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Yea that makes sense. Last month's job in Palm Deset revealed that the city doesnt allow a non permitted DU to be leased, although the OV didnt include potential rental income.
Somewhere I had a job in the moutains, a few years ago, maybe Big Bear, the city reg specifically supersedes the state ADU mandate, by prohibiting ADUs.
Your going to get sued.
I just saw ur recent post that is very meaningful IMO. My assignment didnt include an ADU although somehow I was aware of that issue.
Maybe a dumb question, but do builders build apartments specifically to include affordable units? What, based on GLA, etc, etc.? Couldn't be quality of construction, is it???
Wow. I just posted on the AF couple weeks ago because I received that condition from a lender about a detached garage-to-living area conversion...although there was nothing in the Engagement about that factor, and the report was long-done and too late to turn down the assignment. I honestly don't know what would happen to the assignment if an appraiser refuses to honor a condition after the report had been assigned. I think I did that only a few times ever and just never heard anything in response, although I probably never received any further assignments. HmmmmI received a polite letter around 2005 from OREA. I was supervising my brother (only trainee I have ever trained) and among the samples of appraisal work he submitted to upgrade his license, was a report that had a converted garage (owner admitted no permit for conversion). Brother stated the facts in his report, and valued the converted garage as only a garage, no value to contributory value of the conversion. The client was a direct lender (wamu i think) and in the engagement letter, it stated "appraiser to accord no value to unpermitted additions or conversions." The OREA letter indicated that I should have rejected the assignment based on the engagement condition of no value without permit. Per OREA, if market participants would assign some value to the garage conversion, I was obligated to reflect that if I was completing a "Market Value" appraisal.
First of all, why the hell you allowed your brother to send a sample with an unpermitted work. I send the easiest simple cookie cutter reports with no questions ask.I received a polite letter around 2005 from OREA. I was supervising my brother (only trainee I have ever trained) and among the samples of appraisal work he submitted to upgrade his license, was a report that had a converted garage (owner admitted no permit for conversion). Brother stated the facts in his report, and valued the converted garage as only a garage, no value to contributory value of the conversion. The client was a direct lender (wamu i think) and in the engagement letter, it stated "appraiser to accord no value to unpermitted additions or conversions." The OREA letter indicated that I should have rejected the assignment based on the engagement condition of no value without permit. Per OREA, if market participants would assign some value to the garage conversion, I was obligated to reflect that if I was completing a "Market Value" appraisal.