Working on an assignment where subject has an unpermitted addition of a bedroom about 300 SF. Does the report need to be made subject to permits? Or does it not qualify for FHA financing due to the addition.
4150.2 Appendix D
Field
Protocol
1. Matters of a Legal Nature
The appraiser will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it, except for information that he or she became aware of during the research involved in performing this appraisal.
3. USPAP Compliant
I performed this appraisal in accordance with the requirements of the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place at the time this appraisal report was prepared.
15. Knowingly Withholding Information
I have not knowingly withheld any significant information from this appraisal report and, to the best of my knowledge, all statements and information in this appraisal report are true and correct.
25. Civil Liabilities & Criminal Penalties
Any intentional or negligent misrepresentation(s) contained in this appraisal report may result in civil liability and/or criminal penalties including, but not limited to, fine or imprisonment or both under the provisions of Title 18, United States Code, Section 1001, et seq., or similar state laws.
Zoning Compliance
• Determine whether the current use is in compliance with the zoning ordinances. Mark whether it is Legal, Legal Non-Conforming (Grandfathered Use), No Zoning, or Illegal Use.
• If the existing property does not comply with all of the current zoning regulations (use, lot size, improvement size, off street parking, etc.) but is accepted by the local zoning authority, enter "Legal Non-Conforming" and provide a brief explanation.
•
If the use is not legal, the property is not eligible for FHA mortgage insurance.
Highest and Best Use
• Mark the appropriate box. This entry questions the categorization as the highest and best use of the site as improved or, as proposed and completed, in relation to the neighborhood and current market conditions.
• If current use represents the highest and best use, mark "yes".
• If it does not, mark "no" and provide an explanation.
Section 5 – Improvements
This section
describes the subject improvements.
Accurately report the conditions observed. Describe needed repairs, or the existence of any functional or external obsolescence. Enter
factual information on each of the lines provided and report the conclusions. Consider
all aspects of the physical description and reconcile them in the opinion of market value.
P.S. OMV CB4 based on HC AND subject to C.of O. for the existing, accurately described, site improvements including the BR GLA addition. Place the bullseye where it belongs - on the owner/seller.
while legally tasked to "accurately describe the "as-is" site improvements"? Please also provide a current USPAP Definition of Highest and Best Use which does not require site improvements to be Legally Permissible as of the Effective Date of Appraisal. I am unable to find one that states "the Existing Use may be Possibly, or Almost, Legally Permissible". Thanks in advance. 
