Old Houses-Miami and Key West Florida
Because it’s Old Doesn’t Mean It Won’t Survive a Cat 5 Hurricane….continued
The William Wagner House, built in the year 1855, is the oldest known house in Miami-Dade County. This traditional frontier home was built of hand-hewn lumber with mortise and tenon joints; milled lumber was later added to the exterior. Wagner, one of the area’s first permanent residents, operated a sutler’s store near the original place of Fort Dallas. In 1979, the building was moved to Lummus Park, which is also the site of the relocated barracks building from Fort Dallas. The William Wagner House and Fort Dallas also survived the 1926 hurricane.
CLICK ON PHOTOS TO ENLARGE This author was born in Miami Florida, the Biltmore HoteL, another landmark building in Coral Gable Florida, was at one time a veteran administration hospital. The family on my mother’s side lived in Key West from the early 1800s. My grandfather, great-grandfather and great-grandmother lived in a two-story wood house at 1419 Truman Avenue, Key West Florida.
The Labor Day Hurricane, The Keys and Key West
The story my grandfather told me about the 1935 Hurricane, called the “Labor Day Hurricane”. Went like this; “The wind was blowing very hard, we think the winds reached two hundred miles per hour, a guess-ta-ment, but very close sustained winds were 185 MPH. But then it stopped and when I looked out the door the sky was blue, the birds were chirping and flying around. I turned back to the house and said to my dad, I’m going to visit Norma. My grandmother lived in a duplicate house at the end of the block. Papa Steve my great granddad expressed his concern saying, “I don’t think that’s good idea son.” My granddad replied its OK, the wind has stopped and the sky is blue.” I then closed the door just as the other side of the storm came through, the force of the wind picked me up and threw me against a wood column supporting the upper floor. The only thing I remember after that was crawling on hands and knees back into the house.”
A Twenty Foot High Storm Surge
This storm developed a twenty-foot storm surge across the
middle and Lower Keys, destroyed Flagler’s Railroad, called the “Florida East Coast Railway” the FEC, to the Keys and Key West, killed forty service men riding the train, as well as many folks living in the lower and middle keys. That category 5 hurricane, “The Labor Day Hurricane”, did not destroy that old wood house, the Whalton residence. It’s still standing today, house number 1419 on Truman Avenue, in Key West Florida. I suspect it was of mortise and tenon joint construction.
Overseas Highway: The Work Began
After the hurricane; work on a new road to Key West began. The new bridges were built over the remaining columns that had previously supported the tracks of the railroad. If you have recently driven that route to Key West, on the new “overseas highway”, AKA US 1, looking to the west you can still see pieces of the original railroad supports. The supporting columns are all that remain of Flagler’s Railroad.
FHA 203K Loan Consultant-Wind Mitigation Inspections-Home Inspector
Ralph W. Spurlock, Florida certified general contractor since 1973, CGC006912, Florida certified home inspector HI3298, “Wind Mitigations” inspector, four point inspections and standard inspections, FHA 203k loan consultant A0929, FHA Compliance inspector L755.
Phone (305) 251-5889
Toll Free (877) 382-0811
Fax (305) 233-7501
Cell (786) 258-1557
FHA 203K LOAN WHAT IS A 203K LOAN AND WHAT CAN IT BE USED TO FINANCE?
A FHA 203k loan is a government backed mortgage guarantee. A FHA 203k loan can be used to buy and renovate residential and mixed use commercial property; it is two loans in one buy plus renovate or repair which means there is but one closing cost fee.
What is mixed use commercial property? Mixed use property is property that is zoned as commercial property and residential property together. A FHA loan for mixed use is subject to certain restrictions like a limit on the percent of commercial use as compared to the residential use. Generally the restrictions are a FHA 203k Loan for mixed use properties is 25 percent commercial to 75 percent residential.
The 203k loan can be used for to upgrade, modify, renovate, and add to, a property. In most cases it cannot be used for landscaping. For these purposes There are 2 types of FHA 203k loan guarantees the streamline 203k Loan and the full 203k Loan.
The loan limits are; for the Streamline there is a thirty-five thousand dollar limit. The limitation for the full 203K loan type will vary from county to county in any state of the union but in some cases can go as high as 725k +/-. The loan will be for purchase price, plus the cost of needed repairs, and/or desired additions or alterations. The maximum mortgage amount is based on the lesser of 1) or 2) below multiplied by the appropriate LTV factor.
1. The as-is value or
2. The purchase price of the property before rehabilitation, whichever is less, plus the estimated cost of rehabilitation or 110 percent of the after-improved value of the property.
What about using the 203k loan for investment purposes.
THERE SEEMS TO BE SOME CONFUSION HERE, MORTGAGE LETTER NOs. 96-23 and 94-11 REFER TO A SEVEN UNIT LIMITATION WITHIN A TWO BLOCK AREA WHICH IMPLIES THAT IT, THE 203K IS ELIGIBLE FOR INVESTMENT PURPOSES. HOWEVER, IN RECENT ONLINE RESEARCH. THE CONSENSUS OF OPINION IN THE REAL ESTATE AND MORTGAGE LOAN INDUSTRY IS THAT THE 203K IS ONLY FOR OWNER OCCUPIED RESIDENTIAL PROPERTIES. THIS SEVEN UNIT LIMITATION IN ADDITION TO THE FACT THAT 203K LOAN CAN BE USED FOR MIXED USE AS MENTIONED ABOVE FLIES IN THE FACE OF THE NO INVESTMENT USE ALLOWED OPINION PREVALENT IN THESE INDUSTRIES REAL ESTATE AND MORTGAGE. FOR 203K MIXED USE GUIDELINES SEE MORTGAGE LETTER 94.11 FOUND IN HANDBOOKS 4150.2. OR CALL THE FHA RESOURCE CENTER AT (800) 225-3422 FOR MORE INFORMATION.
203 K LOAN CONSULTANTS
THE 2O3K LOAN CONSULTANT; WHEN DO YOU NEED ONE, WHEN DON’T YOU NEED ONE AND WHAT DOES HE/SHE DO? WHAT ARE HIS CREDENTIALS? WHAT KIND OF SERVICES CAN HE/SHE PERFORM FOR AN INDIVIDUAL CLIENT?
Generally a consultant is always required for the 203k full mortgage loan or if the loan is a stream line and the property requires structural upgrades. In South Florida with the ongoing issues concerning homeowner’s insurance the 203k is a very useful tool for performing the needed structural upgrades to solicit homeowner insurance discounts from insurance carriers. SEE III. A. BELOW FOR ADDITIONAL DISCUSSION IN THIS REGARD. A consultant is not required for the streamline loan unless there are structural upgrades required to make the home or commercial property safe. However upon project completion the inspection will be performed by a registered 203k compliance inspector before final disbursements. With the full 203k loan a 203k consultant will be required for the duration of the project and the duration of the project shall not be greater than 6 months.
What services does a 203k consultant perform for a client?
Project cost estimates, Feasibility study, based on his estimate to complete the work, the value of the repaired property after the work is finished. The consultant provides Inspections for draw requests from the contractor doing the work and final inspection Inspections for compliance to all architectural, other project exhibits and specifications.
A FHA 203k Consultant is a licensed general contractor, registered architect or engineer and a state of Florida certified and licensed home inspector with proven experience in the building construction industry, verified and approved by FHA. In Florida, FHA requires that all FHA 203k consultants be a certified and licensed home inspector.
A registered FHA 203k consultant that is a licensed general contractor can provide consulting services for a client or construction services for a customer. A FHA 203 k consultant, who is a licensed general contractor, may not provide both services for the same individual. In the state of Florida an architect or engineer that is also a FHA 203k consultant may not contract to perform building services for a client unless he/she is also a licensed general contractor.
THE 203K FOR HOMEOWNER’S INSURANCE DISCOUNTS IN FLORIDA AND ESPECIALLY IN SOUTH FLORIDA; WIND MITIGATION INSPECTIONS, STRUCTURAL UPGRADES FOR REDUCED HOMEOWNER’S INSURANCE AND THE FHA 203K LOAN.
Who may perform a “Wind Mitigation Inspection”?
A state of Florida certified general contractor, a state of Florida registered architect of engineer, a state of Florida certified property appraiser
Of what does a “Wind Mitigation Inspection” consist and what elements of the structure will provide homeowner insurance discounts?
For the best insurance discount the windows, and doors throughout the structure, must be MIAMI-DADE COUNTY APPROVED. Roof coverings, must be compliant to MIAMI-DADE, SOUTH FLORIDA BUILDING CODE. The structure should have a Roof configuration that is INSURANCE CARRIER APPROVED. Roof to wall connections, must be INSURANCE CARRIER AND MIAMI-DADE COUNTY APPROVED. Reinforced masonry walls, which was REQUIRED BY SOUTH FLORIDA BUILDING CODE AFTER SEPTEMBER 1, 1994.
Gable end bracing is REQUIRED BY SOUTH FLORIDA BUILDING CODE if the gable end is greater than three from the supporting horizontal beam to the peak of the roof. The type of roof structure should be a trussed roof structure. The center to center spacing of the trusses should be do more than twenty-four inches.
Roof deck to truss connection size and spacing should comply with MIAMI-DADE, SOUTH FLORIDA BUILDING CODE and the Roof deck material and depth (thickness) must meet MIAMI-DADE, SOUTH FLORIDA BUILDING CODE AFTER SEPTEMBER 1, 1994
ALL OF THESE STRUCTURAL UPGRADES ARE ILLEGIBLE FOR A 203K LOAN. IN MOST CASES THESE UPGRADES WOULD REQUIRE A FULL 203K LOAN. When performed with a 203k Steam Line Loan a FHA 203k Consultant will be required.
We will perform your Wind Mitigation inspection and provide a line item breakdown/estimate to perform the upgrades needed to bring a home in compliance with insurance carrier requirements for maximum available home insurance discounts. With this information you will then be equipped to consult with your insurance agent and make an informed decision regarding upgrade cost vs. dollar discounts available upon project completion.
What is a certified home inspector and what does he do?
A certified home inspector in Florida is a person that has taken a proctor exam. The material in the exam is submitted for approval to the Florida Department of Business and professional regulation. With a passing grade this entitles the applicant to perform home inspections for a fee in Florida. In my case as a Florida certified general contractor I didn’t need to sit for the exam to perform home and building inspections. However I had applied for registration to the Federal Housing Administration as a FHA 203k loan compliance inspector, and a FHA 203k Loan Consultant. Under FHA regulations if a state requires a home inspection certification to perform home inspections, then the Federal Housing Administration requires that their consultants also possess a home inspection certificate from the state in which the consultant and/or compliance inspector is domiciled. You can get more information about the FHA 203k Loan Program at:
What does a certified home inspector do?
A certified home inspector performs non evasive home inspections for a fee. His or her services are given to buyers, real estate agents, banks and mortgage brokers. Within the definition of home inspection there are several different types of inspections.
Each type of inspection is used for a different purpose. For instance for purchase of a home or commercial property a standard inspection should be performed. The standard inspection is a very detailed and comprehensive inspection that exams all the visible components of the home or building. This means functioning of the appliances, in the kitchen and bathrooms, the electrical fixtures, smoke detectors, air conditioning, the roof the structure and insulation to name a few.
Four Point Inspection
The four point inspection is usually performed for the home’s insurance carrier and is for the renewal of the policy. A four point inspection will examine the structure, the roof, the air conditioning – pluming and electric for code compliance.
Wind Mitigation Inspection
Another type of inspection performed for the insurance company is called a “Wind Mitigation Inspection”. This inspection examines the sustainability of the home or commercial building during a major wind event such as a hurricane. This inspection will examine the structure. the roof, roof to wall connection devices, windows, doors and/or shutters for a Miami-Dade county product compliance acceptance certificate called a Notice Of Acceptance or NOA. In every type of inspection a written agreement should be provided to the client. By searching this site you will find our “Inspection Agreement”.