United States' National Credit Union Administration, alongside the Federal Deposit Insurance Corporation, the Federal Reserve Board and the Office of the Comptroller of the Currency, has temporarily paused certain appraisal requirements for real estate-related transactions in Los Angeles County, California to facilitate recovery from this year’s wildfires and straight-line wind damage. The relief is intended to allow banks and credit unions to work with affected families and businesses without obtaining an appraisal, while still requiring institutions to determine that the real estate value supports the decision to enter into the transaction. The agencies expect the pause to help institutions lend or modify loans in areas where damage has made appraisals difficult to obtain and to reduce loan processing times. The action expires on January 8, 2028, and the agencies will monitor institutions’ real estate lending practices to ensure transactions are conducted in a safe and sound manner.
National Credit Union Administration 2025-04-15
United States' National Credit Union Administration and other federal banking regulators temporarily pause appraisal requirements to support Los Angeles County disaster recovery lending
The National Credit Union Administration, with the FDIC, Federal Reserve Board, and Office of the Comptroller of the Currency, has temporarily suspended certain appraisal requirements for real estate transactions in Los Angeles County to aid recovery from wildfires and wind damage. This allows transactions without appraisals if the real estate value supports it. The suspension is effective until January 8, 2028, with ongoing monitoring for safe lending practices.