1. Welcome to AppraisersForum.com, the premiere online community for the discussion of real estate appraisal. Register a free account to be able to post and unlock additional forums and features.

Requesting Copy Of Contract

Discussion in 'General Appraisal Discussion' started by Jerry Lieb, Sep 16, 2005.

Thread Status:
Not open for further replies.
  1. Otis Key

    Otis Key Elite Member

    0
    May 15, 2004
    Professional Status:
    Certified Residential Appraiser
    State:
    New Mexico
  2. Anthem

    Anthem Senior Member

    0
    Mar 10, 2004
    Professional Status:
    Certified Residential Appraiser
    State:
    North Carolina
    USPAP is very clear that you must report the steps taken to try and obtain the sales contract. You cannot simply state " no sales contract reviewed"

    Here is the statement I use if I cannot obtain such contract.

    EXTRAORDINARY ASSUMPTION - Sales Contract

    A copy of the current agreement of sale was not supplied for analysis. The appraiser requested a copy of the contract upon receipt of the request and has not received such copy as of the date of this report. According to the listing agent there are no seller paid concessions or personal property in the current agreement of sale which is typical in the local market. The appraiser reserves the right to amend this report upon review of purchase contract should terms or conditions be different than information provided.
     
  3. Mike Boyd

    Mike Boyd Elite Member

    0
    Jan 18, 2002
    Professional Status:
    Retired Appraiser
    State:
    California
    I generlly get the contract from the lender. They HAVE to have it to process the loan. Sometimes it is illegible after being faxed a couple times and I will ask one of the agents to fax it to me or leave it at the property. I have heard the phrase, "first time asked........." My response has been "You have led a sheltered life. I will not do the appraisal unless I have it and it will just delay the closing." They have said it is confidential. I tell them I am an agent of the lender and therefore, a party to the transaction. I also demand the Transfer Disclosure Statement which is referred to in the contract. If they balk at that I tell them without it I will make my report subject to my review of a home inspection, a roof inspection and a pest report.

    I kinda enjoy putting them in their place and I win every time. It also gives me an excuse if I am running late getting a report out and get to shift blame to the lender and the agent.
     
  4. Chris Colston

    Chris Colston Elite Member

    0
    Jul 24, 2003
    Professional Status:
    Certified Residential Appraiser
    State:
    Florida
    >>>Playing MODERATOR for the moment>>>> Because Otis not everyone knows how to use the SEARCH function and not all members check in every every day, like you do. Jerry is probably not aware that we have recently discussed this topic and wouldn't know to do a search. (BTW...this is per Wayne)<<<<<

    Now back to the issue at hand. I always attempt to get the purchase agreement from the client whether MB, LO or AMC. I also insist it be the completely signed copy with all addendums. Sometimes the LO or MB only have the copy signed by the buyer. If the client can not provide the copy my next call is to the listing agent. They are the ones who will be getting me into the house. So either the listing agent has to meet me or I have to pick up a key, I make sure they have a copy of the PA with them or included with the key. Afterall, I'm the one holding up their commission (I get paid as soon as I start my car, they don't) if I don't have this information. They are always so eager to come with comps in hand, why not a copy of the PA, too? It seems to work for me. I've only had one real estate broker, and it was recent, too, tell me she had never heard of such a thing before.

    This BTW, will become a bigger issue with the new forms.
     
  5. Doug Meyer

    Doug Meyer Senior Member

    0
    Sep 13, 2003
    Professional Status:
    Certified Residential Appraiser
    State:
    Indiana
    Getting the contract from the Broker is 1 thing....but having a signed copy by both buyer and seller is another. I obtain both signatures and all additional addendums before I even start on the report.
     
  6. Richard Carlsen

    Richard Carlsen Elite Member

    0
    Jan 15, 2002
    Professional Status:
    Licensed Appraiser
    State:
    Michigan
    We rarely have a problem getting a copy from the broker. Most likely because most of the the brokers know us personally and we maintain a good working relationship with them.

    Often the lender will supply a copy that does not have all of the signatures on the purchase agreement. We usually just call the broker and ask for the last page and any addendum's.

    If by chance, we do not get what we need, we simply put a statement in the report that a complete copy of the purchase agreement was not provided to or available to the appraiser and therefore, we cannot comment on any unknown terms or conditions.
     
  7. Jerry Lieb

    Jerry Lieb Junior Member

    0
    Aug 14, 2004
    Professional Status:
    Certified General Appraiser
    State:
    California
    This is to thank everyone who responded to my question regarding getting Contracts.

    Preston: Interesting point you bring up about making the lack of a contract an Extraordinary Assumption. In fact, items in the unseen Contract could have a big effect. As an example - and one which a friend of mine actually ran into, the contract stated, "Purchase price includes sellers Lexus parked in garage". Your suggestion is a good one and we may incorporate it into our appraisals.

    One of the replies in this string was to just decline the assignment if a contract was not forthcoming. I can understand that position and have taken the same attitude myself on occasion. However, I think that by using the Extraordinary Assumption clause, the appraiser could accept the assignment, while protecting him/her self at the same time.

    Doug: We get lots of unsigned contracts, or contracts signed only signed by one party (usually the seller). A phone call generally results in a complete, current copy.
     
  8. Cliff Salisbury

    Cliff Salisbury Member

    7
    Jan 16, 2002
    Professional Status:
    Retired Appraiser
    State:
    Ohio
    Maybe the real estate agent was telling the truth. It could have been her first sale. :rolleyes:
     
Thread Status:
Not open for further replies.

Share This Page