What is the minimum number of comparables to consider when conducting an appraisal for Fannie Mae?

In the context of Fannie Mae appraisals, the guidelines stipulate that a minimum of three comparable properties should be used when conducting an appraisal. This requirement aims to ensure that the appraiser has a well-rounded perspective on the property's market value by evaluating multiple similar properties. Using three comparables helps to mitigate anomalies and provides a more reliable indication of market trends and pricing.

When appraisers select comparables, they look for properties that are similar in location, size, age, and features to the subject property. Having three comparables allows the appraiser to derive a value that reflects the market conditions more accurately and supports their conclusions with solid evidence drawn from multiple sources.

The guideline to employ at least three comparables is an industry standard to enhance the credibility of the appraisal and to comply with Fannie Mae's requirements, ensuring that the analysis is thorough and reliable.