C5 vs C6

[Sadie]

Do you determine the C2C to bring the condition up to C4 before notifying the client, and provide it with that info?

No, I make sure they want me to continue and if so what their parameters are.

 

[Sadie]

Theoretically, that is what needs to be done and I have done “subject to” appraisals all the time for safety/health/functional issues. However, a C5 condition, by definition, means a lot of issues; far more than what a lender would deal with and they have always cancelled.

I have several lenders that want a subject to appraisal for a C5 property. But only Fannie accepts them, not Freddie

 

[sputnam]

You've seen the property. None of us has. We can't make a credible judgement about whether the improvements should be C5 or C6. Best thing you can do is read the descriptions of the condition ratings and make up your own mind. Alternatively,if you have mentor or a more experienced appraiser friend who will go to the property with you... ask them.

 

[Sadie]

I also posted this in urgent help needed.

I inspected a 115 yo house yesterday, a large 4000 sf home in an historic town. I do no do many C5 homes and rarely a C6. The C6 properties I have done are obviously in need of a bulldozer and a dump truck LOL. This is an FHA reverse mortgage situation. It is occupied. In a nut shell, serious roof issues and a bathroom ceiling fallen in, attic is showing water damage and possible mold. Severe peeling interior and exterior paint and crumbling/missing brick support pillars in the basement and crawl areas. I feel although occupied and not condemned by the municipality it is C6. It is a tough call. Advise appreciated, especially from anyone with experience appraising distressed properties. Thanks in advance!

Key difference is that the C5 is still livable. You make the call. I think if it is still livable, C5.

C5 refers to a property that shows noticeable deferred maintenance and requires significant repairs. While the home remains functionally livable, many building components are worn, outdated, or failing. Substantial rehabilitation is necessary to bring the property up to standard market expectations.
a C6 rating means a property has severe damage or deferred maintenance affecting its safety, soundness, or structural integrity. This rating—the lowest in the Uniform Appraisal Dataset (UAD) condition scale—typically indicates a home is uninhabitable or requires major rehabilitation before it can qualify for standard mortgages.

 

[Tom D]

Right Sadie. C5 is poor ghetto live in. C6 is needing to be boarded up. Me speak in old big city terms.

 

[Sadie]

Right Sadie. C5 is poor ghetto live in. C6 is needing to be boarded up. Me speak in old big city terms.

How many C5s have you seen that look ok from the outside and when you get inside, you think Holy H*!!