Real Estate Appraisal Forum

appraisersforum.com logo
The Premiere Online Community for Real Estate Appraisers!
 Fastest Way to Find a Real Estate Appraiser Enter Zip Code:
 
 
Go Back   Appraisers Forum > Real Estate Appraisal Forums > General Appraisal Discussion
Register Help Our Rules Calendar Archives Mark Forums Read


Closed Thread
 
Thread Tools
  #1  
Old 12-04-2003, 05:46 PM
SmilingDog's Avatar
SmilingDog SmilingDog is offline
 
Join Date: Apr 2003
Location: California
State: California
Professional Status: Certified Residential Appraiser
Posts: 937
Default

Where in USPAP does it state whether an appraiser's comments require to be subjective or objective?

For example,

recently I reviewed an appraisal that states "PERSONALLY I FOUND THE GROUNDS TO BE DISAPPOINTING - BUT THERE IS A GREAT POTENTIAL..."

There were many such comments in the appraisal. It seems that our personal opinion should not become part of the appraisal. What if I started saying that the color of the house is ugly, or that the house is too dark, or that it smells like cigarettes... none of these would affect market value or would it?

Once again... Where in USPAP does it state whether an appraiser's comments require to be subjective or objective?
__________________
Don't Believe Everything You Read
Sponsored Links

  #2  
Old 12-04-2003, 06:03 PM
bobby jones bobby jones is offline
 
Join Date: Oct 2003
Location: Minnesota
State: Minnesota
Professional Status: Certified Residential Appraiser
Posts: 356
Default

The "appraiser" must be a Democrat.
  #3  
Old 12-04-2003, 06:08 PM
Jim Bearden Jim Bearden is offline
 
Join Date: Feb 2003
Location: Denver
State: Colorado
Professional Status: Certified General Appraiser
Posts: 723
Default

In my experience comment are to be based on good average efc not personal opinion and only if it affects value. I once did a reveiw about 3 years ago for a black owned bank in LA This MAI wrote the report for another lender and I had to reject it because of the language which was against all Fair Lending requirements. While it was likely not intentional you would have thought this guy still believed red-lining was legal.
  #4  
Old 12-04-2003, 06:25 PM
Stone's Avatar
Stone Stone is offline
 
Join Date: Feb 2002
State: Wisconsin
Professional Status: Certified General Appraiser
Posts: 9,258
Default

While that is not my writing style, I do not think it is something to get worked up about. The appraiser simply appears to write in a more casual manor, similar to how he/she speaks. I do not see how personal opinion can stay out of it. Aren't we paid to give our opinion? It is definitely a little more casual than usual, but at least you can tell it isn't a boiler-plate comment.

One of the best narrative appraisal writers I know has a very casual way of describing his properties. He hasn't done mortgage work in about twenty years, and I would imagine that if he were trying to put his thoughts onto a form (even in an addendum) they would come out something like that. But, the level of description he gives a property is probably the best I have seen. If my work were ever compared to his, that would make my day (year, really). I would love to reach the level of thoroughness that this person reaches, yet you would not likely teach someone to use his style of prose.

This is based on the comments you provided above, there may be more parts that if shared would change things. I just don't think the description you mentioned is that big a deal. How was his/her work otherwise?

Just my $.02
__________________
Eff Cancer!
  #5  
Old 12-04-2003, 07:03 PM
SmilingDog's Avatar
SmilingDog SmilingDog is offline
 
Join Date: Apr 2003
Location: California
State: California
Professional Status: Certified Residential Appraiser
Posts: 937
Default

While I agree that we are paid for our "opinion of value" we are not paid to provide comments, suggestions or ideas that could be considered Fair Housing Law violations or biased. We are paid for UNBIASED opinions supported by factual data.

We do not go into an inner city area and describe the grafitti or the gangs that live next door, etc.

The comment "PERSONALLY I FOUND THE GROUNDS TO BE DISAPPOINTING - BUT THERE IS A GREAT POTENTIAL..." says nothing! What was disapointing, where there not enough roses? Was the yard full of dog droppings or something? It's a stupid comment, as was most of the entire report. It says nothing of the property, but does imply a great degree of unprofessionalism, or at least an "I-don't-care" attitude.

If you speak casually, your report should not read casually. It is a professional report. I write all my reports as if they were being by a court. Someone giving me a report that sounds like a Bob Villa advertisement (no offense to Bob) is not going to be taken all that seriously and leads me to think... what side is the appraiser on? Are they providing a truly independent unbiased appraisal?

The rest of the report was poorly written in the same manner described. The appraiser used over 9 comps. scattered around almost a 5 milie radius. While the area is semi-rural (another fact not mentioned) there were sales 1/2 mile or closer and more recent. The appraisal had sales almost a year old. The sales price range was almost 40-50% with HUGE adjustments.

I'm just trying to find out what USPAP says about biased vs unbiased comments or subjective or objective.
__________________
Don't Believe Everything You Read
  #6  
Old 12-04-2003, 07:39 PM
Stone's Avatar
Stone Stone is offline
 
Join Date: Feb 2002
State: Wisconsin
Professional Status: Certified General Appraiser
Posts: 9,258
Default

Quote:
"PERSONALLY I FOUND THE GROUNDS TO BE DISAPPOINTING - BUT THERE IS A GREAT POTENTIAL..."
OK. Exactly what in that statement is a violation of fair housing laws? I'm not sure that this is evidence of the appraiser being on any side at all. It hardly seems like there has been some sort of USPAP violation based on that quote.

As for comp selection, etc that very well could be a different story. If the appraiser has been trying to hit a number, or has missed better comps, then by all means nail him/her. However, language like the type you posted hardly seems to violate any rules/laws. Is it how I would describe something? No. Is it unethical? Seems like a stretch to say so from what is quoted here. What did he/she say in the report that violates fair lending laws, or proves a lack of objectivity?
__________________
Eff Cancer!
  #7  
Old 12-04-2003, 08:18 PM
SmilingDog's Avatar
SmilingDog SmilingDog is offline
 
Join Date: Apr 2003
Location: California
State: California
Professional Status: Certified Residential Appraiser
Posts: 937
Default

The comment posted was just one of many in the appraisal. While 1 comment is not in itself proof that there are any violations, taking all the comments, the way the appraisal is written, and the analysis of the sales used a different picture begins to emerge.

Why make that statement? or other statements similar to that. Is the appraiser implying that there is a bigger problem? or is it personal taste? At what point do biased comments change the outcome of the appraisal?
__________________
Don't Believe Everything You Read
  #8  
Old 12-04-2003, 09:34 PM
mbrunson mbrunson is offline
 
Join Date: Jan 2002
Location: Las Vegas, Nevada
State: Nevada
Professional Status: Certified Residential Appraiser
Posts: 106
Default

This may get censored because of the word dumb, but I call 'em as I see 'em...

I am floored that anyone would be dumb enough to actually put that in a report.

Quote:
Where in USPAP does it state whether an appraiser's comments require to be subjective or objective?
Read the introduction to the Ethics Rule and the Conduct section of the Ethics Rule. The appraiser who made that statement is clearly demonstrating a negative bias toward at least one aspect of the property.

At the very least, this is unprofessional conduct. How does the appraiser being "disappointed" demonstrate how the market reacts to the condition of the grounds?

SDG

Mike
  #9  
Old 12-04-2003, 10:34 PM
SmilingDog's Avatar
SmilingDog SmilingDog is offline
 
Join Date: Apr 2003
Location: California
State: California
Professional Status: Certified Residential Appraiser
Posts: 937
Default

Thank you Mike. If you read the rest of the report you'd be amazed.
__________________
Don't Believe Everything You Read
  #10  
Old 12-05-2003, 07:32 AM
Pine Tree's Avatar
Pine Tree Pine Tree is offline
 
Join Date: Aug 2002
Location: Southern Maine
State: Maine
Professional Status: Certified Residential Appraiser
Posts: 318
Default

Reporting an appraisal is just that.. Reporting.. Similar to journalist.. it's not about what we think it' about what the market thinks. "I" should never enter into it.

Not many things more annoying than to read/watch a news report that is evident what the journalist thinks of the topic..

Of course it's difficult to do this every time, but .. I don't care for Split Foyers. would never own one and certainly could not be persuaded to sleep in a basement bedroom.. Too creepy for me.. but can I appraise one? Yup..there are always plenty of sales for that style house.. And that does not disappoint me..

Peace, Wendy
Sponsored Links

Closed Thread


Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump




Copyright © 2000-, AppraisersForum.com, All Rights Reserved
     Terms of Use  Privacy Policy
AppraisersForum.com is proudly hosted by the folks at AppraiserSites.com

Fastest Way to Find a Real Estate Appraiser Enter Zip Code:
Partner Sites:
AppraiserUSA.com - National Appraiser Directory AllDomainsUSA.com - Domain Name Registration
DeadbeatListings.com - Deadbeat ListingsAppraiserSites.com - Web Hosting for the Professional Real Estate Appraiser
Find FHA Appraisers - FHA Appraiser Search Commercial Appraisers - Commercial Appraiser Search
Relocation Appraisal - Find Relocation Appraisers Domain Reseller - Business Opportunity
Home Security Buzz - Home Security Info Radon Testing - Radon Gas Info
My Medicare Forum - Medicare Info Stop Smoking Help - Help Quitting Smoking
CordlessPhoneStore.com - Great Cordless Phones AndroidTabletCity.com - Android Tablet Computers

Follow AppraisersForum.com:          Find us on Facebook            Follow us on Twitter


All times are GMT -5. The time now is 03:51 AM.

SiteMap: 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47, 48, 49, 50, 51, 52, 53, 54, 55, 56, 57, 58, 59, 60, 61, 62, 63, 64, 65, 66, 67, 68, 69, 70, 71, 72, 73, 74, 75, 76, 77, 78, 79, 80, 81, 82, 83, 84, 85, 86, 87, 88, 89, 90, 91, 92, 93