Fact check: What does Regulation B 12 CFR 1002.14 say about acceptable valuation methods for collateral?

1. What the available analyses claim — a rapid inventory of the core assertions

The primary analytic claim is that 12 CFR 1002.14 centers on document delivery and a broad definition of valuation, requiring creditors to furnish applicants copies of appraisals and all written valuations for loans secured by a first lien on a dwelling ^[1]. The same analysis states the regulation does not enumerate or mandate acceptable valuation methods; instead it treats any estimate of a dwelling’s value produced in connection with a credit application as a “valuation” ^[1]. Two other analyses provided appear to be navigation or non‑substantive text and therefore do not offer contrary substantive claims about acceptable valuation methods, which reinforces the finding that the available materials do not identify specific acceptable methods ^{[2] [3]}.

2. What the regulation requires in practice — emphasis on disclosure rather than method

According to the provided analysis, the clear operational requirement of 12 CFR 1002.14 is transparency: when credit is secured by a first lien on a dwelling, creditors must give applicants copies of any appraisal and any written valuation used in underwriting the credit ^[1]. The regulation further defines “valuation” broadly, capturing any estimate of a dwelling’s value that is developed in connection with a credit application, which means a wide range of valuation products fall within the disclosure obligation ^[1]. The available analyses emphasize that the rule’s practical effect is to ensure applicants receive the appraisal or valuation documents used, rather than prescribing how the valuation must be prepared or which methodologies are acceptable ^[1].

3. What the regulation leaves unsaid — the absence of prescribed valuation methodologies

The analyses uniformly indicate that 12 CFR 1002.14 does not articulate acceptable valuation methods, leaving methodological choices unstated in the text summarized here ^[1]. This omission means the regulation is silent on whether specific techniques, models, or practitioner qualifications are required for valuations that trigger the disclosure duty; the rule’s scope is the delivery of valuation information and the definitional reach of “valuation,” not methodological standards ^[1]. The two navigation‑style snippets provided do not contradict this silence and therefore serve only to confirm that the publicly available excerpted materials do not contain a list of acceptable methods ^{[2] [3]}.

4. How stakeholders should interpret that silence — practical consequences for lenders and applicants

Given the regulation’s focus on disclosure and the broad definition of valuation, stakeholders must read 12 CFR 1002.14 as a consumer‑protection disclosure rule rather than a technical appraisal standard ^[1]. For borrowers this means the regulation guarantees access to whatever valuation informed the credit decision; for creditors it imposes an obligation to provide those materials but does not, in the provided analysis, constrain which valuation approaches may be used ^[1]. Because the analytic material does not identify acceptable methods, parties seeking methodological guidance must look beyond this provision to other statutes, supervisory guidance, licensing rules, or professional standards not supplied in the current analyses ^{[2] [3]}.

5. Missing context and recommended next steps — where to look and what to verify

The supplied analyses establish the disclosure duty and definitional breadth but leave important gaps about methodology, practitioner qualifications, and enforcement mechanisms ^[1]. To fully understand which valuation methods are acceptable in a given legal or supervisory context, practitioners should consult the full text of 12 CFR 1002.14, related Equal Credit Opportunity Act guidance, supervisory agency releases, and state licensing or appraisal standards; the navigation excerpts included do not substitute for those sources ^{[2] [3]}. The current materials warrant a targeted follow‑up: obtain the full regulatory text and contemporaneous supervisory guidance to identify any referenced standards or cross‑references that would indicate acceptable valuation practices.