Un supported adjustments

[Sadie]

It's not good enough because your Client isn't very likely to be an appraiser. Your job includes explaining what you did and why... not to just expect them to figure it out. Poor report writing was one of the main reasons that the college degree requirement was adopted.

To comply with Standard 2 your client and intended users must be able to understand your analysis and conclusions. If the agent of your client (AMC in this case) doesn't understand then you need to help with that. Of course, a box of rocks might have something over on the reviewers, but just saying. What statndard 2 does not include the very real possibility that the intended users didn't read the report.

The appraiser must provide sufficient information to enable the client and intended users to understand the rationale for the opinions and conclusions, including reconciliation of the data and approaches, in accordance with Standards Rule 1-6.

 

[Tom D]

When i did a lot of sub prime reviews, before USPAP, i didn't need to understand USPAP. Just looking at the market grid and comps was enough. I didn't need to go any further for a bad appraisal.

 

[Dale Floyd]

Adjustments should always be supported, and explained, but we cannot “prove” our opinions to be the nail in the wall either.

Datasets do not reveal anything more than a range, whether we are talking about adjustments or final conclusions. But in the end we deliver a specific dollar opinion based on our professional judgement. We should be careful not to confuse “proof” and “support” in our explanations.

 

[Tom D]

USPAP is a big bear trap to catch you with by any agency looking for perfection, as they see it. So you need to make that bear trap smaller in your report.

Support for adjustments may be based on multiple applications and rarely do two methods return identical results with a high degree of accuracy. While not always 'strongly' independently supported, collectively, the adjustments serve to narrow the adjusted value range of the comparables in support of the subject's 'most probable selling price' commensurate with the definition of Market Value set forth herein.