Lender Requesting Commentary to be removed

[Paradiddle]

Answered.

 

[Dublin ohio]

https://singlefamily.fanniemae.com/media/22301/display

 

[Paradiddle]

Answered.

 

[Paradiddle]

Answered.

 

[Dublin ohio]

Please, let's not get into why or why not I did or did not include the excess land. The question is, "As a professional appraiser, how would you respond to such a request to remove all references to comments previously made within a report you turned in?" Personally, I am fighting them bc there is no valid reason I see to remove the commentary.

They changed the contract. The premise of your comment no longer exists. The excess lot is no longer included. As far as why or why not you did or did not include the excess land. If it was for Fannie the guidelines should have been followed the first time. By glad it's not for FHA. For FHA you include it but give it no value

 

[Dublin ohio]

Dublin ohio, please see the article I posted in its entirety. Your link describes the 2019 update I believe. There was another one in March 2020 that dealt with HBU and excess land.

If you want to conflate articles with actual guidelines that is fine with me. Seems like your mind was made up prior to posting the question. Your hill to die on. Good luck

 

[George Hatch]

All,
Appraised a property clearly w Excess land (separate lot w nothing on it next door in a subdivision). UW asking that I remove commentary that was previously provided concerning my valuation of only the lot w improvements and that the other lot was excess land. Now they have an updated purchase agreement w/o the other lot and want me to remove the commentary I previously made. Thoughts?

My read of it is that the subject property being appraised no longer consists of both lots. The physical and legal attributes have changed and so has the purchase agreement. As of a more recent effective date.

There's no way around it - the appraisal problem to be appraised has changed. You're not doing a superficial SR2 edit. You're facing an SR1 analysis that will include reconsidering your comp selection and analyses and adjustments and so forth. They probably won't understand the distinction because they're not appraisers so there's little point in arguing the appraiser geek stuff with them. They just want a usable appraisal that won't get them into trouble.
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If the reason they're pushing back is because of the fee then that's a business decision for you to make: whether or not to retool your analyses for free. That's separate from how you handle the SR1/SR2 issues. Personally, I would do it for free or for cheap in order to maintain the relationship and because it won't involve a lot of work. But that's probably the minority opinion around here so most people will disagree with that.

 

[Paradiddle]

Answered.

 

[Paradiddle]

Answered.

 

[Tom D]

The subject's agreement of sale was amended xx/xx/zzz to remove the lot next door. You can change an agreement of sale, and it not be a new appraisal. It's like new construction where they keep adding or removing extras. If you gave that lot no value and made no adjustments on the grid then what changes anything on the appraisal besides that lot comment. You counted it as a $0 item. So if they removed the washer and dryer, you would have do do a new appraisal. Some of you are getting goofy here.

Now, if you gave it some value somewhere, then are your comps still good. Then you have more effort into redoing it. But oh gee, I removed a $0 dollar item. Maybe I should do a whole new appraisal without changing the value. That excess land comment really had a lot of value to it.