determination within fourteen (14) business days of submitting your request.

An ROV is a request of the appraiser (not Waterstone Mortgage’s Appraisal department) to make factual corrections, reconsider alternate sales, and/or to provide additional support for their conclusions. The appraiser has complete independence from all parties involved.

This determination for reconsideration or a new appraisal report is based on all of the above and is at the discretion of Waterstone Mortgage.

Appraiser Independence Requirements

Appraiser Independence Requirements (AIR) set forth standards to safeguard the independence, objectivity, and impartiality of appraisers throughout the valuation process. No person is allowed to influence or attempt to influence the development, reporting, result, or review of an appraisal through coercion, extortion, collusion, compensation, inducement, intimidation, bribery, or any other manner.

To avoid any appearance of influence:

  • Do not provide an anticipated, estimated, encouraged, or desired value or value range for the property.
  • Do not provide a prior appraisal report; however, you may include comparables from that report should they still be timely.
  • Be respectful in your completion of the ROV Request Form.

If this guidance is not followed, you may be asked to resubmit the ROV Request Form.

If you have any questions or need any further assistance, please contact your loan originator to help you through this process.