As part of the credit approval process and prior to making a final credit decision, a financial institution should review appraisals and evaluations to confirm that they comply with the agencies’ appraisal regulations and the financial institution’s internal policies.
So, once this review has been completed and accepted by the lender, you are going to turn around and say - no - that evaluation is possibly flawed so lets get a full appraisal.
As the appraisal and evaluation process has to be independent, allowing the borrower input into the process also violates the independence rules. It is no different than the bank getting a full appraisal and then the borrower wanting another one because they disagree. A lender cannot shop for value.
If the lender chooses to go with a full appraisal after the borrower makes the request and you are comfortable that you don't care about the above, then I would opine that it is not a changed circumstance because nothing has changed involving the applicant or the property transaction and the cost of the new appraisal could not be passed to the applicant. It then becomes purely a bank decision as the applicant can have no influence in the appraisal and evaluation process, which would include paying for a second opinion.
The opinions expressed here should not be construed to be those of my employer: PPDocs.com