Jump to main content

# What amount is entered in Appraisal Value and Construction Costs when Construction Note Type is Construction Only or Construction and Permanent Note?

The Appraisal Value is the value of the property after the construction or improvements are complete. For example: If the current value of the home is $100,000, the improvement loan is to cover construction costs of $20,000, and the estimated value or appraised value of the home after construction is $160,000, the amount of $160,000 is entered for Appraisal Value and $20,000 is entered for Construction Costs.

The Appraisal Value is included in the Est. Prop. Value amount at the top of page 1 on the Loan Estimate and Closing Disclosure when the transaction does not include a seller and Seller Information is Unknown is not selected in Collateral Details.