Inspection Based Waivers In June – Now $1.58BN

For June 2026, GSE issuance totaled $65.0BN, down 7.1% from May, and up 2.7% from June 2025. For property valuations, $51.5BN (79.3%) closed using appraisals, down 3.6%, and $11.9BN (18.3%) closed utilizing appraisal waivers, down 20.3% from the prior month.

Lenders delivered $1.58BN (2.43%) with inspection based appraisal waivers in June, down 2.4% from May, and up 30.2% from a year ago. By loan count inspection based appraisal waivers were 2.68% of issuance, down 7.9% over last month.

Overall, inspection based waivers in June were 11.7% of the combined non-appraisal solutions by loan balance. By loan count, inspection-based waivers represented 11.8% of all waiver solutions.

Combined use of inspection based waivers and appraisal waivers in June was 20.8% by balance and 22.8% by loan count.

Agency share of appraisal waivers in June

Fannie Mae Valuation Acceptance + Property Data market share of inspection based waivers in June was 61.7% on volume of $977MM, up 2.5% from May. There are 540 lenders who have delivered loans through Fannie Mae Valuation Acceptance + Property Data, including 285 independent mortgage companies and 150 banks and 108 credit unions. A total of 195 lenders issued loans using inspection based appraisal waivers in June with Valuation Acceptance + Property Data, up 0.5% from May, and up 144.8% from the prior year.

Freddie Mac ACE+ PDR (Automated Collateral Evaluation plus Property Data Report) market share for inspection based waivers in June was 38.3% on volume of $606, down 9.4% from May. Freddie Mac participation is at 534 lenders, including 211 banks, 46 credit unions, and 279 non-banks. A total of 144 individual lenders issued loans using inspection based waivers with ACE+ PDR, down 10.6% from May, and up 5.1% from the prior year.

Bank, Credit Union & Nonbank appraisal alternatives

For bank sellers, 73.4% have used appraisal waivers and 28.5% have used inspection based waivers to deliver loans to the GSEs in the past couple of years. In June 50.2% used appraisal waivers and 12.9% used inspection based waivers, down 1.0% and up 9.9% respectively from a year ago.

For credit union sellers, 76.3% have used appraisal waivers and 30.1% have used inspection based waivers to deliver loans to the GSEs, again since 2023. In June 47.6% used appraisal waivers and 12.7% used inspection based waivers, down 1.2% and up 9.2% respectively from a year ago.

For nonbank sellers, 80.2% have used appraisal waivers and 49.6% have used inspection based waivers to deliver loans to the GSEs. In June 70.3% used appraisal waivers and 30.8% used inspection based appraisal waivers, down 9.6% and 14.6% respectively from a year ago.

Production channel

Broker channel issuance was $10.4BN (16.1%) in June, down 7.3% on last month, with 143 lenders delivering loans. Correspondent channel issuance was $21.3BN (32.8%), down 2.4% from the prior month, from 191 lenders. Retail issuance was $33.3BN (51.2%), down 9.9% from May, from 1,176 lenders.

For inspection based appraisal waivers in June, broker volume was $448MM (28.4%) up 3.6% from 38 sellers. The correspondent channel was $369MM (23.3%) up 10.4% from the prior month in the overall volume, from 38 aggregators. Retail channel utilization of inspection-based waivers was $765M (48.3%) of issuance, down 10.4% from 205 lenders.

Loan Purpose

Purchase volume using inspection based appraisal waivers in June was $1.19BN (75.4%), up 14.6% from May, and up 42.2% from last year. Refinance (cash out) volume using inspection based appraisal waivers in June was $175M (11.0%) down 27.5% from May, and down 25.1% from last year. Refinance (limited or no cash out) volume using inspection based appraisal waivers in June was $215M (13.6%) down 36.6% from May, and up 49.8% from last year.

More about inspection based waivers in June