Judge Rules Appraiser/Lender Owe no duty of care

[Zoe]

Did you share everything you have with your lawyer?

When you bought the house, what did you know?

Did you require any inspections?

Your lawyer is not very good on real property if you want my personal opinion. Who laid the septic? Who did the water well?

Is local code involved?

Do you have any local building code?

 

[Zoe]

Fire your lawyer. Go get one that specializes in real property. Appraisers have good lawyers on E&O. They could probably recommend you to a better lawyer in your local area.

 

[Tiffany Gibbons]

No Tiffany, “readily observable” like read the listing sellers disclosure and OSSF and check the correct box. Then ensure the following per the AMC

View attachment 89406



Is the AMC taking it out of context?

I don't work for AMCs, so I don't care about their Jiffy Lube style 21 point check list.I thought you said the seller disclosure said it could not be located because it was an estate sale? I bet the were talking about the records could not be located not the actual system. I don't think most investors are stupid enough to forgo well and septic inspections. Usually, it's amateur flippers trying to keep expenses down. I notice you never answered about the leachfield failure. Why not?

 

[Huds_Harm]

I don't work for AMCs, so I don't care about their Jiffy Lube style 21 point check list.I thought you said the seller disclosure said it could not be located because it was an estate sale? I bet the were talking about the records could not be located not the actual system. I don't think most investors are stupid enough to forgo well and septic inspections. Usually, it's amateur flippers trying to keep expenses down. I notice you never answered about the leachfield failure. Why not?

You don't care about assignment requirements?

That is not what was said. I said due to the prior transaction being an estate sale the systems location was not disclosed to the seller nor was it on the survey aka records.

What question about the leachfield failure? If you're looking for a reason why it failed no one knows.

 

[Tiffany Gibbons]

You don't care about assignment requirements?

That is not what was said. I said due to the prior transaction being an estate sale the systems location was not disclosed to the seller nor was it on the survey aka records.

What question about the leachfield failure? If you're looking for a reason why it failed no one knows.

No, I do not care about AMC assignment requirements. This is the first time you've actually said the leach field failed, 3 months after you closed. How could the appraiser predict that? You should have paid for a survey, a water quality test, and a septic inspection. You did not do your research prior to purchase and did not have a proper home inspection. For $100,000, maybe you can connect to public water or sewer.

 

[Huds_Harm]

No, I do not care about AMC assignment requirements. This is the first time you've actually said the leach field failed, 3 months after you closed. How could the appraiser predict that? You should have paid for a survey, a water quality test, and a septic inspection. You did not do your research prior to purchase and did not have a proper home inspection. For $100,000, maybe you can connect to public water or sewer.

Good to know.

I never said it failed. Ya'll were asking for a reason for the failure.

I did pay for a survey and the lender was required to order those tests had the appraiser not concealed the fact.

A home inspection is not legally required, however determining FHA MPR is.

Again, slowly for those of you in the back. I am not suing because it failed. I am suing because it did not meet minimum distance requirements working or not. The system failing is simply the only reason the appraiser/lender got caught bypassing FHA MPR requirements.

The connection to public water and sewer is also something that was required to be determined by the appraiser prior to closing.

 

[Fernando]

Why didn't you or your real estate agent get you a home warranty. I think for additional protection and cost, home warranty covers septic and well problems.
With an estate sale and you're buying it as is condition, it would have been prudent to buy a home warranty instead of relying on lender's appraisal report.
With home warranty plan, you're cover like a year and anything goes wrong after purchase, with you paying a deductible, the plan will do the repair at their cost.

 

[Huds_Harm]

Why didn't you or your real estate agent get you a home warranty. I think for additional protection and cost, home warranty covers septic and well problems.
With an estate sale and you're buying it as is condition, it would have been prudent to buy a home warranty instead of relying on lender's appraisal report.
With home warranty plan, you're cover like a year and anything goes wrong after purchase, with you paying a deductible, the plan will do the repair at their cost.

I did not purchase it as an estate sale. The seller did.

I did have a home warranty. It does not cover replacing the system.

 

[Fernando]

I did not purchase it as an estate sale. The seller did.

I did have a home warranty. It does not cover replacing the system.

Did you have option to pay additional cost to cover the system?

 

[Huds_Harm]

Did you have option to pay additional cost to cover the system?

The only option was to pay over $100,000.00 to replace the system.