Expiration of Louisiana exception from FIRREA appraisal requirements

The four federal financial institution regulatory agencies have issued a joint press release announcing the issuance of an exception from the FIRREA appraisal requirements for real estate-related financial transactions in the parishes declared to be in a major disaster area due to the severe storms and flooding in Louisiana. The agencies will not require financial institutions to obtain appraisals for affected transactions for the time period specified if certain conditions are met. The exception is being made under the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) and its implementing regulations. In addition, the FDIC issued FIL-70-2016 concerning the exception, which expires December 31, 2017.