2-4 Unit On 2055 Exterior Form?

[DWiley]

I dont doubt your assertion but i dont have these issues with direct engaged assignments

I am not surprised by that comment. Direct engagement folks don't have integrations with AMCs. That is the real challenge - the volume of reports in this category is so small that they don't want to spend the money so that their integrations with AMCs will allow transmission of non-Fannie forms. A direct lender does not have to address that.

 

[J Grant]

I make sure I put "Appraisal Report" in my addendum lol...to avoid the potential issue...

It's just ironic that the very label of the UAR is "summary", when USPAP has retired the summary appraisal...

 

[Terrel L. Shields]

Can you please cite a case where an appraiser did this, included proper disclosures, and was still sanctioned? I can cite a state newsletter that said that it was OK with proper disclosures.

You can comply with USPAP with a report written on tissue paper. Have you ever seen one written on tissue paper? Doesn't it imply some maven of wordsmithing can pretty much artistically work with any form? So sure. I can go thru and say, statements in the form saying I cannot use that should be ignored. I can jump thru hoops because the lender is a jerk, the idea that any FNMA forms are complete and USPAP compliant is a hoax, and the truth is, bankers in cahoots with Fannie/Freddy- and no one else- have turned appraising into a hair shirt enterprise and that's why you have the job you have and why folks like me don't "do" AMC work and darn little bank work. BTW, I just finished a duplex for a small bank that orders direct and does not use secondary market. It is a 35 page narrative. I have 7 hours in it, did all three approaches, It is far more readable than any form, and complies with USPAP without me wondering if the form is right.

The secondary market banking industry has so kowtowed appraisers, so dominated the industry, and so directed the continual complication of the process, they now claim it is "our fault" and they want out. I am all for abandoning appraisals in banks but make bankers liable for any loss...and make that liability Chinese style. Put them between two strong me, and a third put a bullet in their brain.

 

[Howard Klahr]

That is the real challenge - the volume of reports in this category is so small that they don't want to spend the money so that their integrations with AMCs will allow transmission of non-Fannie forms.

The specifics of this issue notwithstanding as with all standardization of processes exception processing is the biggest challenge. My position is that if clients/intended users need enough of these "exceptions" a better process will be devised. Until then the results will not be standard and it is inappropriated to complain about the lack of standardization.

 

[JTip]

Probably pays 300 or less..... Old 2055 or call Skippy.....

 

[Carnivore]

Clearly you can comply with this kind of Assignment condition. Its a bit of work just assembling everything in comments, disclosures and you know all the USPAP stuff.

So fee is paramount here. If its priced right then your golden. The pitfalls may be those things you unintentionally overlook. You know what I mean, its the 'All-crap(dang I forgot that, I forgot this, etc) you discover after you sent the report. Basically its a narrative assignment with an inappropriate form stuck in it to satisfy some system peculiarity they have.

In no way will this 2055 eliminate or excuse your need for income analysis - aka market value...you will get sanctioned on that for sure if you don't do it.

So whats the hardest part of this - easy - develop a skeleton with all the stuff that never or rarely changes. I know the CG's on the forum do that...they don't assemble a report format each time they get an assignment. They make minor changes based on actual assignment...but I am pretty sure they got it down to be as efficient as the can be.

 

[Pittsburgh Pete]

The secondary market banking industry has so kowtowed appraisers, so dominated the industry, and so directed the continual complication of the process, they now claim it is "our fault" and they want out. I am all for abandoning appraisals in banks but make bankers liable for any loss...and make that liability Chinese style. Put them between two strong me, and a third put a bullet in their brain.

Now there's some classy stuff.

Funny, but I suspect the horde of appraisers that feel they are being treated as second class citizens have no issue with berating minority athletes that kneel for the National anthem.

 

[Rick Stillman]

Probably pays 300 or less..... Old 2055 or call Skippy.....

It sure took a lot of reading to get to a post that nailed it.

Any lender wanting an exterior 2-4 unit property appraisal deserves what they get. Unfortunately, the clown that undertakes that assignment will probably get what they deserve too.

And why is this even being discussed? All to save some bucks. The almighty buck. I never would have guessed lending for the huge mortgage business would deteriorate to such a level as to save a hundred or two on an appraisal, instead of insisting on quality. I can't think of any other business that takes such LOW pride in the quality of their services and/or products.

There was a lot of wisdom in the movie Forest Gump - but not too many people got it I guess. First bit: RUN. Second bit - stupid is as stupid does. Third bit - ice cream is always good. Learn those, for starters, and life will be good.

 

[DWiley]

And why is this even being discussed? All to save some bucks. The almighty buck. I never would have guessed lending for the huge mortgage business would deteriorate to such a level as to save a hundred or two on an appraisal, instead of insisting on quality. I can't think of any other business that takes such LOW pride in the quality of their services and/or products.

There was a lot of wisdom in the movie Forest Gump - but not too many people got it I guess. First bit: RUN. Second bit - stupid is as stupid does. Third bit - ice cream is always good. Learn those, for starters, and life will be good.

Most (virtually all) of these requests involve a default situation. In most cases the lender would be happy to pay the fee for an appraisal with an interior inspection - but the borrower is usually not a happy camper at this point. Many refuse access. And, do you really want to be the appraiser if the irate borrower does provide access?

 

[Riick]

Dear Lord... It's just a FORM or FORMAT for an appraisal.
As T said, you can be USPAP compliant using no FORM at all,
and conversely, using a 1025 for a Driveby, without any unit size,
room counts, rental data, etc., could be construed as USPAP violation.

The client is obviously *not* going to try and sell a new mortgage
to Fannie/Freddie based on this kind of Driveby. Instead, it's going
to be used in-house to monitor value of their portfolio, or for the
financial audit guys, or basis for Courthouse REO bidding, or some
strange, esoteric, in-house use.

Too many people here have an advanced case of AP, shorthand
for Appraiser's Paranoia, as in: "They is all against ME"
Maybe you're right, so CYA:

What do you folks add to typical 2055 to CYA? Add same things.
Now add, in ALL CAPS with asterisks, (CYA) something that says
that this MULTIFAMILY report was done on this FORM at Client's
specific request, with their explicit understanding that the FORM used
is typically for SF dwellings. Their understanding and acceptance is
evidenced by their use of this report, it is for that or their sole and
*exclusive* use, for ________ purposes, and *NOT* as the basis
for any mortgage origination.
**ANY AND ALL PRE-PRINTED NOTICES, REQUIREMENTS, (ETC.) ON THIS FORM NOTWITHSTANDING** blah, blah, blah.

'nuff said.