Agencies Increase Threshold in TILA HPML Appraisal Exemption

The CFPB, Federal Reserve Board, and OCC announced the annual adjustment to the smaller loan exemption threshold, which exempts loans under the threshold from the special appraisal requirements for higher-priced mortgage loans (HPMLs) under TILA.  The exemption threshold is adjusted each year based on any annual percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers, which increased 3.4 percent from April 2023 to April 2024.

Effective January 1, 2025, the exemption threshold for HPMLs will increase from $32,400 to $33,500.