Lender requesting removal of verbiage

[rcsone]

....recently worked on a report and in establishing which comps to use, I ran into one most inferior except in square footage which was thousands higher than other more similiar comps selected. And this judgement was most obvious from street observation. Which raised the question why? All of the superior properties were conventional and the other FHA financed. To generate value the superiors were used to justify the "papered" FHA value which would have missed real market value by over 20%. I wonder if there was any 'dreamin' goin' on?.........rs

 

[Richard Carlsen]

Take everything out of the comments on the Purchase Agreement and insert the following statement:

"At the specific instructions of the client, the authors comments regarding the terms and conditions of the Purchase Agreement have been removed from this report. While the author has, as required, reviewed the Purchase Agreement provided, no comment will be made concerning the terms and conditions of the purchase agreement."

Of course they will come back and say that the above statement has to be changed. At that point you can make your point that this is your report. If they insist on specific wording and you feel strongly about it, you can decline the order because to follow their instructions would violate Certs 15 and 19.

Your decision on how hard you want to push this thing.

 

[Pamela Crowley (Florida)]

....recently worked on a report and in establishing which comps to use, I ran into one most inferior except in square footage which was thousands higher than other more similiar comps selected. And this judgement was most obvious from street observation. Which raised the question why? All of the superior properties were conventional and the other FHA financed. To generate value the superiors were used to justify the "papered" FHA value which would have missed real market value by over 20%. I wonder if there was any 'dreamin' goin' on?.........rs

That address belongs on the www.MortgageFraudWatchList.org !

 

[incognito]

Another issue I see here is your mentioning

The two page document dated 6/20 was submitted to the appraiser for analysis.

I like that you specifically state the number of pages of the contract you reviewed. I always state the number of pages I received and reviewed. Funny how often the Mortgage company or Realtor "accidentally" forget to send the addendum pages that state there is $50,000 rebate at closing, or seller is including the Cadillac in the garage...

I have had Mortgage companies request that I remove that portion of my contract review comments. NO WAY!

 

[Caterina Platt]

Caterina,

What is the sales price?

$159,800. It's 7.5% contribution, and I don't know if that's their problem. ??? They structured it. I just report it.

 

[Mark to market]

Anyway.......her latest is, in our non-disclosure state, we FHA appraisers are EXPECTED to have an AVM program such as Corelogic to make sure we have the best sales. No matter how I tried to explain that public records will never show the transfer amount, she seemed bent that these AVM's would pick up on my private transaction sale and some appraiser out there would use it as a comparable.
. !?

Hello Caterina,

I am amazed over the AVM statement. How can this representative suggest that an AVM would be able to pull the best comps? AVMs do not account for condition, concessions and a multitude of other qualifiers. In your part of the country they would not even have GLA. Does this representative suggest that you pull your comps based on value?

I would see a lot of issues with her request. Hopefully her statement does not represent FHA culture.

 

[Caterina Platt]

Take everything out of the comments on the Purchase Agreement and insert the following statement:

"At the specific instructions of the client, the authors comments regarding the terms and conditions of the Purchase Agreement have been removed from this report. While the author has, as required, reviewed the Purchase Agreement provided, no comment will be made concerning the terms and conditions of the purchase agreement."

Of course they will come back and say that the above statement has to be changed. At that point you can make your point that this is your report. If they insist on specific wording and you feel strongly about it, you can decline the order because to follow their instructions would violate Certs 15 and 19.

Your decision on how hard you want to push this thing.

That's pretty ornery Richard, I like it.

Mark,

As for the lady in Denver, I think I'm just have to take her with a grain of salt. She's like the bad information people one takes the chance of getting when you call the IRS. At least the HUD/FHA stuff is easier to plow through than the tax code??

You bring up an excellent point. Our only search parameters would be address and value.

Incognito,

I learned that trick about the number of pages from a wise friend who posts here. I have to give Otis credit for that. I too thought it was great, because I specifically remember a deal where CW 'left out' several pages of a purchase agreement several years ago. I had been stating that the appraiser reviewed the documents submitted, in other words, 'they sent me this. If it isn't the full contract, I'd have no way of knowing otherwise.' The number of pages leaves no question what you got. When Otis mentioned that, I adopted it immediately.

 

[PropertyEconomics]

$159,800. It's 7.5% contribution, and I don't know if that's their problem. ??? They structured it. I just report it.

End of story! Good job.

 

[athome77]

Lost a good client last year once they started to get involved with "Ameridream." After 10 years of a solid relationship, the assignments stopped and I was told they had a new guy who was more willing to "help people out" and get the deals done. Lost revenue aside, at least I don't have to worry who is going to be knocking on my door looking for answers.

 

[Metamorphic]

Another issue I see here is your mentioning I like that you specifically state the number of pages of the contract you reviewed.

One more thing I have to add to the "To Do" list. I'm actually thinking about starting a real paper check list.