The largest increase in mortgage appraisal assignments we are seeing is in the FHA Reverse Mortgage.
The amount of baby boomers retiring are turning to their homes to provide them with additional income. Having lived in their homes for many years they usually have a wealth of equity available to them that could help with their life expenses.
With these types of loans the home is required to meet FHA’s minimum property standards.
When someone has lived in a home for a long time there is usually bound to be items that need some repair or maintenance and it is the FHA appraiser’s job to disclose noted items. This means that deferred maintenance and health and safety items will have to be remedied in order for the property to qualify for FHA mortgage lending.
Homes that were built prior to 1978 can not have popping or peeling painted surfaces due to possibility that lead paint is present, evidence of structural damage or termite infestation would need to be disclosed.
The beauty of a program like this is the reverse mortgage allows for any need repair item to be fixed as part of the transaction.
De Graff Associates has on staff FHA Appraisers to handel this type of transaction for you and the knowledge to make it as simple and easy as possible to get the job done.
