HUD - 92541, New construction.

[Greg Parker]

Did a property back in early October (the 9th). Decent place, no FHA issues, home was done and in move in condition, utilities on, etc.

Got a request today to review the completion document completed by the builder, signed with a date of 11/15/2011.

I've seen this form before, but have never been asked to comment on it's completion...I just got an email asking me to comment on whether this has any effect on value. Have I been missing something on FHA new construction, or is this more AMC busy work?

Appreciate comments.

 

[Mr Rex]

[SIZE=+0]C. General Requirements [/SIZE]
[SIZE=+0]1. Appraisals/Appraisers: The appraiser is required to obtain and retain a copy of the builder’s plans and specification or other document sufficient to identify the extent and character of the proposed improvements (Pursuant to USPAP Standards Rule 1-2). The appraiser may obtain a copy of these documents from the builder or the Lender. [/SIZE]
[SIZE=+0]The appraiser must receive/obtain:[/SIZE]
[SIZE=+0]A Completed Builder’s Certification (Form HUD-92541) signed and dated no more than 30 days prior to the date the appraisal was ordered before performing the appraisal on proposed, under construction or less than one year old properties. Appraisers must review Item 1 on the form and note in the Appraisal Report any discrepancies between the information in Item 1 and the actual conditions observed on site. The lender is responsible to address any yes answer in Item 1. [/SIZE]
[SIZE=+0]All reports and available information (i.e. sales agreement, title report, environmental and soils reports or studies and inspection reports). [/SIZE]
[SIZE=+0]In those cases involving new construction, that is 90% or more complete, including existing less than one year old, the appraiser does not need the plans and specs to perform an appraisal.[/SIZE]

 

[Greg Parker]

I am not being entirely clear.

I have page one of the report from the intial inspection, dated the day of the inspection... Honestly, it is all I've ever really paid attention to on previous appraisals -- and I may be in the wrong here.

Page two of the report has a different signature date, and is only in regards to AFHMP. I am trying to see where it has anything to do with the appraisal. The value is going to be the value whether the builder sells 1 or 1 million more homes in the next year.

 

[RSW]

Sounds like a new assignment to me.

 

[Noreen]

Did a property back in early October (the 9th). Decent place, no FHA issues, home was done and in move in condition, utilities on, etc.

Got a request today to review the completion document completed by the builder, signed with a date of 11/15/2011.

I've seen this form before, but have never been asked to comment on it's completion...I just got an email asking me to comment on whether this has any effect on value. Have I been missing something on FHA new construction, or is this more AMC busy work?

Appreciate comments.

If that home was new or completed within one year of the appraisal, the 92541 must be completed by the builder. This has always been the requirement that I was familiar with since 1994.

 

[Mike Garrett RAA]

What does that have to do with the appraiser? Here it comes, are you ready for it?

Another fine reason!

 

[Greg Parker]

Well, Thanks to all, although no one answered my question. Mr. Garret comes closest, I believe.

It seems to me that page two of that form has nothing whatsoever to do with the home or the value, and I am just going to assume it's busy work.

 

[Noreen]

Well, Thanks to all, although no one answered my question. Mr. Garret comes closest, I believe.

It seems to me that page two of that form has nothing whatsoever to do with the home or the value, and I am just going to assume it's busy work.

Hi Greg, I scan it into my new construction FHA's if you read the direct guideline from Mr Rex ( and as I remember this is right from the handbook) this is what HUD wants you to do. It does become part of the appraisal documentation unfortunately.

 

[RSW]

Did a property back in early October (the 9th). Decent place, no FHA issues, home was done and in move in condition, utilities on, etc.

Got a request today to review the completion document completed by the builder, signed with a date of 11/15/2011.

I've seen this form before, but have never been asked to comment on it's completion...I just got an email asking me to comment on whether this has any effect on value. Have I been missing something on FHA new construction, or is this more AMC busy work?

Appreciate comments.

The highlighted section above would be a new assignment if they are making the request on a different report given to the appraiser originally. You are going to comment on the effect on the value. That is an appraisal even if you say it has no effect on the value.