Learn how borrowers and Realtors can challenge a low appraisal using the proper Reconsideration of Value (ROV) process, including Fannie Mae guidance and VA Tidewater information.
If a home appraisal comes in lower than expected, borrowers and Realtors may be able to help prepare a formal Reconsideration of Value, also called an ROV. The key is knowing what information helps, what does not help, and how to submit the request through the lender’s approved process.
Need help reviewing a low appraisal or preparing an ROV request?
A Reconsideration of Value is a formal request submitted through the mortgage lender asking the appraiser to review specific concerns in the appraisal report. These concerns may include factual errors, missed property features, unsupported adjustments, or stronger comparable closed sales.
An ROV is not a complaint about the appraiser, and it is not simply a request to “raise the value.” It works best when the request is clear, professional, and supported by relevant market data.
Borrowers, Realtors, sellers, and loan officers should not pressure or directly contact the appraiser about the appraised value. The ROV request should be submitted through the lender’s approved appraisal review process.
A low appraisal does not automatically mean the appraisal is wrong. However, an ROV may be worth considering when there are clear, documentable issues that could have affected the final value.
The strongest ROV requests are short, organized, and specific. The goal is to make it easy for the appraiser to review the concern and determine whether a correction or value change is supported.
A strong ROV request should identify the specific issue, explain why it matters, and provide supporting documentation. Avoid overwhelming the appraiser with weak or unrelated information.
Examples include incorrect square footage, lot size, room count, garage information, property condition, or missing features that materially affect value.
Include major updates such as roof, HVAC, windows, kitchen, bathrooms, flooring, additions, or other improvements that may affect market value.
Provide relevant closed sales that are recent, nearby, similar in size, age, condition, design, and location.
For most ROV requests, quality matters more than quantity. Focus on the strongest comparable closed sales available. Many lender processes limit the number of submitted comparable sales, so it is usually better to submit a few strong comps than a long list of weak ones.
For Fannie Mae loans, the borrower may request a maximum of one borrower-initiated ROV for each appraisal report. That means the first submission should be complete, organized, and supported by the best information available.
Freddie Mac, FHA, VA, and individual lender procedures may differ, and lenders may have their own process for receiving and reviewing ROV requests. Because of that, borrowers and Realtors should follow the lender’s instructions before submitting anything.
Since the borrower may not have unlimited opportunities to submit additional information, the ROV should be prepared carefully before it is sent. Submitting a weak or incomplete request can reduce the chances of a successful review.
Fannie Mae’s borrower-initiated Reconsideration of Value requirements were created to promote a more consistent process when a borrower believes there may be an appraisal issue or appraisal deficiency. Fannie Mae also states that lenders are responsible for creating and providing ROV forms that include the required information.
Fannie Mae states that if a borrower-initiated ROV request does not meet the minimum requirements, the lender should work with the borrower to obtain the missing information before sending the request to the appraiser. This is why borrowers and Realtors should focus on complete, relevant, well-documented information before the ROV is submitted.
Realtors can be extremely helpful in the ROV process by identifying stronger comparable closed sales, pointing out missed property features, verifying property details, and explaining why certain comps may better reflect the subject property’s market. However, the ROV should still be submitted through the lender’s approved process, not directly to the appraiser.
Technical reference: Fannie Mae Reconsideration of Value ROV Guidance
VA appraisals have a separate process that may apply before the final Notice of Value is issued. This is commonly known as the VA Tidewater Initiative. Tidewater gives the lender and real estate parties an opportunity to provide additional market data when the VA appraiser indicates the value may come in below the sales price.
This is different from a traditional post-appraisal Reconsideration of Value because Tidewater happens before the VA appraiser issues the final value. For Idaho veterans, active-duty service members, and Realtors working with VA buyers, understanding Tidewater can be critical when a value concern comes up.
Learn About VA Tidewater in Idaho
Start by reviewing the report for factual errors, comparable sales used, adjustments made, property condition notes, and any comments that may affect value.
Determine whether the issue is a factual mistake, a missed property feature, a questionable comparable sale, or a stronger sale that should be reviewed.
Collect the best available closed sales and supporting documentation. If a home had major improvements, provide receipts, permits, contractor invoices, before-and-after photos, or a concise improvement list when available.
Use the ROV request form to organize the information. Keep the explanation professional, specific, and focused on facts.
Download the ROV Request Form
Send the completed ROV request through the lender’s approved process. The lender will review the request and determine whether it meets the required standards before submitting it to the appraiser.
Idaho markets can vary significantly from one city, subdivision, or rural area to another. A home in Boise, Meridian, Nampa, Caldwell, Eagle, Kuna, Star, Middleton, Twin Falls, Idaho Falls, or Coeur d’Alene may have different buyer demand, lot characteristics, condition expectations, and comparable sale patterns.
That is why an ROV should not simply grab the highest sales in the area. It should focus on whether the appraisal used the most appropriate market data for that specific property.
Two homes may be close on a map but compete in different markets due to school boundaries, subdivision quality, home age, lot size, amenities, or buyer demand.
Rural Idaho appraisals can be more complex because comparable sales may be limited, spread out, or very different in acreage, condition, utilities, and property type.
1st Choice Mortgage Company helps Idaho borrowers and Realtors understand the mortgage process, including what happens when an appraisal comes in lower than expected. We do not control the appraised value, and we cannot pressure an appraiser, but we can help explain the proper lender process and what information is most useful in a Reconsideration of Value request.
Have questions about a low appraisal, ROV request, or Idaho mortgage approval?
An Appraisal Reconsideration of Value is a formal request submitted through the lender asking the appraiser to review specific concerns in the appraisal report.
No. An ROV does not guarantee a higher value. It gives the appraiser an opportunity to review specific, relevant, well-documented information.
Yes. Realtors can help identify comparable closed sales, missed property features, market-area details, and factual issues. The ROV should still be submitted through the lender’s approved process.
You can suggest comparable sales, but they should be relevant. The strongest comps are usually recent closed sales that are similar in location, size, age, condition, design, and market appeal.
No. Appraisal questions and ROV requests should go through the lender’s approved appraisal review process.
For Fannie Mae loans, the borrower may request a maximum of one borrower-initiated ROV per appraisal report. Other loan types and lender procedures may differ.
No. VA Tidewater usually happens before the VA appraiser issues the final value, while a Reconsideration of Value generally happens after an appraisal has already been completed. VA loans have their own appraisal review process, so VA buyers and Realtors should follow the lender’s VA-specific instructions.
If you are working through a low appraisal, it may also help to review loan program requirements, appraisal standards, and Idaho mortgage options.
This page is for general educational purposes only and is not legal, appraisal, or underwriting advice. Appraisal review rules and lender overlays can change. Always follow your lender’s specific ROV process. 1st Choice Mortgage Company, LLC. Company NMLS #380736. Jerry Robinson Individual NMLS #4475. Equal Housing Opportunity.
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