1004, 1007 And 216 All Ordered Individually

[BarrySW1963]

One client, same subject, all will have the same effective date.

But, client ordered them as individual orders, and wants them delivered as individual orders. They won't combine them. Aside from the obvious time-wasting aspect, what are the gotchas?

 

[gregb]

Each order is a separate appraisal report, with all that implies. Charge accordingly!

 

[Meandering]

The gotcha's are if it's rented, or being used as a vacation rental, or is not the primary residence of the borrower, that's why you're getting a separate request for the income forms. Lending is going to weight out which loan they can push this borrower into, and much will depend upon how you report the property. Make sure you verify if this is the owner's primary residence.

 

[BarrySW1963]

The gotcha's are if it's rented, or being used as a vacation rental, or is not the primary residence of the borrower, that's why you're getting a separate request for the income forms. Lending is going to weight out which loan they can push this borrower into, and much will depend upon how you report the property. Make sure you verify if this is the owner's primary residence.

It is rented. I guess I don't understand the trickery for this.

 

[Meandering]

So when you do the 1004 make sure you mark the tenant occupied box.

See if you can get a written copy of the lease, which may be up shortly, so the lender can hedge in a residential primary loan in between tenants.

Occupancy discrepancies on appraisal reports was one of the biggest government complaints in the downturn.

 

[BarrySW1963]

So when you do the 1004 make sure you mark the tenant occupied box.

See if you can get a written copy of the lease, which may be up shortly, so the lender can hedge in a residential primary loan in between tenants.

Occupancy discrepancies on appraisal reports was one of the biggest government complaints in the downturn.

Ah, I'm starting to understand. The borrower hedged when I asked for the lease. Called the AMC and asked them to reassign. Thank you.

 

[Mr Rex]

One client, same subject, all will have the same effective date.

But, client ordered them as individual orders, and wants them delivered as individual orders. They won't combine them. Aside from the obvious time-wasting aspect, what are the gotchas?

I'd guess that the fee for each would be more when ordered separately rather than together but my business acumen is suspect. What do you think?

 

[Dublin ohio]

Could be the ordering system AMC uses. Just finished 2 just like this about 2 weeks ago. Investor purchasing 2 adjoining condo units. 2 1073's were ordered. Suspected that they were both tenant occupied since the complex only has 12 owner occ units out of 126. Contacted AMC and asked about 1007 & 216 since I knew that end lender would want them (broker ordered appraisals). AMC put orders on hold until the 1007 & 216 were ordered. But they were all separate orders. Asked MAC if it was possible to make 1 order for each unit. Said they could not do that because the way the system is set up. Always treated as individual orders. Cannot imagine that broker was trying to do something shady since they knew I was going to mark them tenant occupied whether they ordered 1007 & 216 or not. But it did seem a little unusual since the end lender was a conforming lender and complex was about as non conforming as could be. 1007 & 216 also became part of my work file for the 1073 since I did develop income approach. Have not heard a thing since. Since end lender was Flagstar. I knew there was not an issue on their end because if there was. I guarantee that I would have heard something by now.

 

[Meandering]

If it is an investment property, they don't need the 1004. If it is a primary residence, they don't need the 1007 & 216. Primary residence mortgages have smaller down payments, better interest rates than investment property mortgages. Also, some REO purchases came with defeasible title, in that the buyer is required to live in some of them as a primary for a year or 18 months, depending on the title defeasance, so, there are some investors that just figure nobody is going to check anyway, flip them into rentals, then try to refinance them.

Be very careful out there. There are lots of games in real estate.

.

 

[Elliott]

AppraisalPort and maybe Mercury will clip you for an extra $25 bucks. Its a lesson learned once.