How do you identify a PUD

[Oh No Not Him]

Usually the way I determine of a property is legally a PUD is checking the the deed, which says "A Planned Unit Development"....what method do you use?

Reason for asking, lender is saying its a PUD, deed doesnt refer to it as a PUD, but I pulled the subdivision plan, which indicates "P.R.U.D."...which i assume is planned res unit development(?)

Thanks

 

[J Grant]

IF there is a mandatory HOA fee, I call it as a PUD.

 

[PropertyEconomics]

Is there a mandatory home owners association? What do dues pay for if one exists?

 

[Jo Ann Meyer Stratton]

Mandatory HOA fees--mark PUD top of form--private restriction

Voluntary or no HOA feews--do not mark PUD top of form--no private restriction

Above has absolutely nothing to do with zoning.

 

[Jambalaya]

Fannie Mae defines a PUD as follows:

Planned Unit Development (PUD) – General Definition.A real estate project in which each unit owner has title to a residential lot and building and a nonexclusive easement on the common areas of the project (for example, a clubhouse, pool, playground, entrance/exit, etc). The owner may also have an exclusive easement over some parts of the common areas (for example, a parking space). (See, FNMA Seller/Servicer Guide, Chapter 3, Glossary).
Planned Unit Development (PUD) – Specific Requirements for Classification as a PUD.(See, FNMA Seller/Servicer Guide, Chapter 2, Section B4-2.3-01) A Planned Unit Development (PUD) is a project or subdivision that consists of common property and improvements that are owned and maintained by a homeowner’s association for the benefit and use of the individual PUD units. In order for a project to qualify as a PUD, the following elements must be met:
There is common property for the project; and
Each unit owner’s membership interest in the homeowner’s association must be automatic and non-severable; and
The payment of assessments related to the units must be mandatory; and
The project must not be a Condominium.

A lot of lenders and underwriters have different ideas of what defines a PUD. Its probably the single biggest source of back and forth tags I deal with.

 

[Mike Kennedy]

"Precise definitions vary by local area."
http://definitions.uslegal.com/p/plannned-unit-development/

One example in the State of Maine:
http://www.gardinermaine.com/Public_Documents/GardinerME_Code/t31c7s3203P

Recommend confirming applicable definition and requirements on a Municipality by Municipality Basis (typically Planning and/or Planning/Building Department)

 

[PropertyEconomics]

"Precise definitions vary by local area."
[url]http://definitions.uslegal.com/p/plannned-unit-development/[/URL]

One example in the State of Maine:
[url]http://www.gardinermaine.com/Public_Documents/GardinerME_Code/t31c7s3203P[/URL]

Recommend confirming applicable definition and requirements on a Municipality by Municipality Basis (typically Planning and/or Planning/Building Department)

I suggest if its for an appraisal, the common terminology of a PUD is a development in which there is a mandatory home owners association with dues. Other definitions really matter not, other than, disclosure.

 

[gregb]

Will be interesting to see the underwriter's response to an appraisal submitted late last week on a home sitting on three acres. There are a total of 8 homes in the development, with voluntary $60 a month HOA dues, that go to maintain a private well (water only for landscaping as there is municipal water hookup) and upkeep of two private roads that serve the 8 sites.

 

[Walter Kirk]

The confusion stems from the fact that mortgage lenders chose to call any development with common features and/or mandatory fees a PUD.

PUD actually stands for Planned Unit Development it is a planning term for a development scheme which includes mixed uses or non standard lots in a single subdivision.

 

[Vermonter]

The confusion stems from the fact that mortgage lenders chose to call any development with common features and/or mandatory fees a PUD.

....and will blow a gasket if you mark the PUD box with "0" hoa fees.

Walter is correct. PUD is a planning term. Fannie Mae definition is important to know, but also your states definition and laws concerning PUDs.