What are the appraisal requirements for a conventional loan?

For a conventional loan sold to Fannie Mae, the lender must engage a state-licensed or state-certified appraiser under Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA), and the credential must be active as of the effective date of the appraisal report. Fannie Mae does not approve appraisers itself; the lender documents each appraiser's state credential and reviews it at least annually. A trainee may perform much of the appraisal, but a supervisory appraiser must sign the report and take full responsibility for it, where state law allows.