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Rural Development

Joaquin Altoro 

Administrator 

Rural Housing Service 

1400 Independence Ave, SW 

Room 5014-S 

Washington, D.C. 20250 

Telephone: (202) 692-0268 

TO: State Directors

Rural Development 

ATTN: All Single Family Housing Direct

State and Field Employees 

FROM: Joaquin Altoro

Administrator

Rural Housing Service 

SUBJECT: Fee Increases under the Single Family Housing Direct Programs 

Origination Appraisals

PURPOSE: 

Single Family Housing (SFH) is increasing the appraisal fee to $775 and the 

conditional commitment fee to $850. The increased fees reflect current appraisal 

market research for origination appraisals in rural areas and incorporates the

average cost of appraisals under the program’s nationwide contracts with Appraisal 

Management Companies (AMCs).

The fee increases are effective 30 days after the date of this memorandum. 

BACKGROUND:

The fourth year of the nationwide AMC blanket purchase agreements was phased 

out in the second half of 2023, as contracts with new nationwide providers began 

ramping up in June of 2023. To align with the Agency’s average costs this year, a 

modest $25 increase is needed for the standard appraisal fee charged to applicants. 

The calculations for increasing the fee took into consideration the first year 

scheduled fees charged under the contract. 

The standard fee will continue to be assessed at least annually and remain subject to 

change, so that fees more closely align with the Agency’s actual costs. 

EXPIRATION DATE: FILING INSTRUCTIONS:

February 28, 2025 Housing Programs 
Page 2 

IMPLEMENTATION RESPONSIBILITIES:

The increased appraisal fee, collected at loan closing, will be effective 30 days from the date of 

this memorandum. However, the fee will be updated in the UniFi parameters on the date of this 

memorandum. To ensure compliance with this memorandum and the Truth in Lending Act and 

Real Estate Settlement Procedures Act Integrated Mortgage Disclosures’ (TRID) changed 

circumstance, Field Staff should: 

• Ensure all new Loan Estimates (LE) issued on/after the date of this memorandum reflect 

an appraisal fee of $775. 

• For transactions closing within 30 days of this memorandum (i.e., before this 

memorandum’s effective date), change the appraisal fee to $750 in UniFi (under the 

TILA/RESPA fees screen) prior to forwarding the Closing Disclosure (CD) to the 

applicant/closing agent. 

• For transactions not closing within 30 days of this memorandum (i.e., on/after this 

memorandum’s effective date) where the applicant previously received a disclosure (LE 

or CD) using an appraisal fee of $750, send a revised disclosure (LE or CD as 

appropriate) with an appraisal fee of $775. Loans may not close until 7 business days 

after the applicant receives the revised disclosure. 

A conditional commitment fee of $850 should be collected for conditional commitment 

applications submitted on/after this memorandum’s effective date. 

For any questions regarding this memorandum, please contact Evelyn.suarez@usda.gov or 

Brian.hudson@usda.gov. A copy of this memorandum will be placed in the Single Family 

Direct Training Hub in the Appraisal Training folder.