USDA and C5 condition

[ToddGack80]

Have an order for a property that is REO. Owner is FNMA and the order came in with USDA included, lender is one I have done business before, through an AMC. I get to the property and it was being rehabbed (whether work is ongoing is unknown). No one knows anything about the property (typical REO). As is, house is not habitable. No bath fixtures, no kitchen sink or stove. Sub-floors have been replaced, drywall is all patched but not painted, and there is also some minor exterior damage. Question is, do I have to appraise this "subject to completion" to get this back to habitable condition (which is what I believe is correct) or AS THE LENDER HAS INSTRUCTED, do it C5 as is?

 

[sputnam]

Have an order for a property that is REO. Owner is FNMA and the order came in with USDA included, lender is one I have done business before, through an AMC. I get to the property and it was being rehabbed (whether work is ongoing is unknown). No one knows anything about the property (typical REO). As is, house is not habitable. No bath fixtures, no kitchen sink or stove. Sub-floors have been replaced, drywall is all patched but not painted, and there is also some minor exterior damage. Question is, do I have to appraise this "subject to completion" to get this back to habitable condition (which is what I believe is correct) or AS THE LENDER HAS INSTRUCTED, do it C5 as is?

You provide the service that was requested by your Client. If you think they may really need something else, you can discuss it with them.

 

[J Grant]

Check with your client ( the AMC it sounds like if they ordered it.

Usually, an REO is as-is, and if they want it as-is, C 5, half rehabilitated with a missing kitchen and bath, etc, that is what they want.