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#1023395 - 08/19/08 08:10 PM improved/unimproved property
mdog76 Offline
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Posts: 645
This is just to store for future reference, but would a water well that has been dug make the property improved or would it still be considered unimproved?

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#1023525 - 08/19/08 10:45 PM Re: improved/unimproved property mdog76
rlcarey Online
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rlcarey
Joined: Jul 2001
Posts: 79,293
Galveston, TX
In what context?
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#1023723 - 08/20/08 01:13 PM Re: improved/unimproved property rlcarey
mdog76 Offline
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Joined: Jan 2007
Posts: 645
when it comes to LTV. Just wondering if a well that has been dug would make a piece of property improved or not.

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#1024640 - 08/21/08 12:51 AM Re: improved/unimproved property mdog76
rlcarey Online
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rlcarey
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Galveston, TX
I would not say that a well alone would be considered "improved". You normally need roads and utilities.
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#1024854 - 08/21/08 02:31 PM Re: improved/unimproved property rlcarey
Mint Julep Offline
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Tennessee
If the lot is not near city water lines, the well might be a "utility".

Would the hypothetical well have a pump and the pump a covering shed? That is improved, right?
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#1025794 - 08/22/08 12:20 AM Re: improved/unimproved property Mint Julep
rlcarey Online
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rlcarey
Joined: Jul 2001
Posts: 79,293
Galveston, TX
Well, when all else fails, refer to the regulations:

Improved property loan means an extension of credit secured by one of the following types of real property:
(1) Farmland, ranchland or timberland committed to ongoing management and agricultural production;
(2) 1- to 4-family residential property that is not owner-occupied;
(3) Residential property containing five or more individual dwelling units;
(4) Completed commercial property; or
(5) Other income-producing property that has been completed and is available for occupancy and use, except income-producing owner-occupied 1- to 4-family residential property.
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