Blue Velvet
Freshman Member
- Joined
- Sep 11, 2007
- Professional Status
- Certified Residential Appraiser
- State
- Indiana
This may have been covered before, but I couldn't see how to search this topic. I am working on a report for a newer home on 20 acres (1 parcel) in a rural area. The rear portion of the parcel (approx 10-12 acres) is leased to a farmer who grows alfalfa. The lender is asking me not to include the portion of the land leased/used for crops. The questions on my mind are: 1. Is this an automatic FHA rejection if the land is being farmed? 2. Highest and Best Use: The additional acreage is considered by me to have a separate highest and best use, as farm land or as an additional homesite. 3. Can I do what they are asking and put enough statements in the report to not include a value for the additional land? Is that misleading or unethical? 4. Would it be subject to a split?
I have spent about an hour trying to look these topics up, not finding clear answers. I have 800 things to do today. I'm hoping you experts can point me in the right direction. Thank you so much.
I have spent about an hour trying to look these topics up, not finding clear answers. I have 800 things to do today. I'm hoping you experts can point me in the right direction. Thank you so much.