These can be addressed by the types of structures (detached, attached) and architectural styles in the neighborhood (such as row or townhouse, colonial, ranch, or Victorian) current land use (such as single-family residential, commercial, or industrial) typical site size (such as 10000 sf, or 2.00 ac) or street patterns or design (such as one-way street, cul-de-sac, or court).įactors that affect the value and marketability of properties in the neighborhood. Appraisers should not reference a map or other addendum as the only example of the neighborhood boundaries. These boundaries may include, but are not limited to streets, legally recognized neighborhood boundaries, waterways, or other natural boundaries that define the separation of one neighborhood from another.
The appraiser should provide an outline of the neighborhood boundaries, which should be clearly delineated using ‘North’, ‘South’, ‘East’, and ‘West’. Fannie Mae requires the appraiser to perform an objective neighborhood analysis by identifying neighborhood boundaries, neighborhood characteristics, and the factors that affect the value and marketability of properties in the neighborhood. Fannie Mae’s appraisal report forms and guidelines do not require the appraiser to rate or judge the neighborhood.