Occupancy Question

[KenAZ]

Legally, if a person stays in your home for over 3 days, they are legally a tenant, whether or not they pay rent. To kick them out, you have to get a court order. Technically if you were to leave on vacation, then it is tenant occupied for those two weeks or so.

According to the IRS, if you spend just 1 night in the house, it is owner occupied.

According to most counties and states, the home is still owner occupied no matter who lives there, as long as long as no rent is collected.

If a room or guest house is actually rented, that is a gray area. No way we can determine that anyways unless we get a certified copy of their checking accounts.

My opinion is that the occupancy should not be in the SOW for a residential property.

 

[sputnam]

My opinion is that the occupancy should not be in the SOW for a residential property.

But...it is and will continue to be.

 

[Gregory Beck]

I have been an appraiser over 15 years and before that a mortgage broker and banker for 10 years. A borrower can have 2 homes. 1 his primary residence and the 2nd can be a vacation home, provided it is in a vacation area. He is considered to occupy both. In this case, what does the loan program require? Must it be his primary residence or his vacation home. Most loans differ between primary residence and secondary residence or vacation homes, even though they can be considered occupied by the record owner.