Ok so I am thinking I know what the answer is but I can't find any guidance here and I just need a second head to hear the question. We have a loan that is going to be a first lien on a residential group home for people with cerebral palsy. It has the appearance of a residential home with 10 bedrooms and an oversized gathering/dining area. Would the appraisal notice rules apply.

My thoughts are yes it does because it appears to be a 1-4 family dwelling. Please let me know your thoughts. Thank you.

bump

There really is no guidance for this situation. I would argue that is not currently used or designed to be used as a 1-4 family dwelling, regardless of what it looks like from the exterior.

I would agree with the no guidance part. Because of that my thoughts are that it really could go either way. But I like that you think it shouldn't maybe be covered as it is not being used as a family dwelling. Its not a permanent residence.