Residential mortgage on multiple parcels?

Friend A is buying a house. It is 2 parcel numbers. One with the house on it and the other is a vacant lot which at this point looks like a “side yard”.

Friend B who is a loan processor for a mortgage company is telling me it is hard to get conventional mortgages approved when there are multiple lot numbers. Does anyone have any experience with this and can tell me whether the loan is likely to be denied during underwriting? Friend A is worried because although contract was signed before 4/30 he is worried this may interfere with closing before 6/30 for the first time homebuyer credit.

It does appear from county records that the two parcels have always been sold together, although I do not have a parcel map which would indicate if this is soley because the house is effectively partially built on parcel 2.

One thought on “Residential mortgage on multiple parcels?

  1. realtor.sailor says:

    In many areas when a home is built on multiple lots, the tax appraiser changes the parcel number record to reflect just one lot. The legal description still whos two lots. Your friend will need a survey to determine if the improvements are located on one or both lots. Even if it’s completely on one lot, what are the land requirments in that area? It’s possible it takes both lots to make a legal building site.


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