USPAP On Physical Characteristics

[normando]

I was reviewing the new USPAP and it allow appraisers to give information on physical characteristics like number of bedrooms, baths, etc. I always believed that anything in public records or MLS was fair game not confidential. However, when appraiser has access to interior of home, everything inside observed should be confidential. The homeowner expect to be confidential but USPAP says no unless homeowner/client specifically wants confidentiality. USPAP says it's no problem telling the world that access to kitchen is via bedroom but it's inappropriate to tell the world there's functional inadequacy. Maybe I'm thinking like an appraiser too much but isn't access through kitchen via bedroom is implying poor floorplan? Does it mean appraisers can indicate a garage has been converted? Can we say there is a 2nd kitchen? Or a 3rd bathroom when public records only shows 2 bathrooms?

I see many homes with unpermitted work and I know homeowners don't want whole world to know about. USPAP allow legitimacy for appraisers to openly describe physical characteristics of properties. I see potential problems. Before appraisers had to be careful what they can tell the world. Now USPAP justifies it. Is USPAP helping mass data in gathering information on all homes?

 

[CANative]

IMO, a good appraiser keeps his or her mouth shut regardless of what USPAP or anyone else says.

Having said that confidentiality applies to our responsibilities to our client. Except for things covered by GLB.

 

[J Grant]

Appraisers are not telling "the world", appraisers are telling their client ( and client's intended users). The appraiser is supposed to keep assignment results confidential, which means we don't share our assignment results with anyone except the client.

It does not mean we are supposed to hide property characteristics from our client, due to some presumed owner expectation of "confidentiality" from the lender they are applying for a loan with.

 

[alex gilbert]

There's what USPAP allows and then there's good business practices. In general, you can share physical characteristics, but if there was something that you think might make a homeowner uncomfortable sharing, the location of a wall safe for example, you may wish to keep that info to yourself. USPAP can't be written to cover every situation, so it's incumbent on you to use your best judgment.

 

[normando]

Supposedly MLS info is confidential for brokers but assessors get too much private data from MLS and raise people's taxes. I personally know about that.
Brokers are not too smart in putting confidential info in MLS even when it states for brokers' eyes only but it's full of data for appraisers and assessors to use. I tried to tell the MLS board to restrict assessors' access but my pleas fell onto deaf ears.
Once in the internet, stays in the internet.

 

[normando]

It was common sense before what to say and not to say. The new USPAP says it's APPROPRIATE to talk with fellow appraisers or whoever about PHYSICAL CHARACTERISTICS.
USPAP will later have to amend that like they usually do.

 

[Terrel L. Shields]

However, when appraiser has access to interior of home, everything inside observed should be confidential. The homeowner expect to be confidential but USPAP says no unless homeowner/client specifically wants confidentiality.

GLB is explicit. Facts are facts. And no one has any "confidentiality" claims when they don't proactively claim same for information that is otherwise non-confidential. Your cable guy, your telephone guy, your appliance repairman, etc. They see the inside and have no "confidentiality" requirement. Neither do we.

I tried to tell the MLS board to restrict assessors' access

I've yet to find an assessor who relies upon the MLS or even subscribes to it.

The new USPAP says it's APPROPRIATE to talk with fellow appraisers or whoever about PHYSICAL CHARACTERISTICS.

Physical characteristics (in or out) are FACTS. Confidentiality applies to judgments, interpretations, results...not physical characteristics UNLESS the person explicitly requests same.

 

[Ken B]

I'm game. What does GLB have to do with a functionally defective floor plan?

 

[timd354]

Supposedly MLS info is confidential for brokers but assessors get too much private data from MLS and raise people's taxes. I personally know about that.
Brokers are not too smart in putting confidential info in MLS even when it states for brokers' eyes only but it's full of data for appraisers and assessors to use. I tried to tell the MLS board to restrict assessors' access but my pleas fell onto deaf ears.
Once in the internet, stays in the internet.

Yeah, it is a real shame that the MLS board won't let people hide their home improvements listed on the MLS from the local property tax assessor so that their property value gets assessed correctly and they end up paying their fair share of taxes

 

[normando]

Physical Descriptions are facts which owner does not give appraiser to broadcast to whole world. Owners have asked if assessor will raise their taxes because they did the work without permits.
The market gives the improvements value but we should not have any involvement in letting outsiders know what is in the house. Assessors can google a satellite map to see the property but inside "facts" should not be disclosed. Public records may have one figure on GLB but it doesn't necessary means the number is correct. That's why appraisers are needed to verify actual to public records. Public records has info on my house wrong. That's fine with me since Zillow underestimate my house by million dollars.