Under the 3-day appraisal rule, a lender handling your application for a loan secured by a first lien on a home must give you a free copy of every appraisal and other written valuation of the property, and must do so either promptly after the report is completed or at least three business days before your loan is finalized, whichever comes first. The lender cannot charge you for the copies, though it can charge a reasonable fee to cover the cost of preparing the underlying report.1Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(1) In general. and (a)(3) Reimbursement.
You also do not need to ask. The duty to deliver sits with the creditor, and it applies whether the loan is ultimately approved, denied, or withdrawn. Within three business days of receiving your application, the lender must notify you of your right to receive these copies.2Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(1) In general.
What Counts as a Valuation
The rule reaches further than the formal appraisal report most buyers picture. A written valuation is any estimate of the dwelling’s value developed in connection with your credit application, which includes:3Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (b)(3) Valuation. and Official interpretation of (b)(3) Valuation.
- Automated Valuation Models (AVMs) that rely on statistical data
- Broker Price Opinions (BPOs) prepared by real estate agents
So even if the lender waives a traditional appraisal and relies on an automated tool or a broker’s opinion instead, any resulting written valuation still has to come to you, on the same timeline.4Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(1) In general. and Official interpretation of (b)(3) Valuation.
Which Loans the Rule Covers
The rule applies to credit applications that will be secured by a first lien on a dwelling, meaning a residential structure with one to four units. It covers purchase mortgages, refinances, and home equity lines of credit when the HELOC sits in the first-lien position, whether the credit is for personal, family, or business purposes.5Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(1) In general. and Official interpretation of (a)(1) In general. (Comment 14(a)(1)-1 Coverage.)
Second mortgages and other subordinate-lien loans are outside the rule, as are loans secured only by bare land with no residential structure on it.6Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(1) In general. and (b)(2) Dwelling.
How the Three Business Days Are Counted
For a standard mortgage, the clock runs to consummation, which is the moment you become legally obligated on the transaction. For a HELOC or other open-end credit, the copies must reach you before the account is opened.7Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(1) In general. and (b)(1) Consummation.
Delivery timing depends on the method. If the lender mails the reports, they are treated as delivered three business days after mailing, unless there is proof you received them sooner. Electronic delivery is allowed, but the lender must comply with the E-Sign Act, which includes getting your consent to receive the documents digitally.8Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(5) Copies in electronic form. and Official interpretation of (a)(1) In general. (Comment 14(a)(1)-4.i Timing.)
Waiving the Three-Day Wait
You can waive the three-business-day advance delivery, but you are not giving up your right to the reports themselves. The waiver generally has to be given at least three business days before the loan is finalized. Once you waive, the lender can hand over the copies at or before consummation or account opening. And if the deal falls through, the lender still has to send the copies within 30 days of deciding the transaction will not go forward.2Consumer Financial Protection Bureau. 12 CFR § 1002.14 – Section: (a)(1) In general.
Waiving is a choice about timing, not about access. Getting the valuation early is what lets you check the number the lender is relying on against what you have agreed to pay, so the three-day window is worth using unless you have a specific reason to close sooner.