What would be considered health or safety hazards in a gutted bathroom?

[Mike Garrett RAA]

Bathrooms are probably the most expensive rooms in the house when it comes to cost per square foot. A Marshall/Swift cost book is a good reference source.

 

[MoJo]

Please post a link to these guidelines you speak of.

See post #48. It's pretty elementary.

 

[residentialguy]

See post #48. It's pretty elementary.

Yes, and it only pertains to renovations that could affect the safety, soundness, or structural integrity of the improvements. It does NOT pertain to renovations that does NOT affect the safety, soundness, or structural integrity of the improvements.

 

[JSmith43]

If the appraiser reports the existence of minor conditions or deferred maintenance items that do not affect the safety, soundness, or structural integrity of the property, the appraiser may complete the appraisal “as is” and these items must be reflected in the appraiser’s opinion of value. Minor conditions and deferred maintenance items include, but are not limited to

That is from the selling guide. Some lenders will permit a bath update in process if there are sufficient other baths & if there is no health/safety issue, & generally, if the market reaction/cost to complete plus incentive is (drum roll) $2,500 or less

JSmith43 Cert #1 Don't quote me & don't rely on the above comments. You aren't my client & I don't know you. Cert. 2: Brains are biological/analog body parts and are subject to error due to free radicals from pollutants and/or faulty original blueprint.

 

[john tolve]

a telling thread. over the years a lot of rules have been written that sometime drift focus from the valuation part of value. as there has been lively argument among peers the answer appears to be arguable. i abstain.

if at all helpful: maintenance is not generally the same as major capital improvement. ummm, maybe unless the mci is to maintain the basic service. for example, nys court appointed receivers can get a toilet fixed but not renovate a bathroom without special permission. it is not considered maintenance. replacement for a stolen bathroom may qualify (i have seen this happen --all fixtures and tiles gone). expense and cost not the same. ummm, though regulations (speaking generally) may define maintenance, improvement, expense, cost differently, and not necessarily consistently.

in any case, be sure to place your head gently on the chopping block of your choice.


_______________________________________
The above is posted on a real estate forum for the review and feedback of sophisticated real estate peers. Contemporaneous off-the-cuff information and opinions may have been stated by me, which I may later disagree with.

 

[JSmith43]

Well, we are debating what is technically permitted if one knows how to thread a needle. For goodness sakes, avoid all such assignments when possible. They all have hairball potential

 

[MoJo]

Yes, and it only pertains to renovations that could affect the safety, soundness, or structural integrity of the improvements. It does NOT pertain to renovations that does NOT affect the safety, soundness, or structural integrity of the improvements. It is very elementary, but it went over your head. So what do you think that says? :mellow:

I'm hoping that you just didn't take time to read it carefully.

My interpretation is "Incomplete Items" OR "Conditions that Do Affect the Safety, Soundness, or Structural Integrity of the Property". In my experience with issues such as these, my interpretation holds true. But, whatever works for you.

 

[residentialguy]

My interpretation is "Incomplete Items" OR "Conditions that Do Affect the Safety, Soundness, or Structural Integrity of the Property". In my experience with issues such as these, my interpretation holds true. But, whatever works for you.

Ok...I'm fine with that interpretation. Let's go with that. Now, is a bath considered substantial enough to qualify for that? Obviously you can't go literal, or you'd have to make it subj to if part of a door frame was off. The examples are major.

 

[Non Sequitur]

Ok...I'm fine with that interpretation. Let's go with that. Now, is a bath considered substantial enough to qualify for that? Obviously you can't go literal, or you'd have to make it subj to if part of a door frame was off. The examples are major.

And how many borrowers refinance their homes to replace a door frame? You insist on dismissing a major issue, one that (per the OP) several lenders have identified as such and one that the borrower is spending thousands on closing costs to address. You're minimizing the obvious.

 

[residentialguy]

And how many borrowers refinance their homes to replace a door frame? You insist on dismissing a major issue, one that (per the OP) several lenders have identified as such and one that the borrower is spending thousands on closing costs to address. You're minimizing the obvious.

The value of the house is not being based on that upgraded bath, it's being based as-is with a $500 closet/pantry. If the HO decides to take some of his equity on his 2 bath and walk-in cl to put in a $40k bath - great. Now his home is worth even more.