Tenant vs Owner

[Jon Green]

I inspected an FHA today for a new client. The borrower met me at the house and let me in. Her daughter was with her. There was a little girls room in the house, or at least what appeared to be a young girls room. When the girl sat on the couch, she said "this is a nice house". Like it was her first time there. Her mother said it was there house and Public Records show the mailing address the same as the subject. However, I feel like I am being lied to, but I have no proof. There are no photos in the house, but she was unable to answer some questions I had about the house (ie the heating/cooling system/is there something blocking access to the attic through the scuttle...). Has anyone had a similar situation and if so what course of action did you take? I've sifted through some bs in my ten years but have always had something to back it up.

 

[Cob]

You can proceed as you normally would, if the records show the mailing address to be the same and you don't have any proof otherwise, I would just proceed. Or if you want to force the issue and call your new client and tell them that you don't think they really live there, you may have a former new client.

I have had something similar happen to me, if the borrower and MB or lender sign everything saying they live there and they really don't, then they're the ones who are lying. My job is to appraise the property and not be a modern day Columbo, it would have been funny however if you would have said, "there's just one more thing." on your way out.

 

[Riick]

You don't always have to be Columbo

Friend of mine got 3 new-construction homes to appraise last year - from same MB, each with same Buyer.
Called the MB: "Are any of them going to be owner-occupied?"
MB says: "All of them, we're doing each one through a different bank"

 

[Blue1]

You don't always have to be Columbo

Friend of mine got 3 new-construction homes to appraise last year - from same MB, each with same Buyer.
Called the MB: "Are any of them going to be owner-occupied?"
MB says: "All of them, we're doing each one through a different bank"

HA!!!! That one got coffee all over my monitor...

 

[Couch Potato]

In Florida, knowingly putting false information in an appraisal report fits into the definition of mortgage fraud. I would not push the issue since you do not have proof as such. (You did check to see that the borrower does not own another house around the corner, right?) I would as the client for written confirmation that the owner is the occupant.

You are not required to be Columbo, but you do need to follow leads of which you become aware. Much like with permits for an addition. Your are not required to do an inquiry into the history, but if the owner starts talking about the letter they got from the building inspector about the non-permitted addition you must follow-up that information.

It could be the borrower is attempting a fraud without the knowledge of your client. Your call could be enough to stop it. It could be the daughter lives with her father in another state, and was seeing her mother's house for the first time. Lots of possibilities exist. Just use a reasonable level of care.

 

[Webbed Feet]

Oh this one is easy! Just go back out and have your wife go to the door saying she is a surveyor for a rental company researching area rents, and if this house is tenant occupied and completes the short survey the tenant will be entered in a contest for a trip to Vegas! Gosh, is this property rented?

Webbed.

P.S. Besides that, all the neighbors will blab all over the place if it's a rental. Ask a couple of them!

 

[Jon Green]

Thank you all for all of your input. I did a name search for other properties and could not find any. The husband set up the appt and couldn't make it. My gut just tells me that she is being dishonest.

 

[Couch Potato]

Thank you all for all of your input. I did a name search for other properties and could not find any. The husband set up the appt and couldn't make it. My gut just tells me that she is being dishonest.

If your gut is bothering you enough to post here, you probably ought to try one of Webbed's suggestions so that you can sleep well at night knowing you made a reasonable effort to prevent fraud.

 

[Mike Garrett RAA]

Just tell what you know in the appraisal report. You might also ask to talk to the underwriter and discuss your "gut" feelings that this might be a case of mortgage fraud.