Realtor needs to ask some questions- Is this the right section in the forum?

[Mike Kennedy]

USPAP 2012-13
"This ETHICS RULE is divided into three sections: Conduct, Management, and Confidentiality which apply to all appraisal practice.

Conduct:
An appraiser:

must not perform an assignment in a grossly negligent manner.
Comment: Development standards (1-1, 3-1, 4-1, 6-1, 7-1 and 9-1) address the requirement that
“an appraiser must not render appraisal services in a careless or negligent manner.”

The above requirement deals with an appraiser being grossly negligent in performing an assignment which would be a violation of the Conduct section of the ETHICS RULE."

"COMPETENCY RULE
Lack of Competency
If the assignment cannot be completed competently, the appraiser must decline or withdraw from the assignment."

 

[Dan Umstead]

I am just curious......, but why would a realtor be at an inspection for a refinance of a mortgage? Seriously, I mean that in the most honest way, but why would a RE agent be involved in a refinance.

 

[Mike Kennedy]

[FONT=&quot]"New sections of law were adopted by the Legislative Assembly during its 2012 regular session and are likely to be compiled in this ORS chapter. See sections in the following 2012 Oregon Laws chapters: [FONT=&quot]2012 Session Laws 0062[/FONT][/FONT]

[FONT=&quot]2011 EDITION[/FONT]​

State of Oregon Appraisers and Appraisal Law & Regulations
[FONT=&quot]Chapter 674 — Real Estate Appraisers and Appraisal[/FONT]
[FONT=&quot]674.130 Appraisal standards for federally related transactions[/FONT]
[FONT=&quot]674.140 Grounds for discipline
[/FONT]
[FONT=&quot] 674.130 Appraisal standards for federally related transactions.[/FONT][FONT=&quot] Notwithstanding any other provision of law, any real estate appraisal that is performed in connection with a federally related transaction shall be in writing and shall be performed and completed in accordance with the appraisal standards established by the federal financial institution regulatory agency having jurisdiction over the federally related transaction for which the appraisal is performed. In the event of any conflict between the provisions of any other law and the appraisal standards established by the federal financial institution regulatory agency having jurisdiction, the standards established by the federal financial institution regulatory agency shall prevail. [1991 c.5 §9][/FONT]

[FONT=&quot] 674.140 Grounds for discipline.[/FONT][FONT=&quot] The Appraiser Certification and Licensure Board may suspend or revoke the certificate, license or registration of a state certified appraiser, a state licensed appraiser or a state registered appraiser assistant, reprimand a state certified appraiser, a state licensed appraiser or a state registered appraiser assistant, require additional education of a state certified appraiser, a state licensed appraiser or a state registered appraiser assistant or deny the issuance or renewal of a certificate, license or registration to an applicant if the state certified appraiser, state licensed appraiser or state registered appraiser assistant or applicant has done any of the following:[/FONT]
[FONT=&quot] (1) Knowingly or negligently pursued a continued course of material misrepresentation in matters related to real estate appraisal activity, whether or not damage or injury resulted, or knowingly or negligently made a material misrepresentation or false material promise in a matter related to real estate appraisal activity, if the material misrepresentation or material false promise created a reasonable probability of damage or injury, whether or not damage or injury actually resulted.[/FONT]
[FONT=&quot] (2) Disregarded or violated a provision of ORS 674.130 or 674.150 or the federal Act or a rule adopted under ORS 674.310.
[/FONT]
[FONT=&quot] (11) Demonstrated negligence or incompetence in performing an act for which the individual is required to hold a certificate, license or registration.[/FONT]
[FONT=&quot] (13) Committed an act or conduct, whether of the same or of a different character specified in this section and whether or not in the course of real estate appraisal activity, that:[/FONT]
[FONT=&quot] (a) Constitutes or demonstrates bad faith, incompetency or untrustworthiness, or dishonest, fraudulent or improper dealings; and[/FONT]
[FONT=&quot] (b) Is substantially related to the fitness of the applicant or holder of a certificate, license or registration to conduct real estate appraisal activity. [1991 c.5 §12; 2001 c.332 §1; 2003 c.749 §14; 2005 c.254 §4][/FONT] "

[FONT=&quot]http://oregonaclb.org/aclb_prod/index.php?option=com_content&view=article&id=56&Itemid=41
[/FONT]

 

[pdxrealtor]

Just so there is no confusion, at the bottom of page 2 of the form (I'm assuming this is a SFR?), right about the place where the value date and value opinion are placed, is a section that has some check-boxes.
One check-box says "as is", another says "subject to" (repairs), another says "subject to" (inspection), etc.

Which one of those check-boxes are checked?
The as-is, or one of the others?

It's as-is.

Yes, sorry, it's a residential report.

 

[pdxrealtor]

[FONT=&quot]"New sections of law were adopted by the Legislative Assembly during its 2012 regular session and are likely to be compiled in this ORS chapter. See sections in the following 2012 Oregon Laws chapters: [/FONT]

[FONT=&quot]2011 EDITION[/FONT]​

State of Oregon Appraisers and Appraisal Law & Regulations
[FONT=&quot]Chapter 674 — Real Estate Appraisers and Appraisal[/FONT]
[FONT=&quot]674.130 Appraisal standards for federally related transactions[/FONT]
[FONT=&quot]674.140 Grounds for discipline
[/FONT]
[FONT=&quot] 674.130 Appraisal standards for federally related transactions.[/FONT][FONT=&quot] Notwithstanding any other provision of law, any real estate appraisal that is performed in connection with a federally related transaction shall be in writing and shall be performed and completed in accordance with the appraisal standards established by the federal financial institution regulatory agency having jurisdiction over the federally related transaction for which the appraisal is performed. In the event of any conflict between the provisions of any other law and the appraisal standards established by the federal financial institution regulatory agency having jurisdiction, the standards established by the federal financial institution regulatory agency shall prevail. [1991 c.5 §9][/FONT]

[FONT=&quot] 674.140 Grounds for discipline.[/FONT][FONT=&quot] The Appraiser Certification and Licensure Board may suspend or revoke the certificate, license or registration of a state certified appraiser, a state licensed appraiser or a state registered appraiser assistant, reprimand a state certified appraiser, a state licensed appraiser or a state registered appraiser assistant, require additional education of a state certified appraiser, a state licensed appraiser or a state registered appraiser assistant or deny the issuance or renewal of a certificate, license or registration to an applicant if the state certified appraiser, state licensed appraiser or state registered appraiser assistant or applicant has done any of the following:[/FONT]
[FONT=&quot] (1) Knowingly or negligently pursued a continued course of material misrepresentation in matters related to real estate appraisal activity, whether or not damage or injury resulted, or knowingly or negligently made a material misrepresentation or false material promise in a matter related to real estate appraisal activity, if the material misrepresentation or material false promise created a reasonable probability of damage or injury, whether or not damage or injury actually resulted.[/FONT]
[FONT=&quot] (2) Disregarded or violated a provision of ORS 674.130 or 674.150 or the federal Act or a rule adopted under ORS 674.310.
[/FONT]
[FONT=&quot] (11) Demonstrated negligence or incompetence in performing an act for which the individual is required to hold a certificate, license or registration.[/FONT]
[FONT=&quot] (13) Committed an act or conduct, whether of the same or of a different character specified in this section and whether or not in the course of real estate appraisal activity, that:[/FONT]
[FONT=&quot] (a) Constitutes or demonstrates bad faith, incompetency or untrustworthiness, or dishonest, fraudulent or improper dealings; and[/FONT]
[FONT=&quot] (b) Is substantially related to the fitness of the applicant or holder of a certificate, license or registration to conduct real estate appraisal activity. [1991 c.5 §12; 2001 c.332 §1; 2003 c.749 §14; 2005 c.254 §4][/FONT] "

Thanks for that.

So is omitting the facts like in ground swimming pools and 4 car garages dishonest or incompetent?

 

[hastalavista]

It's as-is.

Yes, sorry, it's a residential report.

Well, if the report is "as is", and it isn't accurately describing (or valuing) what is, then that is a significant and serious problem.
It dwarfs the issue of a comp with a pool not being accurately reported.

So, there are a number of options open to you, but given what you describe, I'd certainly advise you submit the report to the state appraiser regulator.

What do you want to do?

 

[hastalavista]

Thanks for that.

So is omitting the facts like in ground swimming pools and 4 car garages dishonest or incompetent?

That's up to the regulator to decide.
The difference can be meaningful:
An incompetent appraiser might be able to be retrained and become competent (and salvaged, so to speak).
A dishonest appraiser... unlikely.

 

[Mike Kennedy]

Thanks for that.

So is omitting the facts like in ground swimming pools and 4 car garages dishonest or incompetent?

see prior post

[FONT=&quot](1) Knowingly or negligently pursued a continued course of material misrepresentation[/FONT]

That judgement is for the State Disciplinary Committee/ Board Chairperson to make after full investigation.:icon_idea:


See Questions 2 & 3
oregonaclb.org/aclb_prod/images/stories/pdf/USPAPQA-Dec2007.pdf

 

[pdxrealtor]

It's going to the state without question. It's also going to HUD, it is an FHA appraisal.

Right now I'm trying to establish just how bad it is.

It's been sent back to the appraiser twice. The second time all of the errors and omissions from the report that I pointed out were sent to the appraiser, but only a couple were corrected.

One of the littler mistakes in the report was --

subject was noted as having two fireplaces, it has one. This error was one of the errors the appraiser corrected in rev. 2. However, no sooner is the subject number correct he's incorrectly stated the number of fireplaces in 3 out of the six comparable homes. Homes that in the original report were stated correctly!

There's little things like this from beginning to end. It's riddled with inconsistent, contradicting, out of date information. And this is before even analyzing the comparable homes he chose to use.

I've been in contact with the manager at the AMC, and the higher ups at the mortgage office. They've both been very supportive and we've had long detailed conversations about all of the issues.

I can't understand how the AMC is letting the report through QC if not for anything the omission of the exposed framing/piping/moldy carpet that is still not mentioned.

The AMC has pulled appraisers last 20 reports and found consistent low quality work. They also state they get a lot of returns.

The mortgage company has had issues with appraiser as well, and has requested to AMC that he be removed from the pool.

At what point is the AMC have some responsibility to QC these things and be held liable for any issues that arise??

At what point does an AMC simply cut ties with the appraiser?

At what point does the DE underwriter say enough is enough?

The AMC manager flat out told me he hopes I report him to the state. Said that he'd face possible backlash possibly including monetary issues if he cut the appraiser.

 

[Michigan CG]

It appears someone wants a very low number on the appraisal? Why is a Realtor involved in a refinance transaction?