Non-permitted 2nd unit?

[Fernando]

Personally, I think my subject has an ADU but because it doesn't exactly fit Fannie's definition, I won't call it an ADU.
No need to overthink this.
And another reason - Saves me the headaches in getting comps with ADU.

 

[Freash1]

Personally, I think my subject has an ADU but because it doesn't exactly fit Fannie's definition, I won't call it an ADU.
No need to overthink this.
And another reason - Saves me the headaches in getting comps with ADU.

Was up Nando? It's Mista LA!

 

[Fernando]

Was up Nando? It's Mista LA!

I keep fogetting...is that Los Angeles or Louisianna?

 

[Freash1]

I keep fogetting...is that Los Angeles or Louisianna?

Lol.

 

[sputnam]

Because 99% of res mortgage appraisals are for a GSE loan.

You're an appraiser. You aren't supposed to assume unless it's necessary to complete an assignment.

 

[Tom D]

Most of these adu without permits are done by some slick owner. And fannie now confuses it more by saying, it's not a 2 family, even when rented.

But the most overlooked, the insurance company will likely not pay a cent on a ghost adu. Starting to see one once in a while here, but have not caught on.

 

[J Grant]

You're an appraiser. You aren't supposed to assume unless it's necessary to complete an assignment.

I am commenting on a bulletin board, thi is sis not an appraisal I am working on.! The vast majority of assignments are URAR for the res appraisers, posting questions, thus the assumption.

 

[Fernando]

There's Fannie guidelines. And there's zoning requirements such as only to be used owner occupied. And then there's market reaction giving value whether illegal or legal.

 

[sputnam]

I am commenting on a bulletin board, thi is sis not an appraisal I am working on.! The vast majority of assignments are URAR for the res appraisers, posting questions, thus the assumption.

If you are an appraiser, that's who you are. If you simply work as an appraiser, then your brain isn't an appraiser's brain.

Of course, every one here is quite well aware that this is the Appriaser's Forum... not an appraisal report.

Beyond that... when you make assumptions in your reponses, you may, or may not, be helping the OP.

 

[Terrel L. Shields]

You're an appraiser. You aren't supposed to assume unless it's necessary to complete an assignment.

99% of mortgages is a too high number. Roughly half of all mortgage appraisals are for secondary market (conforming conventional loans.) The other half are either non-conforming conventional loans - in house loans - or, are private non-bank home and commercial loans.

Many small banks are backed by the money of the owners who are lending their own money. Some, like Walmart-fame Walton family Arvest bank reportedly fund the best loans and short-term loans with their own funds and send the rest into secondary market via their mortgage arm. They are requiring all their residential loans to comply with FNMA. But almost all commercial loans and agri loans are "mortgages" and as such are not going to comply with secondary market rules not meant for them. If an SBA loan or FmHA loan it is still a mortgage and the report must comply with their standards, not FNMA. Yes almost all 30-year loans are via VA, FHA, or FNMA et al. But not every loan is for 30 years or even 15. A high percentage of them are shorter terms.

So, it is very important to know WHAT loan program you are supposed to comply with. Don't ask and you might end up using the 1004 inappropriately or might get a beautiful 100-page narrative rejected. Know what protocols apply to your report. I have seen way too many engagement letters say you must comply with USPAP without mentioning that part of USPAP is to know the scope of the report and that implies you are using the right rules of the game.