1004D final inspection on an FHA. but in initial appraisal through a different lender.

[cdanj]

I just got a 1004D to confirm repairs were made for an FHA 1004 I did in December. The lender on the 1004D is different than the lender on the initial FHA1004.
I am using the 1004D major form and the sales grids are removed.
The repairs don't affect the value.
Can I do this?

 

[J Grant]

I just got a 1004D to confirm repairs were made for an FHA 1004 I did in December. The lender on the 1004D is different than the lender on the initial FHA1004.
I am using the 1004D major form and the sales grids are removed.
The repairs don't affect the value.
Can I do this?

Yes

 

[sputnam]

I just got a 1004D to confirm repairs were made for an FHA 1004 I did in December. The lender on the 1004D is different than the lender on the initial FHA1004.
I am using the 1004D major form and the sales grids are removed.
The repairs don't affect the value.
Can I do this?

Of course. Don't forget to include your prior services statement.

 

[Zoe]

yeah. Evidently the borrower changed lenders in the process. No big deal. I probably would contact original lender and notify them to see if they are okay with it.

I don't see any reason the original lender would have a problem with it but I would contact them. The only thing you have to be concerned about is confidentiality with your prior client but I don't see anyway they will have a problem with it. FHA would probably tell you the same.

FHA don't have a problem with a borrower switching lenders. You do have confidentiality agreement with your original client. That is all you have to be concerned about.

Like previous poster, make sure you document prior services in 1004D.

 

[Tom4value]

It is ok because FHA is the client. The lender is a user.

 

[sputnam]

It is ok because FHA is the client. The lender is a user.

It's okay even if it isn't FHA. It's a new assignment from a different Client.

 

[Tom4value]

It's okay even if it isn't FHA. It's a new assignment from a different Client.

The issue is for a 1004D, the client has to have a copy of the original appraisal so they know what is going on.

 

[RSW]

It is ok because FHA is the client. The lender is a user.

You have that bass ackwards.

 

[sputnam]

The issue is for a 1004D, the client has to have a copy of the original appraisal so they know what is going on.

Sure... but that's not your problem... unless you gave the new client a copy in violation of the confidentiality section of USPAP.

 

[Zoe]

I hate I missed this opportunity with @DWiley before:

I am quoting @DWiley :

"Many lenders and AMCs have systems that automatically check the form type that is delivered. For example, if they order a 1004 and they receive some other form it triggers an error in the system. When it comes to disaster inspections, many lenders ask for use of a 1004D because that form is already programmed into their system and they can detect that a 1004D was delivered. Most do not have the proprietary disaster forms programmed into their systems. That is the main reason that some ask for use of the 1004D."

If I could play it over I would have asked why?

However, I ask why now?

I'll throw caveat for amusement. Loan has already closed. New owner. Lender asks for 1004D on FEMA disaster area inspection.

Is 1004 D the form to use?

I am asking you @DWiley