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  #1  
Old 07-08-2011, 07:28 PM
Eli Eli is offline
 
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Do you believe that some market players are trying to manipulate the market with above market listing prices. I believe some realtors know that the appraiser has to rely on listings more due to the 1004MC and they are trying to beat the system relative to the 1004MC. You want to talk about quick learners. I think some realtors think we are stupid.
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Old 07-08-2011, 07:36 PM
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Jerry Bone Jr Jerry Bone Jr is offline
 
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Originally Posted by Eli View Post
I think some realtors think we are stupid.
Roger that.
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Old 07-08-2011, 07:38 PM
leelansford leelansford is offline
 
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I'd be more surprised to learn that any number of agents have a clue as to there being a "1004MC".
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Old 07-08-2011, 07:40 PM
Eli Eli is offline
 
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Originally Posted by Jerry Bone Jr View Post
Roger that.
I respect and appreciate very much the honest realtors, but some of them are like some appraisers (used car sales people). I hate to be stereotypical, but...
  #5  
Old 07-08-2011, 07:47 PM
Eli Eli is offline
 
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Originally Posted by leelansford View Post
I'd be more surprised to learn that any number of agents have a clue as to there being a "1004MC".
Okay, here is sorta my reasoning other than gut feeling. Sales price/list price ratios are not close to median sales price/median list price ratios in some depressed markets in my area. Realtors know the 1004MC and the impact listings have on market trends.
  #6  
Old 07-08-2011, 07:51 PM
Eli Eli is offline
 
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I'd be more surprised to learn that any number of agents have a clue as to there being a "1004MC".
I know there are more factors involved..(short sales, homeowners thinking their properties are worth more..etc..)
  #7  
Old 07-08-2011, 07:53 PM
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AnonApprsr AnonApprsr is offline
 
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The 1004MC is a useless form if an appraiser had/has (or even hasn't!) been doing their job. I state as much in the 1004MC with the following verbiage:
Quote:
Originally Posted by Addendum
Please note that when an "overall trend" can not be reasonably discerned, no box will be checked off. Overall trends are not present when stated values show no trending, such as from low, to mid, to high or from high to low over the three values. For the purpose of this appraisal, and any adjustments made based on market conditions, please see the "Market Conditions" Addendum, in the extended/additional comments section of this report.
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  #8  
Old 07-08-2011, 08:03 PM
Eli Eli is offline
 
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Originally Posted by AnonApprsr View Post
The 1004MC is a useless form if an appraiser had/has (or even hasn't!) been doing their job. I state as much in the 1004MC with the following verbiage:
I like your solution. We have depressed markets where a property would not bring more than $15,000 in average condition, and it will be listed for $55,000. Why? I guess like you said you just reconcile the market in the addendum, but I still don't understand why a realtor would list a property for more than 3 times what it would sell for within a typical marketing time. It just complicates the 1004MC. I will hate the 1004MC until I die.
  #9  
Old 07-09-2011, 03:15 PM
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Mile High Trout Mile High Trout is offline
 
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I'd be more surprised to learn that any number of agents have a clue as to there being a "1004MC".
Quit being surprised then. But it's more about the general knowledge that if appraisers don't follow a fixed set of rules promoted by the amc, those appraisers don't get any more work. Realtors are increasingly aware of how appraisers are bullied. Strike up a conversation with any old Realtor about amc's and appraisers, and they'll know what is going on. A Realtor and mb have more access than appraisers do with some amcs.

I just consulted yet again with another Realtor asking me questions about the appraisal process. There are Realtors out there who know appraisers have to use listings, and within 3 months. They don't understand it as well as they think though. I just mediated a dispute between two Realtors on a valuation issue for a listing/offer scenario.

Listing Realtor insisted value was present because comps sold within 3 months said so, along with a few key actives. Buyers agent Realtor was more realistic and did not buy that 3 months was mandatory to cause out of area comparisons.

Data set was plentiful with 100+ examples in the same subdivision. Listing Realtor was told tough cookies. 3 month requirement is not fixed to allow dramatically increased valuation opinion on the merits of time comparisons alone. She claimed an immediate 25%+ upward jump in price and supposed value towards her position to the buyers agent because "Appraisers have to use only recent sales." Disconcerting is she's probably found favorable response to that before.

They can list to the moon, which is what all sellers aspire to do. It's disconcerting to think of how many Realtors on one hand always list high, but on the other hand, tell their buyers they have to offer near list to "make a serious offer."

Find me a Realtor who's comfortable offering 20% below list, and I'll give you two thumbs up for a buyers agent who knows how to negotiate.

Were one to analyze the ratios of listings above known valuation and offers which were below listed price. One would surely find a trend of seller based advocacy in almost any market. That's just how it works. It's easy easy to find a Realtor to list high, and bring in buyers with high offers. It's exceedingly difficult to find Realtors interested in offering lower than listed beyond a very moderate and minimal threshold.

There's your actual free market. It's sort of like a members only club. Members promote each other.
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Last edited by Mile High Trout : 07-09-2011 at 08:38 PM.
  #10  
Old 07-09-2011, 04:37 PM
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J Grant J Grant is offline
 
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Quote:
Originally Posted by Eli View Post
Do you believe that some market players are trying to manipulate the market with above market listing prices. I believe some realtors know that the appraiser has to rely on listings more due to the 1004MC and they are trying to beat the system relative to the 1004MC. You want to talk about quick learners. I think some realtors think we are stupid.
I doubt realtors are thinking about us much when they put list prices on homes. Fact is, most realtors, in all markets, overprice homes. Think back to all the years you've used MLS, all the expired/cancelled TOM listings , all the listings on the market over a year then price is finally cut to what it should have been listed for a year ago and the house finally sells (DOH)

Though appraisers now run an MC form and often put one or two listings on the sales grids, appraised values are still based on sold prices. I think there are just more homes sold for very low prices now, and homes selling for all kinds of prices due to short sales, REO's, etc, so it makes the realtor prices on some homes seem even more out of whack then they used to be.

That said, realtors are not always in full control of what they list a price for. The owner has to agree to a listing price. The realtor may suggest listing in at $130k, but if the owner insists on listing it at 180k to test the market, the realtor is stuck with that and has to abide by what owner wants, unless the realtor is willing to give up the listing.
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