The New USPAP

[djd09]

the SOW rule could make USPAP an endless document...who wrote the SOW rule?

 

[George Hatch]

How so? It's a simple concept, and arguably a much easier application that trying to teach appraisers and users how the DEPARTURE RULE + SUPPLEMENTAL STANDARDS RULE worked. A large percentage of appraisers and users never did understand that.

I always thought of the SOWR as a more streamlined and more well-explained application of the concept of

(Minimum requirements for all assignments) + (client-driven extras)​

 

[djd09]

You think? If anything this thread proves what some of us have been saying about USPAP for years now.

its a sad day when i trust the mortgage broker more then the writers of USPAP...

 

[Mejappz]

its a sad day when i trust the mortgage broker more then the writers of USPAP...

You should read the article from Jeremey Baggott this morning concerning TAF and the ASC entitled Is Obscure Federal Regulator Running a Criminal Enterprise?

 

[Terrel L. Shields]

You repeatedly equated 3rd party errors to being "misleading" on the appraiser's part if they used that info in their desktop SOW assignment.

If an appraiser testifies in court that they could not confirm a sale with the buyer and seller because they could not find them, but the opposing attorney's appraiser, did, in fact, track down a buyer or seller just because they happened to know them personally, and obtain information that the other appraiser said they could not get "in the normal course of business"....do you think the judge isn't going to weigh one over the other? And if it was a critical error - say the first appraiser assumed the interior condition was average - but the latter appraiser found out the place was trashed - do you think the first appraiser's lawyer has a case to send to the board?

And will the board say they didn't do their due diligence (try harder next time)? Or will they say they should have withdrawn from the assignment (competence)? Or will the board give them a 'bye' on the issue (we accept that you could not find the info out)?

 

[chad hampton]

Refresh my memory.

Were you one of the people defending the idea that if an appraiser uses an incorrect fact from a 3rd party inspection that is the appraiser's fault and they should get held accountable for that error?

Or did you side with the idea that the appraiser should only be held to account for what the appraiser is actually doing?

So what is a state board supposed to do when a homeowner complains that the sketch on their appraisal was incorrect? The state board isn’t permitted to just say sorry, that’s not an appraisal issue. The GLA of the home is the starting point for the appraisal.

 

[DWiley]

And will the board say they didn't do their due diligence (try harder next time)? Or will they say they should have withdrawn from the assignment (competence)? Or will the board give them a 'bye' on the issue (we accept that you could not find the info out)?

Unfortunately, the answer to that depends on whether the board applies the words as they exist in USPAP or chooses to apply their own personal views instead. But that dilemma is not caused by the words in USPAP but but the failure to read and apply those words.

 

[Fernando]

USPAP has no special rules for lending work. A main USPAP document for lender work would look exactly the same as it does now. The AOs and FAQs are not part of USPAP. They are reference materials to help appraisers understand the application of the Standards in situations. Both have TOCs and Indexes. Fernando... if you would spend as much time trying to familiarize yourself with USPAP as you do posting in this forum... you would be a USPAP expert.

USPAP is difficult to read and understand for many appraisers. It's unclear which is why it needs Comment sections and Advisory Opinions. And the relevant information spread out into many Standards to find.
USPAP mentions "documentation" but does not define that. Does that include data and information?
First there was Misleading. Now it's not as used as much and the new word for today is Credible.
USPAP is accommodating to the new hybrid appraisals (and to lenders). Those "Frankenstein" appraisals will never be as good as an interior and exterior inspection by appraiser.
Instead USPAP worry more about prior sale, transfers, and now sale agreements, options, and listings required of appraisers to report.
A real appraiser would have considered and reported those prior situations without USPAP dictating it.
That's the problem with USPAP. Appraisers do the minimum as necessary from USPAP and they get in trouble because they don't think what a real appraiser would do.
It was inevitable USPAP had to put Nondiscrimination Section into the Ethics Rule so the topic is expanded and detailed for appraisers setting us up to a very high standard.
Our actions can be interpretated differently as racial instead of incompetency and the consequences can be harsh.

 

[Dublin ohio]

USPAP is difficult to read and understand

Sounds like a personal problem. Not a USPAP problem

USPAP mentions "documentation" but does not define that. Does that include data and information?

Sounds like a comprehension problem. Not a USPAP problem

USPAP is accommodating to the new hybrid appraisals

Please cite the section of USPAP addressing the above

It was inevitable USPAP had to put Nondiscrimination Section into the Ethics Rule so the topic is expanded and detailed for appraisers

Another comprehension problem

 

[Fernando]

Sounds like a personal problem. Not a USPAP problem

If Fernando has hard time reading it, many other appraisers have same problem.

Sounds like a comprehension problem. Not a USPAP problem

Most of it doesn't apply to us working for lenders. USPAP should make condense version for Fannie users. Fannie has more requirements and demands than USPAP.
USPAP follows Fannie's lead.

Please cite the section of USPAP addressing the above


Another comprehension problem

It's there in USPAP. You see, you have difficult time finding the reference.