FHA Approved Condo Project. What's my responsibility?

[Tim in NJ]

Appraising for purchase a short sale FHA condo. No way this project meets approval. 108 units, built just before the crash, builder only sold 39 and is leasing the 69 remaining. 15 of the 39 sold are tenant occupied too. Not found on FHA approved / unapproved /expired / withdrawn / nothing. Just do it and let lender sort it out, or stop everything and inform the lender it's not on the FHA approved project list?

 

[glenn walker]

The lender has access to the FHA approved list your job as the appraiser is to report the facts and value . I have had many projects that I would NOT have believed were FHA approved BUT they were. Do not play FHA police report your appraised value and what the other issues you see are. Remember you don't not know if there have been special programs or if the project was recently approved for FHA financing . There are many changes being done the goverenment is not sharing with appraisers. Do your job as the appraiser the other issues are for the B-Crats to figure out . Just my 2 cents worth. * Note : very few lenders order a FHA report until they have verified if the project is approved or not approved.

 

[glenn walker]

THE APPRAISER DOES NOT DETERMINE IF THE PROJECT IS FHA APPROVED .. PLEASE REMEMBER THIS AND DO NOT FORGET ***THE LENDER AND FHA/HUD DETERMINE THIS ISSUE!!!!!