A Black couple ‘erased themselves’ from their home to see if the appraised value would go up. It did - by nearly $500,000

[glenn walker]

In small communities that is true but I know Parts of Los Angeles that can be 20 miles of Black and Latino the problem is in many areas Latinos are the majority and then its White and finally Blacks . BUT nobody has ever said when is a minority no longer a minority ?

Thank You -I now love you LOL

 

[CGinMN]

Ms. Miller’s market analysis of Marin City speaks only to market trends before the 2007 recession and ends at 2008, with no analysis of recent trends. Her appraisal notes that “during 2008… many communities in the Bay Area began to feel the effects of tightening credit and deteriorating economic conditions.” However, she uses a different period of time for her market analysis of Sausalito, noting increasing home values in the city since 2014. She writes, “values [in the City of Sausalito] have increased since 2014 with a recent stabilization of values as evidenced by MLS year-end data for all residential properties sold.” These outdated analyses of market trends resulted in, or improperly justified, a lower estimated value for the Austin’s house than was warranted.

Update/eliminate your canned comments posing as "analysis." Anything you say, can and will be used against you in a court of law.

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This how Fair Housing attorneys investigate appraisers for discrimination.
Here is a video from HUD titled "Strategies for Investigating Discriminatory Residential Appraisals"
Here is the transcript

Here is a video from HUD titled "The Consequences of Racial Bias in the Residential Appraisal Process" - Feat. Peter Christensen and others we know
Here is the transcript

 

[Mejappz]

Where are the GSEs at in these lawsuits?

The trash study the GSEs completed a couple of months ago is included in the lawsuit. They are complicit in the persecution of this appraiser, who is now fighting for her livelihood.

 

[Mejappz]

This so-called lawsuit would make the “Justice Brothers” Sharpton and Jackson jealous. A good ole fashion shakedown.

 

[shrubberyvaluation]

Ms. Miller’s market analysis of Marin City speaks only to market trends before the 2007 recession and ends at 2008, with no analysis of recent trends. Her appraisal notes that “during 2008… many communities in the Bay Area began to feel the effects of tightening credit and deteriorating economic conditions.” However, she uses a different period of time for her market analysis of Sausalito, noting increasing home values in the city since 2014. She writes, “values [in the City of Sausalito] have increased since 2014 with a recent stabilization of values as evidenced by MLS year-end data for all residential properties sold.” These outdated analyses of market trends resulted in, or improperly justified, a lower estimated value for the Austin’s house than was warranted.

Update/eliminate your canned comments posing as "analysis." Anything you say, can and will be used against you in a court of law.

------

This how Fair Housing attorneys investigate appraisers for discrimination.
Here is a video from HUD titled "Strategies for Investigating Discriminatory Residential Appraisals"
Here is the transcript

Here is a video from HUD titled "The Consequences of Racial Bias in the Residential Appraisal Process" - Feat. Peter Christensen and others we know
Here is the transcript

Bad to have those canned comments, but I can't imagine they had an effect on the value. I doubt she used comps from 2007-2008.

 

[George Hatch]

This is an example of what your opposition is going to cite if you return a value conclusion they don't like. Another example is when they cite a unit of comparison (price/sf) that residential appraisers never use as if it should mean something in an appraisal; that demonstrates that whoever wrote the lawsuit up doesn't understand how appraisers perform an appraisal.

Now that they tipped their hand on it, this appraiser should bone up on this topic so she can jam them up and make them look stupid when they attempt to hassle her for price/sf. The unit of comparison used in SFR appraisals is the sales price itself, not price/sf. And the reason for that is because the contributory for land and improvements can vary significantly, even in the same neighborhood. This neighborhood has some properties with views and some little or none. The parcels are of different sizes and the properties on the south side of the neighborhood include the inferior quality "mobile home on stilts" design and appeal whereas the ones on the north side include higher quality and appeal homes.

 

[CGinMN]

I recommend everyone read the transcript, "Strategies for Investigating Discriminatory Residential Appraisals." It's a goldmine of information for avoiding a discrimination lawsuit.

So let me run through some examples of circumstantial evidence of what could be used to show an intent to discriminate. Well, any variations from established practices of the appraiser. Variations from best appraisal practices. Any unusual sequence of events in the process that was followed. Negative comments about the neighborhood that are unsubstantiated. A failure to include any positive aspects of the neighborhood. The use of inappropriate comparable properties. Excessive adjustments to comparable properties. And an intent to discriminate can in some instances also be proven solely by a statistical analysis that demonstrates an unusual variation in outcomes.

Other examples of evidence that could give rise to an inference or intent to discriminate would include the following. Looking at the accuracy and completeness of an appraisal. Are all the facts contained in the appraisal true? Does the appraisal contain all relevant facts? Or is important information missing? What comments are made about the neighborhood? Are they accurate? Are they complete? Did the appraisal mention only negative information about the neighborhood and ignore any positive developments going on in the neighborhood?

What about the appraiser's compliance with best appraisal practices? Was there the appropriate use of comparable properties? How has the appraiser or the appraisal company conducted appraisals in different neighborhoods of different racial compositions? Are there any significant differences in how the appraisals are conducted in neighborhoods of different racial composition?

What are the contents of the appraiser's standard file regarding the subject neighborhood? Many appraisers have files they routinely call upon and use to support their appraisals based upon the characteristics of the neighborhoods. Is the information in that file complete? Is it accurate? How does it compare in completeness and accuracy to other neighborhoods as well?

Other circumstantial evidence that can be explored to determine whether there might be a problem with a particular appraiser or appraisal company. What is the reputation of that particular appraiser within the local real estate community? One could check with other realtors. Well, with realtors, often who are the most have the most experience with mortgage lending and appraisals going on in the community. Other banks and credit unions may not deal with certain appraisers because of questionable practices. How about the local community development agencies? What do they know about the appraiser under question? Has the municipal government had any experience with particular appraisers that caused or raised questions? And what is the reputation among other appraisers about the appraiser under investigation?

 

[CGinMN]

Pair garden variety negligence with a comment like "superior neighborhood" and you're begging to get nailed.

 

[shrubberyvaluation]

I recommend everyone read the transcript, "Strategies for Investigating Discriminatory Residential Appraisals." It's a goldmine of information for avoiding a discrimination lawsuit.

So let me run through some examples of circumstantial evidence of what could be used to show an intent to discriminate. Well, any variations from established practices of the appraiser. Variations from best appraisal practices. Any unusual sequence of events in the process that was followed. Negative comments about the neighborhood that are unsubstantiated. A failure to include any positive aspects of the neighborhood. The use of inappropriate comparable properties. Excessive adjustments to comparable properties. And an intent to discriminate can in some instances also be proven solely by a statistical analysis that demonstrates an unusual variation in outcomes.

Other examples of evidence that could give rise to an inference or intent to discriminate would include the following. Looking at the accuracy and completeness of an appraisal. Are all the facts contained in the appraisal true? Does the appraisal contain all relevant facts? Or is important information missing? What comments are made about the neighborhood? Are they accurate? Are they complete? Did the appraisal mention only negative information about the neighborhood and ignore any positive developments going on in the neighborhood?

What about the appraiser's compliance with best appraisal practices? Was there the appropriate use of comparable properties? How has the appraiser or the appraisal company conducted appraisals in different neighborhoods of different racial compositions? Are there any significant differences in how the appraisals are conducted in neighborhoods of different racial composition?

What are the contents of the appraiser's standard file regarding the subject neighborhood? Many appraisers have files they routinely call upon and use to support their appraisals based upon the characteristics of the neighborhoods. Is the information in that file complete? Is it accurate? How does it compare in completeness and accuracy to other neighborhoods as well?

Other circumstantial evidence that can be explored to determine whether there might be a problem with a particular appraiser or appraisal company. What is the reputation of that particular appraiser within the local real estate community? One could check with other realtors. Well, with realtors, often who are the most have the most experience with mortgage lending and appraisals going on in the community. Other banks and credit unions may not deal with certain appraisers because of questionable practices. How about the local community development agencies? What do they know about the appraiser under question? Has the municipal government had any experience with particular appraisers that caused or raised questions? And what is the reputation among other appraisers about the appraiser under investigation?

And some belive that using best appraisal practices is discriminatory. As noted earlier one of the complaints is the appraiser using comps from the same community instead of going to others with higher prices. When/if they get foreclosed on they will move to sue the person with the higher appraisal next. Best way to avoid lawsuits is to inflate above market value in appraisals for refis. Is that what one should do though? There are plenty of ways you can go against your certifications and such to have less chance of a discrimination lawsuit.

 

[RCA]

Based on what I' have seen, all they have to have is an "expert" real estate agent testify in court that the house is worth some astronomical amount. The judge will say to himself, two appraisers can disagree by a couiple hundred thousand dollars, why should I even listen to them? He'll bring the pretty cute authoritative sounding real estate agent up on the stand and everyone will buy her testimony to spite the appraisers whose science is so imperfect they can be off by so much.

The crux of the problem is that appraisal is a far from perfect science, especially when things get difficult like in transitional areas.

Those "expert" appraisers who write the articles for the Appraisal Journal and other well known real estate journals aren't advancing the science. They just keep rehashing the same old stuff year after year, decade after decade. Morons!!!!!!