Property Inspection Waiver (PIW)
An offer from Fannie Mae or Freddie Mac to skip the traditional appraisal in favor of an automated valuation.
Modern automated underwriting systems use historical data, county records, and prior appraisals to estimate value with confidence on certain transactions. When the data is strong and the deal fits eligible criteria, the system can issue a PIW (also called an appraisal waiver) and skip the full appraisal entirely.
PIWs save time and money. Without a traditional appraisal, you skip the $500–$800 appraisal fee and avoid the week or two that scheduling, inspecting, and reporting can add to the timeline.
Not every transaction qualifies. PIWs are more common on rate-and-term refinances with strong equity, on conventional loans with conservative LTVs, and on properties with recent prior appraisals on file. High-balance loans, jumbo loans, and FHA/VA loans generally aren't eligible.
Related terms
Other terms you'll see alongside Property Inspection Waiver
An independent valuation of a property by a licensed appraiser, used to confirm that the home is worth what the buyer agreed to pay.
The Federal National Mortgage Association, a government-sponsored enterprise that buys conventional loans from lenders.
The Federal Home Loan Mortgage Corporation, a government-sponsored enterprise that buys conventional loans from lenders, complementing Fannie Mae.
Replacing an existing mortgage with a new one, typically to lower the rate, change the term, or extract equity.
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