Which appraisal report type do California lenders commonly rely on for single-family residence financing?
Correct Answer
B) Summary Report
The Summary Report format provides a concise but complete presentation of the appraiser's analysis, data, and conclusions, making it ideal for lender use in residential mortgage transactions. In California, lenders use the Fannie Mae Form 1004 — a Summary Report — because it meets both USPAP standards and secondary market guidelines set by Fannie Mae and Freddie Mac. This format gives underwriters all the information needed to assess collateral value without the excessive length of a Self-Contained Report.
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