Many people assume an appraisal is an appraisal. But who orders it, and why, changes a lot: who the client is, who can use the report, and whether it can be used for the job you have in mind. Here is the difference between lender-ordered and private appraisals.
Key Takeaways
- Lender appraisals are ordered by the lender, often through an appraisal management company, to support a loan.
- Appraiser independence rules keep borrowers and loan officers from choosing or pressuring the appraiser.
- Private appraisals are ordered by you or your attorney for a specific use, such as an estate, divorce, or tax appeal.
- A lender generally will not accept a privately ordered appraisal for a loan.
- The intended use and the client named in the report decide who can rely on it.
Lender-Ordered Appraisals
When you buy or refinance with a mortgage, the lender orders the appraisal, often through an appraisal management company. Federal appraiser independence rules keep the borrower and the loan officer from choosing or influencing the appraiser. The lender is the client, and the report is written for the lending decision. You are entitled to a copy, generally before closing.
Private Appraisals
A private appraisal is ordered by a homeowner, an executor, an attorney, or another party for a specific purpose. The person who orders it is the client, and the report states the intended use. Common reasons include:
- Estates and date-of-death values
- Divorce and buyouts
- Property tax appeals
- Pre-listing pricing
- Family sales, partnership splits, and planning
| Lender appraisal | Private appraisal | |
|---|---|---|
| Who orders it | Lender or management company | You, your attorney, or executor |
| Client | The lender | The person who ordered it |
| Intended use | Loan decision | Estate, divorce, tax appeal, pricing, planning |
| Choice of appraiser | Not the borrower | You choose |
| Effective date | Current | Current or a past date |
Why One Can’t Replace the Other
A lender appraisal is written for a loan and names the lender as the client. Using it for an estate or settlement talks may not fit, and it rarely addresses a past date. In the other direction, lenders generally do not accept privately ordered appraisals because of independence rules. If you need a value for both a refinance and an estate, you may need two reports.
Choosing the Right Report
Start with the purpose. If a lender is involved, the lender orders. For anything else, order a private appraisal and tell the appraiser who will read it, what decision it supports, and what date the value should reflect. Learn more in how residential appraisals work.
How Heritage Valuation Group Can Help
We provide private residential appraisals for homeowners, executors, and attorneys across Florida and Connecticut. Catherine Hall has appraised homes since 1993 and comes from a three-generation appraisal family. She is based in Palmetto and works throughout Florida, and her daughter, Madeline Hall, appraises alongside her in both states. We focus only on residential property and work directly with each client.
Related: online estimates vs. appraisals and second opinions. See our Florida and Connecticut service overviews.
Frequently Asked Questions
Can I use my lender’s appraisal for an estate or divorce?
Usually it is not a good fit. It names the lender as client, reflects a current date, and was written for a loan decision.
Can I give my lender a private appraisal?
Lenders generally will not accept one because of appraiser independence rules. They order their own.
Do I get a copy of the lender’s appraisal?
Yes. Lenders must give you a copy, generally before closing.
Who owns a private appraisal?
The client named in the report, usually the person or attorney who ordered it.
Can a private appraisal use a past date?
Yes. Retrospective values are common for estates and some divorce cases.
How do I get started?
Call 888-602-8322 or use the request form. Tell us the address, property type, and purpose, and we will send a clear quote before any work begins.
Conclusion
Lender appraisals support loans. Private appraisals support everything else. Knowing the difference helps you order the right report the first time. Heritage Valuation Group provides private residential appraisals across Florida and Connecticut.
Need a private appraisal? Request a quote or call 888-602-8322. You will get a clear price before any work starts.
