Gutters and Downspouts

[Tim The Enchanter]

Gutters are great for collecting leaves, and tree seeds, and what not.
Then you have to clean the damm things out.

I rigged up some plastic pipe to my leaf blower so I can do it without a ladder.
As long as the stuff is dry.

 

[CANative]

Grading and Drainage
Check for readily observable evidence of grading and drainage problems. Proper drainage control measures may include gutters and downspouts or appropriate grading or landscaping to divert the flow of water away from the foundation. If the grading does not provide positive drainage from the improvements, make a repair requirement. Note any readily observable evidence of standing water near the property that indicates improper drainage. If the standing water is problematic, make a repair requirement in the site section of the report.

Looks like the lack of gutters is already causing problems at the edges. Positive draining is also not apparent.

 

[Ariba]

You are the only one that got it right.

 

[jay trotta]

IMO, gutters & leaders fall under "deferred maintenance";
Deferred maintenance is the practice of postponing maintenance activities such as repairs on both real property (i.e. infrastructure) and personal property (i.e. machinery) in order to save costs. The failure to perform needed repairs/improvements could lead to asset deterioration and ultimately asset impairment.

 

[Ariba]

IMO, gutters & leaders fall under "deferred maintenance";
Deferred maintenance is the practice of postponing maintenance activities such as repairs on both real property (i.e. infrastructure) and personal property (i.e. machinery) in order to save costs. The failure to perform needed repairs/improvements could lead to asset deterioration and ultimately asset impairment.

With that rationale, everything would fall under deferred maintenance and you never have to call for repairs/alternations or inspections.

 

[CANative]

With that rationale, everything would fall under deferred maintenance and you never have to call for repairs/alternations or inspections.

The 3 C's of lending: Credit, Capacity,. Collateral. All are needed to sustain good lending practices. The FHA forward mortgage program is designed for borrowers with less than stellar credit and capacity (two legs of the stool.) To make up for this, the forward mortgage program must place more emphasis on the collateral than other lending programs and providers.

That's why there is more need for reliable property condition reporting by the appraiser. The difference between "meh" and "must."

 

[Ariba]

Are you a lender or appraiser? The 3 S's for appraising are; Safe, Sound, Sanitary. Many deferred items MUST be addressed. Peeling/Chipping paint, Negative drainage around foundation, roof with less than 2-years remaining life, broken windows,

 

[bnmappraisal]

@Ariba I'll take @CANative word regarding FHA requirements any day of the week

His last sentence says it all

That's why there is more need for reliable property condition reporting by the appraiser. The difference between "meh" and "must."

(my bold)

 

[CANative]

Are you a lender or appraiser? The 3 S's for appraising are; Safe, Sound, Sanitary. Many deferred items MUST be addressed. Peeling/Chipping paint, Negative drainage around foundation, roof with less than 2-years remaining life, broken windows,

The Three C's of Credit

Students learn how borrower characteristics are classified based on the three C’s of credit (capacity, character, and collateral) and assess the riskiness of lending based on these characteristics.

www.stlouisfed.org

The History of FHA

Congress created the Federal Housing Administration (FHA) in 1934. The FHA became a part of the Department of Housing and Urban Development's (HUD) Office of Housing in 1965.

When the FHA was created, the housing industry was flat on its back:

• Two million construction workers had lost their jobs.
• Terms were difficult to meet for homebuyers seeking mortgages.
• Mortgage loan terms were limited to 50 percent of the property's market value, with a repayment schedule spread over three to five years and ending with a balloon payment.
• America was primarily a nation of renters. Only four in 10 households owned homes.

During the 1940s, FHA programs helped finance military housing and homes for returning veterans and their families after the war.

In the 1950s, 1960s and 1970s, the FHA helped to spark the production of millions of units of privately-owned apartments for elderly, handicapped and lower income Americans. When soaring inflation and energy costs threatened the survival of thousands of private apartment buildings in the 1970s, FHA's emergency financing kept cash-strapped properties afloat.

The FHA moved in to steady falling home prices and made it possible for potential homebuyers to get the financing they needed when recession prompted private mortgage insurers to pull out of oil producing states in the 1980s.

By 2001, the nation's homeownership rate had soared to an all time high of 68.1 percent as of the third quarter that year.

During the “Great Recession” of 2008-2013, FHA played an important countercyclical role, propping up the housing market to supply access to mortgage credit when other sources of financing were limited and the capital markets had seized up.

Today, FHA has active insurance on over 8 million single family mortgages, almost 12,000 mortgages for multifamily properties, over 3,700 residential care facilities mortgages; and almost 100 mortgages for hospital facilities. The combined unpaid principal balance in FHA’s insurance portfolio is over $1.3 trillion.

https://www.HUD.gov/program_offices/housing/fhahistory

 

[Tim The Enchanter]

In 1934......

America was primarily a nation of renters. Only four in 10 households owned homes.

Good post Greg. I wonder what that % is now.