"Ignore Permanent Foundation Status"

[ZZGAMAZZ]

Client Condition regarding the absence of a recorded 443A that is the mandatory CA cert that a manufactured home has been installed on a permanent foundation... "Appraiser to remove "Subject To" condition regarding a missing 433A because the Title company we work with doesn't require it.

 

[KHS445]

The 443A is a State mandated legal requirement, primary to validate that the dwelling is permanently affixed to a foundation. The Title Company is only dealing with ownership issues and can ignore whatever they like.

As an appraiser you are dealing with the real property and your estimate of market value is not impacted by ownership. Tell your client they have the power to wave whatever they wish, be it a legal or title requirement. However, (I am not an attorney) without an affidavit of a fixture I believe the lender will have a vacant land loan, with a non-permanent dwelling. Depending on the style you of build the client will the need to either place a lien on a title or file a UCC1 in order to secure their interest in the dwelling. Technical I understand, and will only be an issue when there is a problem and they are looking for someone to blame.

 

[Mark K]

Client Condition regarding the absence of a recorded 443A that is the mandatory CA cert that a manufactured home has been installed on a permanent foundation... "Appraiser to remove "Subject To" condition regarding a missing 433A because the Title company we work with doesn't require it.

Ask them to provide a waiver from the state building inspector that waives the subject property from this particular regulation.

 

[Sadie]

Client Condition regarding the absence of a recorded 443A that is the mandatory CA cert that a manufactured home has been installed on a permanent foundation... "Appraiser to remove "Subject To" condition regarding a missing 433A because the Title company we work with doesn't require it.

Client lives in an alternate reality. Like the boldness of the request though.

 

[ZZGAMAZZ]

Client lives in an alternate reality. Like the boldness of the request though.

So how does HUD feel about lenders whose DEUnderwriters allow stips contrary to FHA standards to be issued to an appraiser?

 

[Sadie]

So how does HUD feel about lenders whose DEUnderwriters allow stips contrary to FHA standards to be issued to an appraiser?

I would hope that no appraiser would do this and no UW would allow this. If it's not caught there, who knows if any one would catch it. I think, but don't know that F/F only spot audit a few of the loans they buy. But rest assured a few years down the road it will be caught by someone. The most likely scenario is something bad will happen due to the lack of an acceptable foundation and the result will be one of those lawsuits that names anyone who came near the loan-appraiser, lender, original owner, original owner's parents, appraiser's dog, etc.

 

[sputnam]

I've come to the conclusion that a lot of appraisers just like to fight. There is a reason that USPAP gives us EAs and HCs. In this case, it would be no problem to invoke an EA that the dwelling is on a permanent foundation that meets all regulatory requirements.... instead of making your appraisal subject to some third party paperwork.

You certainly have the right to fight with your Client (customer) if you want to. Your Client has the right to never send you another appraisal assignment.

 

[Dublin ohio]

So how is it classified by the assessor and how is it taxed?

 

[Sadie]

I've come to the conclusion that a lot of appraiser just like to fight. There is a reason that USPAP gave use EAs and HCs. In this case, it would be no problem to invoke an EA that the dwelling is on a permanent foundation that meets all regulatory requirements.... instead of making your appraisal subject to some third party paperwork.

You certainly have the right to fight with your Client (customer) if you want to. Your Client has the right to never send you another appraisal assignment.

My issue is with the reasoning for the request-"The title company doesn't require it." To your point, did the OP look in the crawl space? Because that is part of the MH inspection for the 1004C. Was there a foundation? Had the towing hitch, wheels and axles been removed? And could you see the foundation when you looked at it? If yes, to all of this, then comment on the certificate was not made available and it is incumbent on the lender to ensure its existence. Put the onus where it belongs, with the client and not the appraiser.

 

[ZZGAMAZZ]

My issue is with the reasoning for the request-"The title company doesn't require it." To your point, did the OP look in the crawl space? Because that is part of the MH inspection for the 1004C. Was there a foundation? Had the towing hitch, wheels and axles been removed? And could you see the foundation when you looked at it? If yes, to all of this, then comment on the certificate was not made available and it is incumbent on the lender to ensure its existence. Put the onus where it belongs, with the client and not the appraiser.

My original report that included several Subject To items, required the 433A to be Subject To the client/lender satisfying that issue, with the appraiser responsibility to satisfy the other issues, applying 2 diff Checkboxes.