Appraiser Marked Private Septic And Well As Public

[glenn walker]

I am the buyer and the lender closed as an FHA loan

You had no idea it was on Septic and Well ? Hard to believe you did not get your own Inspections. Did the Seller disclose to you it was on a Septic and Well ? Actually not only FHA even most conventional will often ask for Inspections when water wells are involved. Go see a local Real Estate Attorney and get legal advice because nobody on here will be able to help you.

 

[KHS445]

Are real estate disclosures required in Texas?

What was shown on the MLS sheet?

Did the seller, their agent or your agent know that the water and septic would not meet current health department requirements?

No one questioned the lack of water/sewer prorations at closing?

Is water and sewer service available nearby, or is the property obviously rural and a prudent person would expect it to have a well and septic?

Not pointing fingers are anyone, but there just seem like in a typical buy/sell situation there are a number of people who should be aware of things like water and sewer service, including the buyer. While hit and miss in Michigan in my area most of the County's require well and septic inspections with every sale, unless the property is connected to a municipal system.

 

[Stantheman]

The appraiser on the property I purchased with an FHA loan marked my water and sewer as public therefore the required FHA tests and minimum distance requirements were not performed. The system has not only failed it will cost upwards of 60k to bring up to health and safety standards due to the size of the lot and having to move the well. The property does not qualify for a FHA loan due to the distance from the septic to the well as is being only 40ft. Any advice on who is liable?

Curious, did you get a home inspection? Was this disclosed in the Purchase and Sale in the Seller Disclosure Statement. Many people think Appraisers are home inspectors.

Also, just because a clean-out for a septic is in a certain spot, it doesn't mean the drain-field is there. Your only talking 10 feet. Instead of drilling an expensive well think about moving the septic system.

 

[TerryRohrer]

How long ago was your purchase? As asked above, did your realtor tell you it was public sewer, or septic?

 

[shrubberyvaluation]

How long ago was your purchase? As asked above, did your realtor tell you it was public sewer, or septic?

I have heard of realtors being sued for not disclosing the property being on well/septic but I have no first hand knowledge.

 

[Huds_Harm]

You had no idea it was on Septic and Well ? Hard to believe you did not get your own Inspections. Did the Seller disclose to you it was on a Septic and Well ? Actually not only FHA even most conventional will often ask for Inspections when water wells are involved. Go see a local Real Estate Attorney and get legal advice because nobody on here will be able to help you.

I did however I did not know the minimum FHA requirements of 50 ft distance between the two.

 

[Huds_Harm]

How long ago was your purchase? As asked above, did your realtor tell you it was public sewer, or septic?

It was May of this year. I did know it was septic and well but I did not know the minimum FHA requirements of at least 50ft between the two. That is something the lender is supposed to verify before finding an FHA loan.

 

[Huds_Harm]

Are real estate disclosures required in Texas?

What was shown on the MLS sheet?

Did the seller, their agent or your agent know that the water and septic would not meet current health department requirements?

No one questioned the lack of water/sewer prorations at closing?

Is water and sewer service available nearby, or is the property obviously rural and a prudent person would expect it to have a well and septic?

Not pointing fingers are anyone, but there just seem like in a typical buy/sell situation there are a number of people who should be aware of things like water and sewer service, including the buyer. While hit and miss in Michigan in my area most of the County's require well and septic inspections with every sale, unless the property is connected to a municipal system.

The property is rural and the listing did say septic and well however the lender accepted the appraisal marked as public with no further tests.

 

[TerryRohrer]

I have heard of realtors being sued for not disclosing the property being on well/septic but I have no first hand knowledge.

I know one who missed it, admitted it right away, and wanted to write the $10,000 check to get it behind him. E&O insisted on fighting it, and ended up paying something like $25,000.

 

[Huds_Harm]

Curious, did you get a home inspection? Was this disclosed in the Purchase and Sale in the Seller Disclosure Statement. Many people think Appraisers are home inspectors.

Also, just because a clean-out for a septic is in a certain spot, it doesn't mean the drain-field is there. Your only talking 10 feet. Instead of drilling an expensive well think about moving the septic system.

The septic is only 40ft from the well. Minimum requirement is 50ft. The min requirement on leach lines is 100ft.