Amending the original appraisal from "subject-to" to "as-is" ?

[SierraMV]

I completed an assignment "subject-to" repairs and inspections, as there were some plumbing/septic issues noted by the seller. The issues have been addressed and fully inspected.

The lender is asking for me to change the appraisal from subject-to to as-is? I told them I would still need to complete a 1004D, because as of the date of inspection, the property was not in compliance.

I told them as long as I have recieved the plumbing and septic reports, I would not need to go out to the property, as there is nothing to inspect. Two questions, am I wrong in this approach, and can't

the UW clear this issue without needing a follow-up 1004D?

Thanks for any insight.

 

[Sadie]

Do not change the original report. Recently Fannie approved using inspection reports to as evidence that the repairs had been completed. BTW, the UW can also clear this.

 

[J Grant]

I completed an assignment "subject-to" repairs and inspections, as there were some plumbing/septic issues noted by the seller. The issues have been addressed and fully inspected.

The lender is asking for me to change the appraisal from subject-to to as-is? I told them I would still need to complete a 1004D, because as of the date of inspection, the property was not in compliance.

I told them as long as I have recieved the plumbing and septic reports, I would not need to go out to the property, as there is nothing to inspect. Two questions, am I wrong in this approach, and can't

the UW clear this issue without needing a follow-up 1004D?

Thanks for any insight.

The lender is a moron. Checking the 1004 D as completed removes the "subject to condition", and thus changes the appraisal to "AS IS".

 

[Dublin ohio]

The lender is a moron.

There you go insulting morons

 

[Tom D]

There is no rule here. You can change tbe sigature date. You reference the previous subject to, now completed. Having said this i would reference the original subject to repairs with whatever attachments you want to.

This way if the lender is being anal about it. But it is unusual to be done this way.

 

[Dublin ohio]

There is no rule here. You can change tbe sigature date. You reference the previous subject to, now completed. Having said this i would reference the original subject to repairs with whatever attachments you want to.

This way if the lender is being anal about it. But it is unusual to be done this way.

How could you possibly do that without changing the effective date. It wasn't completed as of the effective date. No matter how many attachments you add

 

[Tom4value]

I completed an assignment "subject-to" repairs and inspections, as there were some plumbing/septic issues noted by the seller. The issues have been addressed and fully inspected.

The lender is asking for me to change the appraisal from subject-to to as-is? I told them I would still need to complete a 1004D, because as of the date of inspection, the property was not in compliance.

I told them as long as I have recieved the plumbing and septic reports, I would not need to go out to the property, as there is nothing to inspect. Two questions, am I wrong in this approach, and can't

the UW clear this issue without needing a follow-up 1004D?

Thanks for any insight.

You did it correctly as the plumbing was not done by the effective date of the appraisal.

I think that the lender didn’t want a 1004D because they didn’t want to pay for it and a “revision” doesn’t cost anything. Saying that having the reports will suffice is also fine. I do that, too and note in the report that you are in receipt of the reports. I don’t charge them if they are good clients.

Whether they can clear it on their own depends on the secondary lender. Some might not want to see a “subject to” appraisal with no 1004D.

 

[Elliott]

So one in one hundred appraisals require a change in a check box and an explanation putting the responsibility on the lender/AMC....so build it into the cost of an appraisal. We aren't the inspection police.

 

[Terrel L. Shields]

The lender is a moron.

She has not said whether the assignment was secondary market or not. If not, then an as is value is required...period.

 

[Zoe]

You did it right. The underwriter has the papers from the professional. Not your problem. If that was your only condition, just tell the underwriter you are real busy right now and don't know when you can get to it.

I would ask underwriter for copies of papers from the professional that repaired them. I would not be opposed to doing a 1004D with same effective date of original appraisal. I would want those papers from the professional that repaired it. I would have no problem dropping back by the subject with those papers the professional that repaired it from the lender.

My fee would probably be between $75 and $150. I would not change effective date. 1004D is fine. You can scan those reports from the professional in the 1004D.