Slippery Slope: As-repaired And The Appraiser's Assumption

[djd09]

FHA dictates repairs for peeling paint, not even knowing if there is lead in the paint.

You should be directing your questions to the regulators/clients.

 

[residentialguy]

Because an appraisal is not about asking the owner how they want to fix a safety hazard, we are the market experts hired by lender for our expertise, we condition the appraisal to resolve the issue in a workmanlike manner that retains integrity and value of the home. Removing the deck and stripping the house of a valued amenity was not the condition to be met ( replacing boards which retains the deck should have been the condition stated)

The deck had no significant value. To resolve the issue in a workmanlike manner that retains integrity, you'd have to dump 2k into it because you'd have to redo the deck to make it look good. Is that a logical choice?

 

[residentialguy]

FHA dictates repairs for peeling paint, not even knowing if there is lead in the paint.
You should be directing your questions to the regulators/clients.

Does FHA say that you have to repaint and the HO can't cure the problem by re-siding if it's a better option for them?

 

[J Grant]

The deck had no significant value. To resolve the issue in a workmanlike manner that retains integrity, you'd have to dump 2k into it because you'd have to redo the deck to make it look good. Is that a logical choice?

That's your call in the original appraisal. If the deck was so run down that it had minimal value, ( or no value) but it still had the safety issue ), then you could have made it subject to repair the loose boards to address safety, but not valued the deck due to depreciated condition, or made a minimal adjustment such as 1k. So if you assigned more contributory value than the ugly/deferred maintenance condition of deck warranted, that was a problem in the OA.

if the deck needed significant repairs/cosmetic work to look good ( 2k worth) to make condition such commensurate with adjustment you made for deck in original appraisal, then that was your call as appraiser ( what you term a logical choice). Whatever you choose should have credible assignment results the point of the whole thing after min safety has been met.

 

[djd09]

Does FHA say that you have to repaint and the HO can't cure the problem by re-siding if it's a better option for them?

Again, questions you should be directing to FHA/regulators/clients.

 

[ucbruin]

I come back for a final and the safety hazard was cured all right, except instead of replacing 1/2 doz boards, he removed the entire deck!

Question.

What was the guy's answer/reason(s) when you asked him why he removed the deck?

 

[TRESinc]

Again, questions you should be directing to FHA/regulators/clients.

you should heed your own advice...

 

[djd09]

Who are you?

 

[Mr Rex]

How many times have you gone out on new construction and the deck (or some other relatively minor thing) is missing? It becomes a new assignment that can be easily completed. Explain to the client why there will be a fee above the cost of a typical final inspection as it is beyond the scope of the final to handle. New report that adjusts for the lack of a deck. Much ado about nothing of substance. MHO YMMV

 

[Tom4value]

Did you miss all of my posts where I said to stop and find out what they are doing before you finish the appraisal?

I am not sure which of the umpteen posts you are referring to but I am referring to your original post.
You have an existing home that needs floorboards of the deck replaced for a safety issue. You conditions for the damaged floor boards to be replaced. Good! That is what I would have done.

You go back out and instead of replacing the floor boards they removed the deck. Ugh! Ok, now I would have conditioned for them providing stairs for the 4 ft drop as that is now a safety hazard OR show that the door out is secured with a nailed board (not just locked as children can unlock a door). You already addressed that the removal of the deck had a nominal affect on value. Your job is done! Who cares what the new deck is going to look like? It will be built after the affective date of the appraisal so you have no concern about it. What are you afraid of liability-wise?