Judge Rules Appraiser/Lender Owe no duty of care

[Fernando]

Do you also get the home inspection for your comps?

No, but knowing the condition of the subject, I can find comps which are similar in condition.
Not being a home inspector or contractor, I sometimes see the property in good condition until I read the home and/or termite inspection especially if cost to repair is high.

 

[jay trotta]

All the more reason for extreme due diligence.

Once again, I didn't read all the posts. Was the property inspected by a home inspector? That would be the bare minimum for checking a property out.

Bayouplace; It was an estate sell therefore there was no sellers disclosure in the previous transaction. (Extreme Due Diligence-would be a priority-IMO)

If I remember correctly, FHA/HUD has a pamphlet that Realtors are to provide which describe the inspection process, did you get that?

State & Local Health inspectors generally note distances of well & septic that may be required, had you checked with them at any point in time prior to the amended P&SA?

 

[Fernando]

I have included this blurb or similar in every appraisal report I've completed over the last 20 years. It appears 3 times in different sections of my reports. This is the one I cite in my final reconciliation. I always identify the client by name.

View attachment 89145

Every appraiser should put those statements.
If I could, I would boldface and make it larger for all readers to see.

 

[Dublin ohio]

No, but knowing the condition of the subject, I can find comps which are similar in condition.

How can you determine if your comps are in "similar" condition without a home inspection report for your comps. After all you are using information for your subject. Much of which would not be available to an agent. Unless the home inspection was performed prior to listing.

 

[Huds_Harm]

All the more reason for extreme due diligence.

Once again, I didn't read all the posts. Was the property inspected by a home inspector? That would be the bare minimum for checking a property out.

You can read the article here

https://appraisersblogs.com/uncovering-flaws-in-FHA-appraisal-n-loan-review-process/

 

[Fernando]

How can you determine if your comps are in "similar" condition without a home inspection report for your comps. After all you are using information for your subject. Much of which would not be available to an agent. Unless the home inspection was performed prior to listing.

If the reports show significant costs and material, I have better idea in my adjustments.
More information is always better for appraising.
If my peers doesn't do it, Fernando can't help it if he does more due diligence unlike you.

 

[Huds_Harm]

OP never said so no home inspection.
Over here, listing agent would get a home inspection report prior to listing. This way all info given to propspective buyers and lessen agent's liability.
In report, if any concerns, buyer suppose to investigate more.

https://appraisersblogs.com/uncovering-flaws-in-FHA-appraisal-n-loan-review-process/
https://appraisersblogs.com/uncovering-flaws-in-FHA-appraisal-n-loan-review-process/

 

[Fernando]

https://appraisersblogs.com/uncovering-flaws-in-FHA-appraisal-n-loan-review-process/
https://appraisersblogs.com/uncovering-flaws-in-FHA-appraisal-n-loan-review-process/

A simple yes there was a home inspection would do.

 

[Huds_Harm]

Still the underwriter. Do you know if the contract stipulates you asked for a home inspection? If so, was that provided to the underwriter or did that underwriter ask for it? If not, why? If so, did the underwriter condition any of those repairs?

In discovery, did the appraiser's workfile have the subject listing? Would you happen to know if it was available and reviewed? Where is your agent in all this? If you are newer to the buying market, did that agent exercise sufficient standard of care? Their duty is to guide you through the process.

How does the underwriter know to require verification of minimum distance requirements if appraiser conceals the item exists?

Buyers home inspections are not provided to the lender nor used to determine the property meets MPR.

In discovery the appraiser chose to withhold information to multiple questions.

 

[Dublin ohio]

If the reports show significant costs and material, I have better idea in my adjustments.
More information is always better for appraising.
If my peers doesn't do it, Fernando can't help it if he does more due diligence unlike you.

You still didn't answer my question.