Rural/semi rural?

[CANative]

GSE's can no longer issue S/S's because there is no such thing as a supplemental standard. The broker/lender requests an assignment where the SOW demands a "house and 5" appraisal. Fannie/Freddie policies, found in their selling and appraisal guides, prohibit this SOW.

How is this conflict resolved?

 

[Mztk1]

If you are doing a report that is supposed to be to Fannie Guidelines, than it isn't. You cannot proceed under that particular SOW. You explain to your client you can appraise the house that way but it will not be to Fannies Guidelines. Ask for any change to the SOW in writing. And if the change is for you to no longer comply with Fannie, let's say it is a hard money lender keeping all loans in house, you proceed with the report but state boldly that it is not made in conformance with FanGuides. I'd state it on page 1 of URAR, page 2 and page 3, as well as on the addendum.

But the original question did not specify whether this was for a Fannie transaction or not.

 

[Mr Rex]

We can only guess that it was, since: If I had more lines on the report I would be able to detail all the differences but that not possible... the OP is using a Fannie form, which might prove problematic with the pre-printed verbiage regarding EAs and HCs.:new_smile-l:

 

[Terrel L. Shields]

You have a working farm

not likely. Does it even match the USDA definition of a farm, capable of producing $1000 annual income?

 

[Ben Slaughter]

not likely. Does it even match the USDA definition of a farm, capable of producing $1000 annual income?

Well, Terrel is likely right, but the real question is, is 4 acres an econimically viable farming unit? The answer, I can almost asure you is NO. Now, I've never been to Maryland, but I'll tell you that 4 acres is not even an economic unit in the most valuable farm land in California.

So, you have a non conforming lot in a rural residential area. No biggie. A buyer may or may not pay more for the larger lot.

By the way, as a rural appraiser I would define rural as: an area where the predominant use is commercial agriculture or open space. I would certainly NOT consider an area where lot sizes are 1 to 4 acres a "rural" area.