Borrower Lying About Occupancy Status

[Carnivore]

You can do what I do and just call them liars and mark it the way you want.

Or

Use this document below:

 

[Alison Swain]

You can do what I do and just call them liars and mark it the way you want.

Or

Use this document below:

Oooooooooooo.......I LIKE that! Done ---- it goes out Monday. Thanks!

 

[Walter Kirk]

I would say that it appears to be tennant occupied. I would also call ICE and report my observation of 8 young soccer players who don't speak english.

 

[JSmith43]

Wilson & Kirk are obviously doing Don Imus parodies.:new_smile-l:

 

[Darryl Evey]

Our job is to appraise the property. Who occupies it is irrelevant. I don't think the box should be on the form but since it does not affect the value it isn't important. If the owner says they live there, what right do you have to call them a liar.

Maybe the owner is a little sleezy and likes having a bunch of boys around. Now, your personal objection to her lifestyle is causing you to hurt her financially.

If it affects the value research and verify, if it doesn't, believe the client.

 

[Frederick]

I would note whatever occupancy is represented to me by the client or the borrower.

If I delve too deeply into the personal matters of the borrower I subject myself to liability relative to discrimination etc.

If however I am presented with contradictions I report them in the appraisal but mark occupancy as it has been represented to me and let someone else figure it out.

Liability is a two edged sword on this.

The borrower has signed a document when applying for this mortgage that specifies who the occupant is and therefore has either answered truthfully or committed fraud.

I had one a few weeks ago where the borrower was a guy I went to school with. He was a graduate of a Ivy League school and owned multiple homes in the area. My assignment was a 600 S.F. cardboard box with a young woman and baby residing there. I asked her a question about the landlord and she answered in the affirmative. My assistant asked the borrower directly if he was the occupant and he swore that he was. I broke my own rule and for shtz & giggles I checked tenant and was curious to see if he would call me and try to convince me he lived in this tiny shack. No call backs

 

[Annemieke Roell]

So far I like DH WIlson's and Frederick's way of dealing with it best .....

 

[Joanne Rauenzahn]

You can do what I do and just call them liars and mark it the way you want.

Or

Use this document below:

The only problem I have with this form is that it's fine for a purchase - but on a refinance the owner needs to be occupying the property AT THE TIME OF CLOSING. They do not have the option of saying they will move in within 30 days.

What would the lender say in 30 days when they say they've changed their mind?

 

[Carnivore]

Our job is to appraise the property. Who occupies it is irrelevant. I don't think the box should be on the form but since it does not affect the value it isn't important. If the owner says they live there, what right do you have to call them a liar.

Maybe the owner is a little sleezy and likes having a bunch of boys around. Now, your personal objection to her lifestyle is causing you to hurt her financially.

If it affects the value research and verify, if it doesn't, believe the client.

Darryl

Assuming a 1004 ver 3/05 published by a GSE. How do you propose to do away with or side step the Supplemental Standards Rule in USPAP?

http://commerce.appraisalfoundation.org/html/2006 USPAP/SUPPLEMENTAL_STANDARDS_RULE.htm

...Who occupies it is irrelevant. I don't think the box should be on the form but since it does not affect the value it isn't important. ...

Really! What if the predominate market/neighborhood occupancy is tenant
and the Income approach is applicable?

 

[Joanne Rauenzahn]

I do also believe that it's the lender's responsibility (and yeah the buck usually stopa at the underwriter) to make the call and be as sure as they can about the occupant - the non-homestead tax status, any addresses on the bank statement, paystub, W-2's - should be a strong indicator!