Does This C5 Rating Sound Right?

[Deleted member 134708]

End result is you are fine, all that's gonna happen is lender make you fix those items called out, Cost you another $200 and the appraiser come back out and sign off.

 

[GMG]

End result is you are fine, all that's gonna happen is lender make you fix those items called out, Cost you another $200 and the appraiser come back out and sign off.

The reason I was getting a little anxious was that I was made aware that the underwriter indicated they needed to take the loan to management for approval due to the "C5" condition being mentioned in the addendum. I just learned that the review came out and it's fine with the repairs done prior to closing.

You were right.

Thanks for everyone's input.

 

[KHS445]

Another fine appraisal completed by "Sybil" appraising.

 

[Mr Rex]

Nottrav is correct! If he "required repairs", then it is subject to repair, not as-is. Why don't appraisers get this?

Reading is fundamental Notra et al need remedial reading

 

[Deleted member 134708]

Reading is fundamental Res an Notra need remedial reading

Umm no. It was just now explained different. When 1st posted it was C5 subject to.

After clarified was C3 subject to.

 

[Deleted member 130081]

If the report is subject to then the report would not note it as being C5 as the repairs "required" would improve the property in the hypothetical condition of the subject to repairs.

And your BMB over this why?

The OP quotes the OA stating "The subject is currently in C5 condition by definition. Once completed the subject will be in C3 condition." I don't find that misleading. In fact, its crystal clear to me.

 

[Deleted member 130081]

You state that the appraisal was supposed to be AS-IS yet the appraiser "required" items to be fixed and made the appraisal report "subject to"? Is this an FHA or USDA?

You need to make clear to your lender (loan officer) that you are buying the house as-is and need a loan for an as-is house. The appriaser seems to be acting like this is a USDA or FHA financed deal, the lender requires this or they are playing God.

The OP stated the contract was as-is, not the appraisal.

 

[Deleted member 130081]

If they did it subject to. It needs to be reported as C3.

If they did as-is then C5 (using their opinion) I would have done C4.

Another appraiser taking it upon themselves to do subject to when no one asked for subject to.

It should of been done as-is, C4 with cost to cure items.

The appraiser reported the as-is and as-repaired conditions. You have no idea what the lender has asked the appraiser to do in this case.

 

[Deleted member 134708]

And your BMB over this why?

The OP quotes the OA stating "The subject is currently in C5 condition by definition. Once completed the subject will be in C3 condition." I don't find that misleading. In fact, its crystal clear to me.

In the OP (not updated)

It's subject to and as you state C5 condition.

That can't be true as it is a hypothetical where repairs are already done. Turns out in a much later post. That was just a comment in the addendum.

 

[Deleted member 130081]

I'm wondering if I maybe missed sharing information accurately enough and if so my apologies.

In the URAR:

Improvements: "C3; Kitchen-remodeled-six to ten years ago; Bathrooms-remodeled-six to ten year ago; The subject is in overall good condition and appears to be maintained. Quality of construction is overall average with standard finishes which is typical for a home of this age in this market area. Effective age is based on the observed and hypothetical condition on the inspection date of this appraisal. This report is based on the hypothetical condition that the subjects unfinished construction items are completed in a workmanship like manor. See addenda."

Sales Comparison Approach section he listed the subject property with QOC of Q4, Actual Age of 38, and Condition C3.

In the reconciliation section he checked the box for subject to.

The information I shared at the beginning of the thread was from the Supplemental Addendum (I won't share it again).

Does that change anything?

It puts feet in the mouths of some of the posters here, but otherwise, not really. It can be important to read details and take things into context. Your appraiser says the house is C5 in as-is condition. I believe you have read the UAD definition, and I would say to read it again, this time try to read it without bias, instead of searching for your loophole. That house is C5 in my market. No baseboards, sub floors only, holes in the walls, missing doors and yes, some missing outlet covers too. You can live in it, but would you prefer to? That would qualify in my market as diminished livability.