Significant Appraisal Assistance (1004p)

[DWiley]

Even the worst mentor offers better training on how to inspect a house than a RE agent gets ! IF an appraiser has a weak mentor, they can supplement that with additional reading /other education on the subject.

Mainly though it is the years of field experience / inspections of many diverse properties that educates the appraiser and forms a cumulative knowledge base- as well as reconciling what they observe at the property with the cost approach, data analysis, comparative property ranking, talking with contractors, flippers , homeowners , builders, etc.

At the ACTS conference last week Fannie and Freddie both stated that at least 7 different labor forces were being tested (appraisers, trainees, agents, home inspectors, insurance inspectors, and some that I cannot remember). They continually emphasized that they were TESTING. Nothing is final. It will be very interesting to see if the tests support your claim. They may, but I am not convinced it is a certainty.

 

[J Grant]

The only sea change that is occurring is that the GSEs and other lenders are considering an expansion in the types of appraisals they'll accept.

They are considering having non appraisers do the inspection part appraisers formerly did for GSE work.

 

[J Grant]

The only sea change that is occurring is that the GSEs and other lenders are considering an expansion in the types of appraisals they'll accept.

They are considering having non appraisers do the inspection part appraisers formerly did for GSE work.

 

[J Grant]

At the ACTS conference last week Fannie and Freddie both stated that at least 7 different labor forces were being tested (appraisers, trainees, agents, home inspectors, insurance inspectors, and some that I cannot remember). They continually emphasized that they were TESTING. Nothing is final. It will be very interesting to see if the tests support your claim. They may, but I am not convinced it is a certainty.

tt will be interesting. The present appraiser with years of field experience can apply that internecine to the notes and photos they get from an inspector./third party. of a property The new generation if mainly at desktop and rarely go in field, not so much.

Where are the cirrus clowns in the above group?

 

[Eli]

They are considering having non appraisers do the inspection part appraisers formerly did for GSE work.

That is a lawsuit waiting to happen. I have done tons of work for FNMA with them as my only client. They held a meeting in Nashville not too many years ago with both agents and appraisers that showed how much more accurate appraisers were than BPO's on eventual sales prices of REO's. Neither side was surprised. Some held both sales licenses and appraiser licenses.

I wouldn't doubt the CFPB puts some brakes on things soon. With penalties.

 

[Carnivore]

So the results of an appraisal are reliant on the "subject data" which is "collected" during the inspection. So what?

That's my position now and actually has been for quite awhile. The more I think about it I have come across questionable data since I began Appraising years ago. I reconcile that in my mind by ensuring that have done my best in the collection of data i have in the file. Often times I have seen contradiction in the data and its up to me to explain my choice as best as I can. What else can an appraiser do? Its pretty rare to find that data is just insufficient no matter what i can come up with. Occasionally I have just turned back the assignment on those grounds. If the Client insist then you can bet I made sure that it was well stated in the report for all to see in Bold Type.

IRL, however badly you might think these RE agents or aluminum can collectors are going to screw these inspections up,

I've also seen happen with licensed appraisers. Yep, I expect that to happen...because when you push people hard enough to be fast and cheap they will make mistakes. Although I do have greater expectations of Realtors versus Harry.

Myself included. One time a few years ago I screwed up the GBA calcs on an industrial condo by accidentally extending the partial mezzanine all the way across the frontage of a rectangular unit instead of just part way. IRL, appraisers sometimes screw up, too; so that's not an argument.

I think we can all if were honest about it recall the boo boo's we have made in the past.

 

[J Grant]

Might soon see a number of appraiser dropping appraisal incenses and joining ranks of carefree inspectors who data collect.. less stress no liability. Mindlessly drive one house to the next, jot notes take photos, run a tape or laser, upload. Simple simony work for a Simple Simon appraisal lite!

 

[Eli]

It's opening the door for States too to impose penalties for practicing appraisal without a license. Big time. State laws differ significantly but many States may get some serious money on penalties for practicing appraisal without a license. There is no doubt that inspecting a property in connection with a disclosed appraisal is performing appraisal practice. It is part of the appraisal process.

 

[George Hatch]

They are considering having non appraisers do the inspection part appraisers formerly did for GSE work.

That's a user decision which - from an appraisal standards perspective - Fannie or any other type of lender could have made 30 years ago.

Same as when the lenders decided they didn't want to deal with appraisals performed by trainees with their supervisor checking the "did not inspect" box. Or when some of the lenders decided they were going to stop accepting appraisals from appraisers licensed at the lower SL level. In both cases they did it - over the appraisers objections - because they could. The market conditions enabled them to do it.

 

[George Hatch]

Might soon see a number of appraiser dropping appraisal incenses and joining ranks of carefree inspectors who data collect.. less stress no liability. Mindlessly drive one house to the next, jot notes take photos, run a tape or laser, upload. Simple simony work for a Simple Simon appraisal lite!

I'll bet those specialists end up getting pretty good at it, too. Shoot, if that's all someone did for a living it would make it worth their while to invest in some technology to enable them to go faster and more accurately. Perhaps some AI-enabled inspection apps they could download to their phones.