September 27, 2013
SOMETIMES YOU HAVE TO LAUGH
Here are excerpts from The National Real Estate Post of September 19th:
This true story is another example of what a huge chasm exists between the power that be and the real world.
A loan originator was trying to get a well-qualified buyer an FHA loan for a HUD home. This was a non-repairable HUD home that has to be taken “as is” and requests for repairs cannot be made. This home had an empty swimming pool. FHA, which is under HUD, requires that a pool have water in it. The only way to close the loan was to figure out when the HUD inspector made his weekly rounds so the pool could be filled afterwards, appraised by the FHA appraiser when full, then emptied before the HUD inspector made his rounds again. Good, bad, right, wrong, the deal closed.
Here are two of the responses to the post:
“I had a 203K purchase closing with a list of repairs including tearing off an entire deck and replacing. Of course, the FHA appraiser noted that the deck railing wasn’t attached to the house so we held up the closing until they could re-attach it (to be subsequently torn off completely) and close. Why do we trust the government with anything?”
“I have installed and uninstalled several ranges and dishwashers and microwave range hoods over the past five years for exactly this same reason.”