What To Do If No Doc Or Apn In New Construction Appraisal?

[mdtulips]

Hey Guys, I'm appraising a new construction and none of the comps were using in the development have doc #'s or APN's available per Title Company. What do I do? Do I just continue with the appraisal report and send it in with the explanation that because these are newly constructed homes the doc and apn#'s are just not on record yet? (And for those of you who may ask what my supervisor says----I haven't asked her yet.) Thanks!

 

[Doug Wegener]

APN= Not assigned.

If they are sales, why wouldnt there be a recording # or doc#? It should be on the deed of the comparables.

 

[PropertyEconomics]

APN= Not assigned.

If they are sales, why wouldnt there be a recording # or doc#? It should be on the deed of the comparables.

Unless they are so new they havent been entered yet .. but that cant be more than a few days at most .... if there are no doc numbers id be a little leery ... Id go talk to the clerk and see what they say.

 

[Ultraviolet]

Get the escrow numbers from the title company and explain the situation. In most instances the title company won't have the recorder's doc numbers any quicker than what's available to you.

I've never had a client question me when I provided escrow numbers as confirmation. The sales are closed and recording isn't mandatory in every state.

I don't know your area but we have a couple of small counties here that can take up to three months for recording. Last I heard there was a citizens' effort to recall the County Recorder in one area!

 

[Pamela Crowley (Florida)]

Some builders have been know to hand out fake sales to appraisers.

Use only the sales you can VERIFY.

 

[PropertyEconomics]

Some builders have been know to hand out fake sales to appraisers.

Use only the sales you can VERIFY.

And some appraisers use fake sales thinking they wont get caught ... I did a review yesterday NONE of the sales were closed and ONE DIDNT EVEN EXIST ... new subdivision no homes constructed on that street and I found the photo of the house he included.
Guys like this give us a horrible name ... but I am going to introduce him to our state board.

 

[Dee Dee]

Keep in mind that many lenders don't like the new construction comps to be all builder's sales from the same development. Too easy to skew and price fixing will be considered a possible issue. Most would like to see at least one sale from outside the development and at least one that is a resale (not builder's sale).

 

[AppraizinAZ]

I remember when I was a trainee, I had problems with some on-site sales agents that won't give you the title co, or escrow #'s - or - if they do, the title co will wait for days to call you back with escrow #'s. When you get these agents, tell them you've got to use another new sales community with lower sales prices since you can't get any info and they will get you your info PRONTO!!! AND be sure to use something outside the sub as another comp, because you WILL get a request later...

just my 2 cents

 

[Lloyd Bonafide]

The title company may not have the APNs, but most new tracts seem to have the APNs available in their office.

 

[Randolph Kinney]

The title company may not have the APNs, but most new tracts seem to have the APNs available in their office.

I agree. The developers, even though they don't have homes even under construction yet, when you go into the sales office, you see a crap table layout of the plat with lot lines. That plat was necessary to get permits. The legal description is available although the APN may not. Title should be able to give you that if the sales office doesn't.