Interim Rule Amends Federal Regulations to Temporarily Defer Appraisal and Evaluation Requirements for Certain Real Estate Transactions

In Client and Friends Memos by BMG Memorandum

In the April 17, 2020, Federal Register (85 FR 21312, click here), the Office of the Comptroller of the Currency, Treasury (OCC), Board of Governors of the Federal Reserve System (FRB), and the Federal Deposit Insurance Corporation (FDIC) adopted an interim final rule deferring the above agencies’ (collectively, the agencies) regulatory requirements for regulated institutions to obtain an appraisal or evaluation for up to 120 days following the closing of a transaction for residential and commercial real estate transactions, excluding transactions for acquisition, development, and construction of real estate.

 

The interim final rule (herein Rule) is effective April 17, 2020 through December 31, 2020. The Rule provides that covered real estate transactions closing on December 31, 2020 are also eligible for the Rule’s appraisal or evaluation deferral.

 

Full Memorandum