No.  Lenders prefer higher appraisals for reverse mortgages for several reasons: it increases the amount borrowers can receive, reduces the likelihood of loan cancellation, ensures sufficient funds to clear any existing liens, and generally results in more satisfied homeowners.  High appraisals are favorable because all loans are insured by HUD, which also prefers appraisals to match or exceed initial homeowner expectations.  However, lenders cannot influence the appraisal process, a safeguard established after the 2008 mortgage market collapse to prevent inflated property values.  Appraiser Independence Laws now prevent lenders, originators, and borrowers from discussing values with appraisers.  With HUD reverse mortgages, appraisals are first reviewed by HUD to decide if a second appraisal is needed, ensuring values are not overstated.  HUD requires its approval of the appraisal before lenders can issue loan approvals, aiming to protect against inflated appraisals, which caused significant losses between 2012 and 2018.