Appraisers' Free Forum

Never had this happen. Most minor headaches are when lenders want to change a conventional loan to FHA. I have one now which was an FHA in ordered August which is being changed to conventional. It’s the same lender. The final is being ordered for some minor repairs. I’m not completely sure about whether to remove the case number from the report and all FHA verbiage. I will be submitting the final on a 1004D. This lender requires the entire original report to be submitted along with the final inspection doc. I suppose my biggest concern is it being reviewed by some nut and having him read the FHA information and seeing a 1004D and then begin building a bonfire. For additional CYA I am going to insert a language into the 1004D stating the assignment was originally ordered as FHA. Any other suggestions?

I agree.

Thanks Edd. Since I’ve never had one changed from FHA to conventional, I see it as a reverse engineering experiment if their underwriting pushed it through with the 1004D final and all the FHA/HUD references. Since they’re keeping the loan in house I guess they figured they could do it. Heck, maybe they could close it, I just don’t want egg on my face. I hear stories all the time about underwriters calling appraisers months after closings asking for the 92051 form. In this instance they would be asking for more than that.