Illegal Basement Kitchen

[Shawangunk RE]

Appraised a home for a purchase. The house has numerous condition issues, holes in walls, peeling/stained/missing flooring, exterior peeling paint, etc. There is also a partially finished basement, RR, HB and kitchen. There is no c of o for the basement finish and the subject is zoned SF Residential. I conditioned the appraisal for removal of the stove in the basement and I am getting asked by the lender to explain why. I also valued the basement as unfinished. The lender seems to be fixated on the stove removal issue and I cannot figure out why? Any insights?

 

[Terrel L. Shields]

A - secondary market? Or, B - in house lender? B could care less about it. A - well read the guides and reguritate it back to the lender.

You know I don't think FHA has any comments on second kitchens in the 4000.1 - maybe some obscure letter?? Call the DEU and ask.

FNMA

• An independent second kitchen by itself does not constitute an ADU.
• The removal of a stove does not change the ADU classification.

And again, where in the Selling Guide does it reference that you remove a kitchen appliance simply for not being in the main kitchen? Anyone with a FNMA or Freddy letter? Ask @DWiley

 

[Bob Ipock]

Is the stove plugged in and personal property. Maybe overthinking this a bit.

 

[Shawangunk RE]

A - secondary market? Or, B - in house lender? B could care less about it. A - well read the guides and reguritate it back to the lender.

You know I don't think FHA has any comments on second kitchens in the 4000.1 - maybe some obscure letter?? Call the DEU and ask.

FNMA

• An independent second kitchen by itself does not constitute an ADU.
• The removal of a stove does not change the ADU classification.

And again, where in the Selling Guide does it reference that you remove a kitchen appliance simply for not being in the main kitchen? Anyone with a FNMA or Freddy letter? Ask @DWiley

This is not about an ADU, its about the basement not having a c of o and an illegal kitchen.

 

[Dublin ohio]

This is not about an ADU, its about the basement not having a c of o and an illegal kitchen.

Are basement kitchens by themselves not allowed? So owner just unplugs the stove and moves stores in another area. Moves it back and plugs it back in after you confirm it has been removed. SInce no c and o for the finished basement. What are you doing about that? Are you conditioning that and requiring that it be "unfinished". Sometimes I think some appraisers just enjoy making their life more difficult

 

[Shawangunk RE]

Are basement kitchens by themselves not allowed? So owner just unplugs the stove and moves stores in another area. Moves it back and plugs it back in after you confirm it has been removed. SInce no c and o for the finished basement. What are you doing about that? Are you conditioning that and requiring that it be "unfinished". Sometimes I think some appraisers just enjoy making their life more difficult

in this particular township, basement (summer) kitchens are allowed, WITH a C of O. The basement finish is minimal quality, with condition issues also. So, I valued the basement as unfinished, and conditioned for the removal of the stove. Yes, I know the purchaser may just re-install the stove at some point, but that is not my problem. My appraisal reflects the home as of the date of my inspection. My original question was why the lender was fixating the the stove removal with no question regarding the basement and lack of value for finish. I have never had a lender question that in similar situations. This is not a portfolio loan, its a purchase that this lender is going to pawn off on FNMA.

 

[Shawangunk RE]

Is the stove plugged in and personal property. Maybe overthinking this a bit.

stoves are not considered personal property, refrigerators and washers and dryers are.

 

[Artemis Fowl]

in this particular township, basement (summer) kitchens are allowed, WITH a C of O. The basement finish is minimal quality, with condition issues also. So, I valued the basement as unfinished, and conditioned for the removal of the stove. Yes, I know the purchaser may just re-install the stove at some point, but that is not my problem. My appraisal reflects the home as of the date of my inspection. My original question was why the lender was fixating the the stove removal with no question regarding the basement and lack of value for finish. I have never had a lender question that in similar situations. This is not a portfolio loan, its a purchase that this lender is going to pawn off on FNMA.

As-is appraisal? "The basement finish is minimal quality, with condition issues also. So, I valued the basement as unfinished"
Conditioned removal of an appliance? Bob's right...you are waay overthinking things.

 

[Dublin ohio]

stoves are not considered personal property

Where is that stated. What would you consider a built in Sub Zero refrigerator. If all I have to do is unplug the stove and carry it out the door. How is it not personal property. What would your adjustment be for lack of a stove. Would it be the same for a basic $500 GE 30" as compared to a $4000 Viking 30" stove

 

[Dublin ohio]

My original question was why the lender was fixating the the stove removal

Probably a safety issue. Since you are the local expert. What is required for a c of o. As an aside. What you describe is not the typically accepted definition of a "summer" kitchen. It is just a second kitchen in the basement. But you are in NY. So there is that