Private roads & FHA

[Gary Schinagel]

HUD Handbook 4150.2, Section 3-6A.7 and FHA Mortgagee Letter 2005-48
1. Each property shall be provided with vehicular or pedestrian access by a public or private street.
2. If the property is not provided with an all-weather surface, note the absence of such in the appraisal. FHA defines all-weather surface as a road surface over which emergency and the area?s typical passenger vehicles can pass at all times.
Although a written road maintenance agreement is not necessary as I read.
The subject IS NOT ACCESSABLE TO TYPICAL PASSENGER AND EMERGENCY VEHICLES at this time 1 way only and very steep and unmaintained road. PASSANGER AND EMERGENCY VEHICLES ARE NOT ACCESSABLE

We spelled this out to Lender with photos. They told us to proceed because it did not require maintenance agreement.
This is a reverse MTG its not if but when FHA gets it back.
Has anyone out there seen a road like this get through the FHA loan process?
To me its a waste of the borrowers already limited income to pay for a completed report for me just to red flag the report?
Any suggestions

 

[Michael Tipton]

Call the FHA HOC that services your area.

http://portal.HUD.gov/hudportal/HUD?src=/program_offices/housing/sfh/ref/sfhp1-15

 

[Vermonter]

Have run into this before and my HOC advised contacting the municipality about emergency vehicle access. According to this person, if the subject has a valid 911 address then the municipality is prepared to respond to that property....meaning they know the conditions of the drive.

Just got my 911 address on my rural property (3/4 mile ROUGH driveway) and the only things they cared about were adequate culverts and a turn around at the top of the driveway. I was planning on smoothing out the switchback on it and adding new base, but they said it was fine. Each municipality will have different requirements, of course.

 

[incognito]

We spelled this out to Lender with photos. They told us to proceed because it did not require maintenance agreement.

You report it, and the Lender decides. It is not your call...