Rehab appraisal

[Cece]

Hello. I have the opportunity to purchase a house that will need a lot of work but will be perfect for my family when done. I'm going to purchase the house ( multi-units) and live within 2 units and rent out the others. So the lender ordered a rehab appraisal. Is the value stated in the appraisal what the house is right now with no upgrades? I should also note, I didn't receive a report but only a number from the lender. Should I have this report in my possession as well?

Thanks

 

[Carnivore]

Hello. I have the opportunity to purchase a house that will need a lot of work but will be perfect for my family when done. I'm going to purchase the house ( multi-units) and live within 2 units and rent out the others. So the lender ordered a rehab appraisal. Is the value stated in the appraisal what the house is right now with no upgrades? I should also note, I didn't receive a report but only a number from the lender. Should I have this report in my possession as well?

Thanks

Hey, Just read your Post. You came to the right place with your questions. Lets see if I can help answer some if not all of your questions.

I will answer your last question first:

Should you have received a copy of the Appraisal Report. Short Answer: No
Can you get a copy the Report. Yes, most likely. It must come from the Lender NOT the Appraiser.
Can you discuss the Appraisal results with the Appraiser. No! The appraiser is not permitted to discuss results with anyone but the Lender/client.

Your Property Description is a House that has multiple living units. How many units total?

What was the condition? 1. Can it be lived in now? Is it currently occupied by tenants?

 

[Cece]

Hey, Just read your Post. You came to the right place with your questions. Lets see if I can help answer some if not all of your questions.

I will answer your last question first:

Should you have received a copy of the Appraisal Report. Short Answer: No
Can you get a copy the Report. Yes, most likely. It must come from the Lender NOT the Appraiser.
Can you discuss the Appraisal results with the Appraiser. No! The appraiser is not permitted to discuss results with anyone but the Lender/client.

Your Property Description is a House that has multiple living units. How many units total?

What was the condition? 1. Can it be lived in now? Is it currently occupied by tenants?

Thanks for the help. And understood about the report. I will call the lender on Monday morning.

4 units total (based on the approved layout)
*2- 3 bedroom 2 baths units
*2- 1 bedroom 1.5 baths units
The condition is not livable at the moment. The house has been gutted with the framing completed. The exterior was completed, such as pointing, paint, steps and porches fixed and a brand new roof.

 

[Carnivore]

So it appears that you purchased the property AS-IS, That would explain the Lender Giving you the appraisal Results Market Value AS-IS
(you said the lender gave you a number) or Possibly the AS-IS and since you mentioned "approved Layout" The Report may also have Subject To the proposed improvements with that Market Value.

So your in PA. I was born in Greensburg Westmoreland Hospital. I still have family there.

Good Luck to you!

 

[Tom D]

depending on who the lender is there may be an as is value, sometimes they only need a finished value to determine the final loan amount. some lenders are to lazy to email you a copy. i would ask them for a copy.

• Under the Equal Credit Opportunity Act, your lender must provide you with a copy of the appraisal report upon your written request. If you are dissatisfied with any information contained in your appraisal report, you should contact your lender immediately. Below is an excerpt from the U.S. Department of Justice.
• Upon request. A creditor that does not routinely provide appraisal reports shall provide a copy upon an applicant’s written request.

 

[J Grant]

If it is being financed as a 203k program it typically has two values, as is and then as repaired -

 

[Dublin ohio]

So the lender ordered a rehab appraisal. Is the value stated in the appraisal what the house is right now with no upgrades?

How close if the "number" to the purchase price of the property?

 

[bnmappraisal]

So the lender ordered a rehab appraisal.

What type of loan are you getting? (FHA, Conventional, VA, Other)

I also would ask the lender/loan officer if the number they gave you was the AS IS value of the property or SUBJECT TO value (meaning what the property WILL be worth after work is done)

 

[sputnam]

The appraiser can not provde you with a copy of the appraisal report nor chat with you about the assignment results. Unless something has changed, the Lender is required to give you a copy of the appraisal report.... if you request it.

As for whether the appraiser developed an 'as is' value or an 'as repaired' value or both, that is dependent on what was requested by the Lender.