Judge Rules Appraiser/Lender Owe no duty of care

[Huds_Harm]

Incorrect. If the home inspection is mentioned in the contract, it is fair game. An underwriter could undoubtedly ask for it.

Why would they want to know something that might hold up the loan or prevent the loan from closing? Appraisers have complained about this lender pressuring them that they only accept "as is" appraisals meaning anything that would require it to be "subject to" has to be removed.

 

[Raven59]

The U.S. has generally shifted from caveat emptor to caveat venditor, or, "let the seller beware."

Anyway..... based on your answer, the buyer "DID NOT" have the septic tank inspected.

Let's go back to the beginning. What did the MLS listing state about the condition of the subject property? Realtors have a fiduciary responsibility as well. How did the Brokerage and the agent portray the condition of this property?

This has been asked several times, and I am still trying to determine the answer. Did someone have the septic inspected other than determining its location? It seems this information will or will not tie this whole scenario back to the purchaser.

 

[Raven59]

I'm hoping she would have done what she was paid for and determine that the home did not qualify as required.

The scope of work determines the required results, not the fee.

 

[Huds_Harm]

One thing I will give the Op in regards to being fraudulent, is the fact that the appraiser cropped photos. Having said that, did the appraiser crop the photos with "the intent" of hiding something? Or were they just cleaning up their photos? The checkboxes sound like incompetence.

But in regards to the major issue which is the septic tank, that is not in the wheelhouse of the appraiser to determine its soundness and compliance with regulations or if it has been regularly maintained.

We will never know because she refused to provide all original photos taken at the property to prove it. Guilty by omission?

 

[Huds_Harm]

This has been asked several times, and I am still trying to determine the answer. Did someone have the septic inspected other than determining its location? It seems this information will or will not tie this whole scenario back to the purchaser.

The purchaser does not know nor is required to know or verify the property meets FHA minimum distance requirements between septic and well.

 

[Huds_Harm]

The scope of work determines the required results, not the fee.

The federal “as is” requirement is IN ADDITION TO the GSE scope of work which REQUIRES CONDITIONING THE APPRAISAL ON COMPLETION OR REPAIR when there are conditions that adversely affect the livability, soundness or structural integrity of the property.

 

[Raven59]

Why would they want to know something that might hold up the loan or prevent the loan from closing? Appraisers have complained about this lender pressuring them that they only accept "as is" appraisals meaning anything that would require it to be "subject to" has to be removed.

Because they are responsible for the validity of the collateral used, lenders need to do their own due diligence to reduce risk. I'm sure there are lenders who play both sides of the fence, and many sit on it.

 

[Fernando]

We will never know because she refused to provide all original photos taken at the property to prove it. Guilty by omission?

The appraiser is not your intended user. Appraiser needs permission from client to release info to you.

 

[Mike Ault]

The fact that she checked the box that they did not exist as well as cropped them out of every angle in every picture used in the appraisal and refused to provide all original photos taken at the property proves it.

So, she ignored the courts request to surrender all evidence for discovery? Is that what you're telling us? Do you know that for a fact? Can you post evidence that she refused to turn over all original photos? If true, that would help bolster your case. If that is not true, then you should quit making such allegations. They weaken it.

 

[Raven59]

The federal “as is” requirement is IN ADDITION TO the GSE scope of work which REQUIRES CONDITIONING THE APPRAISAL ON COMPLETION OR REPAIR when there are conditions that adversely affect the livability, soundness or structural integrity of the property.

This sounds like an attorney's answer. Who is the federal?