FHA Excess Land, Which site size in the grid

[Dublin ohio]

Thanks, Interesting take Dublin Ohio "You only value to primary site using a hypothetical condition. So if using a hypothetical. I would only used the area of the primary site throughout the report"

While I agree, its such a can of worms, though. Do you change the legal as well. Does the parcel number get marked N/A or just explain that only part of the lots under the parcel are being appraised. Thoughts?

From what they say in reporting requirements. Same legal and and parcel number. You would have no way of listing an exact separate legal description or parcel number.

 

[Dublin ohio]

Interesting take Dublin Ohio "You only value to primary site using a hypothetical condition.

Right from page 589 of 4000.1. 1/2023 revision

 

[BillyD]

From what they say in reporting requirements. Same legal and and parcel number. You would have no way of listing an exact separate legal description or parcel number.

From what they say in reporting requirements. Same legal and and parcel number. You would have no way of listing an exact separate legal description or parcel number.

Thanks, its reporting requirement that is vague in 4000.1. (page 589) Its clear as to what to value, but its not clear on how it is to be reported on form 1004 (or other). In my case I could very clearly legally describe the parcel either way, as they were originally purchased separately. No doubt, only half will be valued, but leaning towards indicating actual site size on page one and valued site size in the grid (with narrative as to why they are different) Thanks for the input. Appreciate it

 

[Terrel L. Shields]

leaning towards indicating actual site size on page one

No. Ignore the excess lot.
The smaller number is applicable. You need to explain the excess land is not included due to FHA restriction as a reason for the HC.

 

[BillyD]

Definitely don't disagree Terell. So what your saying is report smaller site on page one and grid (12500 sf), as its actually what is being valued? Curious on your opinion as to whether or not as to report only legal being appraised and whether to include current PIN, bust comment that entire parcel not included?

Couple potential hang ups would be that the legal that is being appraised would not match title. Either way, it seems like something wont match even though its based on a hypothetical, questioning if it will go through with only partial legal reported.

 

[Dublin ohio]

Definitely don't disagree Terell. So what your saying is report smaller site on page one and grid (12500 sf), as its actually what is being valued? Curious on your opinion as to whether or not as to report only legal being appraised and whether to include current PIN, bust comment that entire parcel not included?

Couple potential hang ups would be that the legal that is being appraised would not match title. Either way, it seems like something wont match even though its based on a hypothetical, questioning if it will go through with only partial legal reported.

All of the issues concerning legal description, parcel #, taxes, etc. Would be explained in your HBU analysis and explanation of use of hypothetical

 

[BillyD]

Everything is well explained. Its just a matter, that any other time that I have had a hypothetical, its clearly defined on page one and legal matches actual site size. (Not the case here)

Going with actual legal as described with current PIN, but 12500 site size and explanation described everywhere else. Thanks for the input! Had trouble wrapping my head around how to report it.

 

[Terrel L. Shields]

As they are technically lending on a different legal than what I am appraising.

I don't know. But I do know that non-conforming conventional regulated banks often take additional lands as excess collateral over what they are lending on. I would think FHA probably encumbers both parcels but I am not sure.

 

[Dublin ohio]

Either a clear legal or an addendum referring to a plat and legal. Anything that is not determined is marked TBD.

If you have a plat map. Include it and delineate the primary parcel. TBD would indicate a proposed change. Which is not the case. You are overthinking it. You are not appraising a proposed lot split.

 

[Surf Cat]

Is the typical lot for the market area 12,500 s.f.? Or are there other dwellings on 25,000 s.f. lots? Just curious.