What is the Form 1004?

The Form 1004, also known as the Uniform Residential Appraisal Report, is a standardized document used by appraisers to evaluate the value of residential properties. This form is critical in the lending process as it provides lenders with an objective assessment of the property’s worth, which helps them determine how much they are willing to lend to a buyer.

The report includes detailed information about the subject property, including its dimensions, the condition of the interior and exterior, recent sales data for comparable properties, and an analysis of the local real estate market. This comprehensive evaluation supports not only the underwriting process but also ensures compliance with regulatory requirements.

The function of the Form 1004 is distinct from that of other forms listed in the choices. The Uniform Residential Loan Application, for instance, is specifically used to collect personal and financial information from a borrower seeking a mortgage. The Loan Estimate Form provides borrowers with a detailed overview of loan terms and closing costs. The Income Verification Form, on the other hand, is used to validate the borrower's income for loan approval purposes. Each of these forms serves a unique purpose within the mortgage process, while the Form 1004 specifically addresses property appraisal.