201.03

Underwriting Value

Requirements

Your Underwriting ValueUnderwriting ValueValue of the Property determined by the Lender to size the Mortgage Loan per Part II: Property, Section 201. must not exceed the Appraised ValueAppraised ValueAppraiser’s opinion of the market value of the Property documented in the Appraisal, on an “as is” basis, unless use of an “as completed” basis is specifically permitted by the Guide. , as reduced by any adjustments you deem necessary to account for property deficiencies that cannot be cured within 6 months after the Appraisal DateAppraisal DateEffective date of value in the Appraisal. .

If less than 12 months have passed between the BorrowerBorrowerPerson who is the obligor per the Note. ’s acquisition of the PropertyPropertyMultifamily residential property securing the Mortgage Loan and including the land (or Leasehold interest in land), Improvements, and personal property (as defined in the Uniform Commercial Code). and the Commitment DateCommitment DateDate a Commitment is confirmed by Fannie Mae per . , your Underwriting ValueUnderwriting ValueValue of the Property determined by the Lender to size the Mortgage Loan per Part II: Property, Section 201. must not exceed the lower of

  • the Appraised ValueAppraised ValueAppraiser’s opinion of the market value of the Property documented in the Appraisal, on an “as is” basis, unless use of an “as completed” basis is specifically permitted by the Guide. , or
  • the sum of:
    • the PropertyPropertyMultifamily residential property securing the Mortgage Loan and including the land (or Leasehold interest in land), Improvements, and personal property (as defined in the Uniform Commercial Code). acquisition price;
    • the cost of capital improvements or repairs which increase the value of the PropertyPropertyMultifamily residential property securing the Mortgage Loan and including the land (or Leasehold interest in land), Improvements, and personal property (as defined in the Uniform Commercial Code). , if
      • they are completed and fully paid, or
      • sufficient funds to complete them are deposited in an escrow or reserve account; and
    • actual acquisition costs, not to exceed 3% of the acquisition price, such as:
      • loan origination fees;
      • appraisal fees;
      • title search fees;
      • title insurance fees;
      • survey fees;
      • taxes;
      • deed-recording fees; and
      • credit report charges.