ROV that results in a reduction in value

[NJ Valuator]

Did anyone ever have a situation where the additional sales sent to you to review(that the requestor thought would result in an increase in appraised value) actually resulted in you lowering the appraised value?

 

[Dublin ohio]

Did anyone ever have a situation where the additional sales sent to you to review(that the requestor thought would result in an increase in appraised value) actually resulted in you lowering the appraised value?

So are you saying that he sales they sent you that resulted in a lower value were better sales than originally used?

 

[alebrewer]

Opinions can change depending on the data set being analyzed.

 

[shrubberyvaluation]

Did anyone ever have a situation where the additional sales sent to you to review(that the requestor thought would result in an increase in appraised value) actually resulted in you lowering the appraised value?

No, if they are causing you to increase or decrease your opinion you didn't do your research correctly, unless it was data not obtainable in the normal course of business which I haven't seen in a ROV. If the sales are better why did you miss them? Were they put into MLS wrong?

 

[J Grant]

Did anyone ever have a situation where the additional sales sent to you to review(that the requestor thought would result in an increase in appraised value) actually resulted in you lowering the appraised value?

Yes. Fortunately, the sales were not any more relevant or better than the sales I used, but it is scary when it happens - if their sales truly are better/more comparable, then you might need to use them even if your opinion of value changes.

 

[alebrewer]

No, if they are causing you to increase or decrease your opinion you didn't do your research correctly

Wait - are you implying that appraisers are immune from failing to include the most comparable sales 100% of the time? And/or that an appraiser's analysis is above question?

 

[DWiley]

Without saying or implying anything about the situation described in the OP, I will say that just because sales are provided as part of an ROV process that does not mean that those sales should automatically be added to a report. Remember that one of the certification items is an attestation that the sales used are the best available. Throwing dissimilar sales into a grid just because they were provided is contrary to the certification, and it is opening the door for a complaint based on a false certification.

 

[J Grant]

Wait - are you implying that appraisers are immune from failing to include the most comparable sales 100% of the time? And/or that an appraiser's analysis is above question?

Even USPAP says appraiers are not expected to have 100% perfection,

The majority of ROV sales sent are not worth a change of value, but on a few occasions (for me at least ) it did result in a change of value - one time lower, the other two times higher.

 

[alebrewer]

Even USPAP says appraiers are not expected to have 100% perfection,

Absolutely zero idea what you mean by this. My post was made to point out that appraisers are human and can overlook/miss REALLY important data or incorrectly analyze a particular data set. When this happens (and it does happen - quite frequently I might add), then it is incumbent on the appraiser to recognize the error and correct it. This may result in a delta in the MV opinion, or it may not.

 

[Sadie]

Did anyone ever have a situation where the additional sales sent to you to review(that the requestor thought would result in an increase in appraised value) actually resulted in you lowering the appraised value

Many times the "comps" provided in an ROV will result in a reduction in value, however, are they really comparable and should you consider them?