Banking regulators announced they have mutually agreed to raise the required threshold for real estate appraisals to $250,000 to relieve the regulatory burden on banks, but granted the appraisal industry a minor concession by removing barriers to allow appraisers to perform less meticulous evaluations.

Regulators announced the hike during a May 3 FDIC board meeting. The FDIC was the second regulator to approve the rule and once the final two regulating bodies - the OTS and OCC - officially approve the joint policy, it will become effective after publication in the Federal Register. The Fed approved similar rules March 9.

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