Re. "subject to" question

[OllieGarchy]

I made my VA appraisal "subject to", as it had Section 1 work (per the termite guy's report). The lender now says that the Section 1 work has been completed, and wants to know if I can change the report to indicate that it has, or do a 1004D.

I don't want to change the original report, but I can't do a 1004D either, as it would require crawling around the crawl space and other areas to make sure the Section 1 work was completed, and I'm not a termite/dry rot expert.

I was thinking of two alternatives:
1. Have the lender include the Section 1 completion letter in the appraisal.
2. Do the 1004D but state that no inspection by the appraiser was made, instead the appraiser relied on the Completion letter by the termite guy.
3. Leave it up to the lender/VA.

Or is there another way to proceed?

Thanks.

 

[J Grant]

I made my VA appraisal "subject to", as it had Section 1 work (per the termite guy's report). The lender now says that the Section 1 work has been completed, and wants to know if I can change the report to indicate that it has, or do a 1004D.

I don't want to change the original report, but I can't do a 1004D either, as it would require crawling around the crawl space and other areas to make sure the Section 1 work was completed, and I'm not a termite/dry rot expert.

I was thinking of two alternatives:
1. Have the lender include the Section 1 completion letter in the appraisal.
2. Do the 1004D but state that no inspection by the appraiser was made, instead the appraiser relied on the Completion letter by the termite guy.
3. Leave it up to the lender/VA.

Or is there another way to proceed?

Thanks.

Imo you do not need to crawl around the crawl space, you just need to ask to see the termite guys report that it is complete,t, go out and take a photo of whatever is visible to take of the crawl space

When you made the appraisal subject to a section one report, you did not crawl around the crawl space then, did you?

 

[TerryRohrer]

Peeling paint is the only issue the VA requires that an appraiser revisit. In your case, the lender can clear this issue on their own. That is the option I would choose.

 

[OllieGarchy]

No, I didn't crawl around in the crawl space; the original termite guy and his report listing Section 1 damages did that for me. I just used what he said in the report.

Just wondering if I would actually need to go out to the property at all, since it sounds like the newest termite report & pics shows that the Section 1 work has been completed. Can't the lender use this report?

 

[J Grant]

No, I didn't crawl around in the crawl space; the original termite guy and his report listing Section 1 damages did that for me. I just used what he said in the report.

Just wondering if I would actually need to go out to the property at all, since it sounds like the newest termite report & pics shows that the Section 1 work has been completed. Can't the lender use this report?

The lender can answer that, we can't

 

[zutero771]

The lender including the Section 1 completion letter in the appraisal seems like an easy solution, and relying on the completion letter for the 1004D might work too, especially if you’re not the expert on termites. At the end of the day, leaving it up to the lender/VA might be the safest choice if you're not sure about the next steps.

 

[jay trotta]

No, I didn't crawl around in the crawl space; the original termite guy and his report listing Section 1 damages did that for me. I just used what he said in the report.

Just wondering if I would actually need to go out to the property at all, since it sounds like the newest termite report & pics shows that the Section 1 work has been completed. Can't the lender use this report?

Did you note in the report; "Expert in the Field of Termite/Wood Destroying" insects noted........

 

[togatour]

Was the report subject to repairs OR subject to inspection (by a qualified contractor/ expert??)

I occasionally have underwriters order a 1004D on appraisal conditions that were clearly marked "subject to inspection " by a qualified contractor. Sometimes they send me the contractor's certification to sign off on with the 1004D. I always push back that it is the underwriter/ lender who needs to sign off. I am not the expert, which is why I made it subject to inspection.

If you made it subject to repairs then the lender may require a 1004D to clear. You may need to correct your report to subject to inspection by a qualified contractor (which will not make them happy but will save you from signing off on repairs you are not qualified to certify)

 

[sputnam]

You can't change your report unless it's a new assignment. Your appraisal report is as of the effective date, usually the inspection date. Any changes that happen after are not relevant to your appraisal. You can do a 1004D and instead of crawling around under the dwelling... you attach a copy of the pest control operator's certfication that the work was done and include comments explaining that you aren't a licensed pest control operator. You can also tell the loan officer that you can't 'sign off' on someone else's work... especially when that work is outside your area of expertise.

 

[togatour]

You can't change your report unless it's a new assignment. Your appraisal report is as of the effective date, usually the inspection date. Any changes that happen after are not relevant to your appraisal. You can do a 1004D and instead of crawling around under the dwelling... you attach a copy of the pest control operator's certfication that the work was done and include comments explaining that you aren't a licensed pest control operator. You can also tell the loan officer that you can't 'sign off' on someone else's work... especially when that work is outside your area of expertise.

Totally agree, but a material mistake made by the appraiser ( checking subject to repairs instead of subject to inspection, if that was what they actually meant) could be corrected but would require an addendum and explanation (prominently placed), same effective date and new signature date.

If such a change is requested by lender (say after repairs) the yes it's a NEW report, NEW assignment