Questions: 1) New Construction OV 2) chipped/peel paint on the adjacent neighbor's wooden fence

[ZZGAMAZZ]

Possibly stupid questions, but asking seriously:

SCENARIO #1
Has an appraiser EVER determined an Opinion of Value for a new construction SFR in a builder subdivision that does not support the subject's contract price? [asking because Sales Office staff in ANOTHER development said "no appraiser has EVER brought in a value too low"].

SCENARIO#2
FHA purchase of a 100-year old, renovated SFR with a loooong wooden fence that appears to be at least that old, sections of which display chipped/peeling paint, but the Listing Agent says the fence belongs to the next-door neighbor. Advice please?

 

[Mike Ault]

Possibly stupid questions, but asking seriously:

SCENARIO #1
Has an appraiser EVER determined an Opinion of Value for a new construction SFR in a builder subdivision that does not support the subject's contract price? [asking because Sales Office staff in ANOTHER development said "no appraiser has EVER brought in a value too low"].

SCENARIO#2
FHA purchase of a 100-year old, renovated SFR with a loooong wooden fence that appears to be at least that old, sections of which display chipped/peeling paint, but the Listing Agent says the fence belongs to the next-door neighbor. Advice please?

Scenario #1 – Yes, did so last month.

Scenario #2 – The seller gets to paint the neighbors fence.

 

[sputnam]

Possibly stupid questions, but asking seriously:

SCENARIO #1
Has an appraiser EVER determined an Opinion of Value for a new construction SFR in a builder subdivision that does not support the subject's contract price? [asking because Sales Office staff in ANOTHER development said "no appraiser has EVER brought in a value too low"].

SCENARIO#2
FHA purchase of a 100-year old, renovated SFR with a loooong wooden fence that appears to be at least that old, sections of which display chipped/peeling paint, but the Listing Agent says the fence belongs to the next-door neighbor. Advice please?

1- Yes, of course.

2- You are appraising the subject property. If the fence is the neighbor's, it's not part of your problem. If the fence is on the subject property, it either belongs to the subject or it's an encroachment... in which case, it belongs to the subject.

 

[J Grant]

Possibly stupid questions, but asking seriously:

SCENARIO #1
Has an appraiser EVER determined an Opinion of Value for a new construction SFR in a builder subdivision that does not support the subject's contract price? [asking because Sales Office staff in ANOTHER development said "no appraiser has EVER brought in a value too low"].

SCENARIO#2
FHA purchase of a 100-year old, renovated SFR with a loooong wooden fence that appears to be at least that old, sections of which display chipped/peeling paint, but the Listing Agent says the fence belongs to the next-door neighbor. Advice please?

#1- Sure, plenty of times over the years. I bet the sales office person was saying that as a way to pressure you. Or they simply have no idea what they are talking about.

Even if the fence belongs to the neighbor, if there is old lead paint flaking on the subject side then IMO it needs to be addressed.

 

[residentialguy]

NAR would like to correct you all. If you have the contact, you have the market value.

 

[J Grant]

NAR would like to correct you all. If you have the contact, you have the market value.

'Builder Sc prices are are added up cash register style wrt upgrades/options and then added to lot premiums the builder invents. Most of the financing is done by the builder's preferred lender, and you can bet THEIR appraisers match every single SC price.

 

[Mark K]

SCENARIO#2
FHA purchase of a 100-year old, renovated SFR with a loooong wooden fence that appears to be at least that old, sections of which display chipped/peeling paint, but the Listing Agent says the fence belongs to the next-door neighbor. Advice please?

First of all...I'd love to see a 100 yr. old wood fence. Advice is to ask neighbor who they think owns the fence. If they don't agree, a staked survey may be in order. Ownership of the fence needs to be determined before you can go much farther.

 

[Overimprovement]

First of all...I'd love to see a 100 yr. old wood fence. Advice is to ask neighbor who they think owns the fence. If they don't agree, a staked survey may be in order. Ownership of the fence needs to be determined before you can go much farther.

Best answer on the fence. If there is a disagreement on who owns the fence and whether or not it is an encroachment, that is its own issue, separate from paint.

An additional thought though (assuming no encroachment/ownership dispute issues)--if it can be shown the fence itself is NOT older than 1978, then I have had success stating such, and then stating there are therefore no peeling paint issues. It is the combination of age AND peeling paint that are the issue. One OR the other does not constitute a problem. 100 year old home, no peeling paint? No problem. Home built in 1979 with peeling paint? Not a 4000.1 problem (though other issues can be in play and should still be noted).

Our job is to relay information, and let others decide. If a lender OR HUD/FHA wants to push back on whether a 20 year old fence/shed/whatever needs its peeling paint addressed, they can. But a simple comment about its age is in order first if that can alleviate the issue.

 

[Terrel L. Shields]

If the neighbor built it and was smart enough not to encroach the subject then it's not your problem.

 

[glenn walker]

I almost can't take it LMAO