FHA Appraiser Notes Items Not Within Appraisal Guidelines

[Rlong]

She even demands the same color siding... She must have decided you painted the interior an "OK" color. These appraisers give the profession a bad reputation.

Bob in CO

 

[Michigan CG]

She even demands the same color siding... She must have decided you painted the interior an "OK" color. These appraisers give the profession a bad reputation.

Bob in CO

Yup.

 

[BRCJR]

I did not read it as replace "all' siding. Although, the damage does not appear to be a significant issue, in my opinion, it reads more like replace the damaged siding with the same color.

 

[jay trotta]

How old is the siding ? Color "match" could be a problem

Impact would appear to be in the "market acceptance" area

Exposed plumbing, interior ? hmmm

Question; How would you prepare the House for Marketing (putting it up for sale) to Maximize your profit ??

 

[Mr Rex]

If it doesn't match, paint it to match.

 

[RSW]

She did not provide a value if replaced, only noted in conditions:
The siding is damaged in several areas and needs to be replaced. Examples of the damaged siding is attached.It is noted
that all cracked/partially melted and damage siding needs to be replaced with matching siding.

It is good to know that the final decision is up to the underwriter. I am just frustrated that an appraiser can just put items outside the guidelines of FHA lending rules and possibly ruin a sale. All of this information provided has been very helpful though!

I would have reported some of those items as being cosmetic, but would have addressed them in the appraisal report. They may not be FHA MPR required repairs, but they do have an effect on the condition rating of the subject property. The hand rail is not a safety issue or a cosmetic issue. That is a no brainer.

 

[residentialguy]

If the FHA appraiser makes a repair condition they are required to estimate the cost to make the repair (so-called "cost to cure.") The appraisal must be completed as thought the repair was made on the date of appraisal (this is called a "hypothetical condition.") So the value opinion would be based on a house with all new siding.

Sounds like this appraiser is inexperienced or has not been well-trained and does not bother reading the FHA appraisal requirements. This has become more common since FHA stopped requiring an examination before being placed on the roster of approved appraisers.

Yep...what Greg said.

I agree with the appraiser. Don't want something to come back and bite you. Fix it.

Looks like some here need to read what Greg said, too.

 

[residentialguy]

They may not be FHA MPR required repairs, but they do have an effect on the condition rating of the subject property.

Couple inexpensive cosmetic items like OP's example don't have that much of an effect on overall market value. Not even measurable enough for an adjustment.

 

[J Grant]

None of us has seen the house to know if the siding conditions meet standard of health/safety or are just cosmetic.

If cost is minimal to replace the damaged/missing siding, why would you as a homeowner selling a house not replace them/ kill your own deal over it?

While it is unknown if the appraiser is at fault here, it also a homeowner's responsibility to maintain their own house especially when trying to sell it.

 

[residentialguy]

If cost is minimal to replace the damaged/missing siding, why would you as a homeowner selling a house not replace them/ kill your own deal over it?

While it is unknown if the appraiser is at fault here, it also a homeowner's responsibility to maintain their own house especially when trying to sell it.

Tells me that there might be 2 possibilities.
1. It's minimal and the cost of fixing of it wouldn't have an effect on the sale price.
2. The HO is under a financial hardship