When must a "Mortgage Inspection Report" include a disclaimer stating it is not a boundary survey?

A "Mortgage Inspection Report" must always include a disclaimer stating it is not a boundary survey because the purpose of such a report is fundamentally different from that of a boundary survey. A mortgage inspection is designed to assess improvements on a property and confirm their location in relation to the property boundaries, rather than providing an accurate delineation of those boundaries.

Including this disclaimer is essential to clarify to all parties involved—especially lenders and buyers—that the report does not constitute a legal boundary determination. This distinction is crucial, as it helps prevent misinterpretation that could lead to disputes regarding property lines. Since the implications of boundary disputes can be significant in real estate transactions, the requirement for this disclaimer is a standard practice that preserves transparency and ensures that all parties understand the limitations of the report.

In summary, the unequivocal inclusion of the disclaimer recognizes the different objectives of a mortgage inspection and a boundary survey, ensuring that users of the report are not misled about its intended purpose and scope.