Assessor Data And Fannie Mae Collateral Underwriter

[CANative]

The lender ended up pressuring me to give them a report on an SFR; I told them that it would be mortgage fraud. This was all legally two units, two meters and two separate addresses. They ended up getting someone else to do it. It's the assessor's fault because now the title company has it as a single-family. Now their property is going to get undervalued and it's not the only one in that market. The problem is that it is an internal use code, not a description of the property. Did I mention it is legal and I had gotten a copy of the permits. Besides, no one gets an enforcement case against them unless a neighbor complains and leaves their name. Their taxes are not going to go up because of this. It is negligence on the part of the assessor's office and we will end up getting blamed; well some other appraiser who doesn't know any better will.

This is the most ridiculous post I think I have ever read on this forum since joining in 2003.

 

[normando]

Canative, you are mean.

 

[CANative]

Canative, you are mean.

Sometimes.

In this case I think I'm being blunt instead of mean.

 

[CANative]

Most of the title reports I read do not describe the improvements. That last 5 in a row don't describe the improvements. In fact I can't remember any title report I've read that describes the improvements.

This scenario has nothing to do with the assessor nor the title company. I think this is a forms problem or something like that. Use the 1004 and check one with accessory unit. Describe the improvements, the zoning and the descriptive issues between what you saw in the field, the assessor data and the title work. Use sales of two unit properties. Use the cost approach. Use the income approach.

Normando... you want to appeal your property tax value when they have the old stuff on the role and convince them that you now have a bigger better house? lol... Just call them up and tell them. You'll be able to pay extra taxes in no time.

Amy... the assessor will eventually catch up if the 2nd unit on the property escaped taxes. Count on. But if you try to give them a heads up and your clients client finds out be prepared to get sued. They can't win but it would be a major headache. IMO, you need to learn more about how the property tax system in CA works.

 

[normando]

With Prop 13, my taxes will stay low based on state's CPI. Thanks to low CPI from Southern CA, the tax rate is under 2% (max 2%) for over past 8 years.
Considering everything gone up, I'm happy with the low tax rates. If I buy a similar large size home like mine now I'll be paying MORE than double my taxes. That's why I will never move.
Maybe I can add an accessory unit for additional income (it'll be an appraiser's nightmare to appraise). I can refinance my house and put all my children through college when the time comes. Real Estate better than stock market.

 

[CANative]

You will be reassessed if they get wind of your remodel to 2000 sf. Unless they have already done so and you are accounting for that.

As far as being under 2% for the last 8 years I whipped out my handy dandy Excel P13 calculator to see.

 

[normando]

Have your taxes 2% in past. I don't recall my taxes at 2% for a long time.

 

[Amy Perkins]

Canative, I seriously doubt that you would be saying what you are if you used your real name. First of all, the preliminary report had the "single-family" code the assessor used on the report. Secondly, the assessor knows about the second unit and are aware it is permitted. They use it on all the two-family residences in that market, I checked the comps. No one has escaped any taxes. The use of the word "single family" is arbitrary. Furthermore, you say you would just undervalue a property, because of the assessor's arbitrary use code. What about the highest and best use? They are getting into a single-family loan product and it's mortgage fraud. Now I am going to explain why it's mortgage fraud...

Once upon a time a group of investors got together and wanted to loan money for mortgages. However, they were fearful that their investments would not be reliable. Then they paid a man, probably some sort of actuary to rate and figure out mathematically what interest rate to charge by the risks of such a property. The actuary then gathers massive numbers based on just single-family homes and calculates the risk. He does not include any multiple-family risks such as vandalism for example. Then, one day the investors get together and wonder why their investments did not turn out like that actuary said.

Now why do you think that is Canative? You think maybe it has something to do with an appraiser mislabeling the property? Or worse yet, the lender later states that the property does not have any equity left and they can no longer work with the borrower. However, if the borrower actually had a property that was worth 25% more maybe they could have kept it, but it was only valued as a single-family.

Stop trying to make an apple out of an orange; it is what it is!

 

[Artemis Fowl]

Just wow...
Have you considered that an assessor's "single family" code may have nothing to do with the property's highest and best use? In my state, that code relates to cost manual pricing tables.
FYI I am an assessor (after 14 years of fee appraising). I have 32,000 residential/commercial/industrial properties to value...every year. How many do you think I am able to visit and measure and update each year? How many people add a deck without a permit or fill in a pool? How am I supposed to know until I actually get out there? If assessor records/valuations were appropriate to the intended use of lending...you would not have a job.

Challenge: Take 3 people to a house and have each of them measure it. You should all get exactly the same SF number right? Which 2 should be judged fraudulent?

I can't speak for every community and I've heard as many nightmare stories on this side of the biz as on the fee side, but I can tell you that I am lucky to be working with and learning from some of the sharpest guys I've ever met in the valuation business.

You started the thread making some huge ASSumptions...there's a saying about that and you can leave the ME part out of it.

 

[CANative]

My real name is Greg Boyd. AR029163