FHA Loan With Unfinished Detached Garage

[Jerica]

Hello all. We just put an offer in on a home with an unfinished detached garage. The home is very new and up to date (built in 2012). The builder paid attention to detail and this house is just immaculate. The garage, however, was just built in Fall 2017. Again, remarkable craftsmanship. The only thing not complete, is the concrete hasn’t been poured on the floor, and the exterior hasn’t had the siding put on. Would an FHA loan require this to be complete before closing?

 

[Mr Rex]

No exterior siding? Epic fail for any typical mortgage loan.

 

[residentialguy]

Ditto to what Rex said. Garages can be on dirt, I suppose. Some may or may not call for completion.

 

[Riick]

/)/)/)/)/)/)/)/)

 

[Tim The Enchanter]

I assume being in Alaska, it's too cold to pour concrete now.
FHA must have some way to handle things like that, but not sure.

 

[Jerica]

Very true! Permafrost is also an issue. No matter where you go here, there’s probably going to be permafrost. I don’t know anyone without a driveway or garage floor that’s not cracked from permafrost.

 

[Fritz in NY]

Rex is right, get it sided. I've never had a concrete floor called for (unless it's in the plans & specs or contract) But then again
after 10,000 +/- reports I'll be only 20-30 were dirt. If it's a Barn like building, used for a garage, dirt is the norm.

 

[Vermonter]

Gravel garage floors aren't uncommon here and I wouldn't condition it unless in the plans/specs. Siding is another story and the garage would need to be protected from the elements. If I'm not mistaken, plywood is acceptable if painted. Probably market acceptable in AK too.

 

[Howard Klahr]

Would an FHA loan require this to be complete before closing

Did you allocate value to the garage "as if" it was complete? Do your comps have garages with exterior siding and concrete floors?

If so, then either the report is subject to completion or you have adjusted for the deficiency ...

 

[Tom4value]

No need for a floor but the siding is needed to protect from the elements.