Currently, we have seen a lot of homes on the market that are short sales or foreclosures here in Brevard County Florida. And, often times our buyers are looking at pool homes. Well, often times foreclosures or vacant short sales and pools just don’t mix. The lender’s are often out of town, with no one to look after the pools. They go unkept and untreated. The screened enclosures are torn, if there is one. Sometimes the fences around these unsafe pools are broken down, or the gates are open. It can be a hazard. The pools breed mosquitoes, small snakes, alligators (should I say that? not usually) and all kinds of other creepy crawlie critters. It is a health hazard.
And, the biggest concern maybe the thought of the neighborhood kids sneaking into the backyard and playing in, around and near the pool. It’s a scary prospect.
I have recently been working with an FHA buyer. The pool and backyard of a particular home being offered for short sale that we were looking at was pretty bad. The pool was half full with a green algae where we couldn’t see down to the bottom. The mosquitoes were thick. The yard was a mess. We questioned the lender on the pool, being that the buyer was going FHA with 3.5%. Would it or could it be an FHA problem? The lender responded that if there was brown algae in the pool, it could be a qualifying problem for the borrower. FHA would not approve the property, as it was a health hazard.
Hmmm, interesting, as the buyer’s friend who works for a pool company said, “no problem, that pool has green algae in it, not brown.”
Brown algae? Green algae? Algae is algae.
The buyers have since ruled this property out for various reasons.
If the algae were gone, would it still be considered a health hazard and an FHA problem?
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