PUD argument with underwriter. Need help!

[Kenneth Reynolds]

Guess I got in on this a bit late but since I live in one of those projects that is zoned a PUD where the common area maintenance is paid via a special tax and the HOA fee is voluntary...my run in with the UW was shortened greatly by Fannie Mae Selling Guide 2007 Part XII Chap 3:

XII, Chapter 3: PUD Project Review (06/29/07)

A planned unit development is a project or subdivision that consists of common property and improvements that are owned and maintained by an owners’ association for the benefit and use of the individual PUD units. The common property enhances the enjoyment of the premises and the value of the property that secures a PUD unit mortgage. In order for a project to qualify as a PUD, each unit owner’s membership in the owners’ association must be automatic and nonseverable, and the payment of assessments related to the unit must be mandatory. Zoning is not a basis for classifying a project or subdivision as a PUD.


So if the appraisal is being reported on a fannie form the above is helpful. Hope I wasn't too late to be helpful. I sure have learned a lot from this forum and most particularly from Jim Klos. Thanks Jim

 

[CCAAMO]

Kenneth,

Since you live in one of these developments you would be the perfect person to ask these questions.

You said the common areas that are maintained by the city or county and are paid for by a special assessment. A they green belt areas or do they have other improvements? If that area is owned in common by the property owner's, who pay's for the liability insurance for that common area?

For the the voluntary HOA membership and fees, how much are the HOA fees and what do you get for it ( what are the amenities). What makes if different than say a County Club membership?