Homogeneous banned from the appraisal lexicon

[Vermonter]

What a bunch of (fill in the blank)....

Hope you see the irony here

 

[George Hatch]

"Garfield Park is a black neighborhood in Chicago's South Side, with some of the highest violent crime rates in the City."

This is a statement of fact. But it has no place in an appraisal.

Even if there wasn't a moral component to it, there is no utility to making such comments in an appraisal. Knowing what the crime rate is/isn't, or knowing what the test scores at the schools are or knowing what the employment rate or the percentage of residents living in poverty or what the education levels are - none of that helps an appraiser get to the MV of an SFR. Knowing what those answers are cannot help the appraiser to get to MV and not knowing doesn't hinder the appraiser from getting to MV. Because regardless of everything else, in a MV appraisal the location is the location and the comps are the comps.

There might be other property types like when appraising certain retail uses where getting a handle of ages and incomes and such might relate to the rental income factors but it's not useful in an SFR appraisal.

 

[JeffSH]

I had used the words- "more desirable", "better than" and "more favorable" to describe the subject neighborhood and explain location adjustments! I won't say what I was thinking but just that I was highly perturbed.

Desirability and what is 'better' is 100% subjective. Land prices are insane in Barrington, IL but I would never ever want to live there because it has no appeal to me whatsoever.

Just say that neighborhood adjustments are needed due to the difference in land prices or home prices. There's no reason to explain why prices are higher in one neighborhood vs the other. It's irrelevant.

 

[Mejappz]

Elections have consequences. Biden told appraisers precisely what he would do if elected. After taking office, he appointed Marcia Fudge( race hustler extraordinaire) Secretary of HUD. And she is simply implementing the policies against appraisers on behalf of Biden.

 

[shrubberyvaluation]

I got a note from a client/bank not to use the heading or wording "master" bedroom in my reports any longer! FNMA sent me a warning (the only criticism I have had in 38+ years from anyone) that I had used biased language in three reports. I had used the words- "more desirable", "better than" and "more favorable" to describe the subject neighborhood and explain location adjustments! I won't say what I was thinking but just that I was highly perturbed. I replied to FNMA that I am not, have never been prejudiced or biased in my 38+ years of appraising and didn't appreciate their implications. They replied by "thanking" me for the letter and kindly provided me with a list of "okay" words to use.

Good grief! Going from one extreme to the other! Thank goodness I am at the end of my career as an appraiser for any Federal transacted loans. Private work only, not for a bunch of fanatical idiots that will not allow an appraiser to properly describe properties or make adjustments.

I just say I made the adjustment due to the other market area historically having higher/lower property sales. It is clear that is what you are saying, it seems a bit obnoxious.

 

[ucbruin]

Hope you see the irony here

I don't....
I'm happy to be informed....

 

[bnmappraisal]

"Garfield Park is a black neighborhood in Chicago's South Side, with some of the highest violent crime rates in the City."

This is a statement of fact. But it has no place in an appraisal.

My bold - why does race/ethnicity need to be mentioned in that sentence?
What constitutes a "black" neighborhood, or a "white" neighborhood, or a (fill in the blank)?
It's just a neighborhood, as described by an appraiser in our neighborhood boundaries

 

[JeffSH]

Elections have consequences. Biden told appraisers precisely what he would do if elected. After taking office, he appointed Marcia Fudge( race hustler extraordinaire) Secretary of HUD. And she is simply implementing the policies against appraisers on behalf of Biden.

Ben Carson didn't know what an REO was. Didn't know what it stood for. He thought the congresswoman was talking about cookies

Ben Carson confuses a real-estate term and a cookie

Carson's appearance before the House Financial Services Committee was contentious throughout the morning.

www.politico.com

 

[ucbruin]

Elections have consequences. Biden told appraisers precisely what he would do if elected. After taking office, he appointed Marcia Fudge( race hustler extraordinaire) Secretary of HUD. And she is simply implementing the policies against appraisers on behalf of Biden.

This has been happening since the '80s....
Good grief....

 

[shrubberyvaluation]

Elections have consequences. Biden told appraisers precisely what he would do if elected. After taking office, he appointed Marcia Fudge( race hustler extraordinaire) Secretary of HUD. And she is simply implementing the policies against appraisers on behalf of Biden.

I wonder who the big banks were donating to...