"Ignore Permanent Foundation Status"

[Huds_Harm]

So how does HUD feel about lenders whose DEUnderwriters allow stips contrary to FHA standards to be issued to an appraiser?

This is how they feel.

https://appraisersblogs.com/uncovering-flaws-in-FHA-appraisal-n-loan-review-process/#google_vignette

 

[nstanbru]

Without the 433A, it's personal property, not real estate. What does Realist tell you when you search that property? Especially check the assessment.

 

[Dublin ohio]

Without the 433A, it's personal property, not real estate. What does Realist tell you when you search that property? Especially check the assessment.

That's why I asked how the assessor has it and how it is taxed. If it is still personal property, problem solved, it is not real property. Just make it subject to it being classified as real property and let the chips fall where they may. It becomes the lender's problem

 

[sputnam]

My issue is with the reasoning for the request-"The title company doesn't require it." To your point, did the OP look in the crawl space? Because that is part of the MH inspection for the 1004C. Was there a foundation? Had the towing hitch, wheels and axles been removed? And could you see the foundation when you looked at it? If yes, to all of this, then comment on the certificate was not made available and it is incumbent on the lender to ensure its existence. Put the onus where it belongs, with the client and not the appraiser.

Why? Why care about why someone asks for something? Appraisers can and should say "No" when a request is nonsensical (or when honoring the request is illegal or unethical). Stick to the job. Which is development and reporting, in accord with USPAP and other regulatory requirements, of an opinion of value for the property being appraised. The job does not include making sure no one in the lending industry ever asks you to do something stupid. Appraisers are not part ot their Client's company. We have no authority over that Client or its employees. We are not responsible for training those employees. We provide information and analysis to our Clients for a fee. That's the job.

I don't know how it is where you work, but here dry stacked block up to 3 feet and anchors is legally a permanent foundation. Child's play to check that.

 

[Dale Floyd]

We run across MH compliance issues quite a bit in Tennessee, especially in the FHA world. The foundation can only be attested (truly) by an engineer, and the skirting requirements exist separately from a MH’s foundation in HUD. We have many instances when there is a proper foundation but the skirt isn’t in compliance which ticks people off, or confuses everybody involved.

We don’t have any official recorded document like the Californians, nor does an affixation affidavit have any teeth in requirements for its recording yet in our state unfortunately.

 

[Sadie]

Why? Why care about why someone asks for something? Appraisers can and should say "No" when a request is nonsensical (or when honoring the request is illegal or unethical). Stick to the job. Which is development and reporting, in accord with USPAP and other regulatory requirements, of an opinion of value for the property being appraised. The job does not include making sure no one in the lending industry ever asks you to do something stupid. Appraisers are not part ot their Client's company. We have no authority over that Client or its employees. We are not responsible for training those employees. We provide information and analysis to our Clients for a fee. That's the job.

I don't know how it is where you work, but here dry stacked block up to 3 feet and anchors is legally a permanent foundation. Child's play to check that.

From what I read, the certificate is required to transfer the MH from personal to real property. I think that is the issue, not the state or the existence of a foundation.

Here, the MH has to be detiltled before it is considered real property. That is the end of the appraiser's role, is the property real or personal? And a lender needs to have it real property to sell the loan to F/F. You would think the lender would care a little more, but that is their problem.

 

[Sadie]

We run across MH compliance issues quite a bit in Tennessee, especially in the FHA world. The foundation can only be attested (truly) by an engineer, and the skirting requirements exist separately from a MH’s foundation in HUD. We have many instances when there is a proper foundation but the skirt isn’t in compliance which ticks people off, or confuses everybody involved.

We don’t have any official recorded document like the Californians, nor does an affixation affidavit have any teeth in requirements for its recording yet in our state unfortunately.

Doesn't the lender need an engineer's cert for the foundation? Not an appraisal problem I know, but I think it is a lender issue.

 

[Dale Floyd]

Doesn't the lender need an engineer's cert for the foundation? Not an appraisal problem I know, but I think it is a lender issue.

Yes, as I said earlier. But the skirting is not part of the engineer's foundation certification approval.

 

[Sadie]

Yes, as I said earlier. But the skirting is not part of the engineer's foundation certification approval.

Not sure what you are referring to. I didn't say anything about skirting.

 

[Sandra Koutsopoulos]

Wow, the diversity in MH foundation requirements across the country speak somewhat to survivability in event of water or landslide issues I would think. Dry stacked blocks? I wonder how survivable a MH would be in a weather event. Even here in CA, I recently appraised a property with a 433. The house was on a slope and was coming apart at the 'marriage line' in the ceiling as I observed water marks at the peak. A few weeks after seeing that property & noting the issue, there was an earthquake in that immediate area of Julian. I'm sure that didn't help the structural soundness of that building. Whatever entity owns the loan needs to know the physical status of the building.