Mortgage Grapevine

FHA - 2 Parcels on the Same Loan

Borrower owns 2 adjoining parcels, home sits on 1 parcel, the other parcel is raw land. I've got an appraiser telling me that FHA will not allow 2 parcels on the same loan unless the property is straddling the parcels (which it is not), but the appraiser won't provide me with the FHA Documentation stating this. I've searched the Valuation Analysis for Home Mortgage Insurance and Valuation Analysis for 1 to 4 Unit Dwellings, but wasn't able to find anything that specifically dealt with multiple parcels on 1 loan. I've closed a couple of these via FHA recently and haven't run into any issues.

Can anyone point me in the right direction to get the documentation? Thanks in advance.
by OHlo61 August 4, 2008 12:00 AM

If they are seperately deeded,seperately taxed,then only the one with the structure o it should be involved and that value from the adjoining parcel cannot be used in the total value.
by mepco99 August 4, 2008 12:00 AM

Handbook 4150.1, 5-4
by c-f-s August 4, 2008 12:00 AM

Thanks c-f-s. Thought I did a thorough search but apparently not.
by OHlo61 August 4, 2008 12:00 AM


(No password? Register here)
(Don't be a nuisance.  Please avoid offensive language.  Advertisements are not allowed.)