To handle federally related work on residential properties valued at more than what amount, an appraiser must be licensed or certified?

In the context of federally related transactions involving residential properties, the requirement for an appraiser to be licensed or certified is established by regulations to ensure that appraisals meet certain standards of quality and reliability. The threshold for this requirement is set at properties valued at more than $250,000. This means that for residential properties with a value exceeding this amount, only licensed or certified appraisers are permitted to conduct the appraisal to ensure compliance with federal regulations such as those enforced by the Federal Housing Finance Agency (FHFA) and the Appraisal Foundation.

This standard helps maintain the integrity of the appraisal process, protecting both lenders and consumers by ensuring that the appraisals are performed by qualified professionals who adhere to established appraisal guidelines. Appraisals of properties valued below this threshold can be conducted by individuals who may have lower qualifications, such as provisional or associate appraisers, which highlights the importance of having experienced and certified appraisers for higher-value transactions.