Active Appraisers - The "requirement" for Time Adjustment Support

[alebrewer]

For me, the final determining factor for application of market adjustments is paired sales analysis. Even if my market (or competitive market segment) shows a trend, if the adjusted sales in my grid don't support it, I don't make the adjustments. Usually, though, if my analysis identifies a trend, the sales in the grid will confirm it.

What is really entertaining is when the dated sales in an appraiser's SCA display adjusted values that are higher or lower than the recent sales, and the appraiser still doesn't make adjustment. It's like - man, just look at what the data's telling you. How can you not see that?

 

[NC Appraising]

I can't believe that in doing 5 - 7 reports a week.....with all the different property types, all the diverse neighborhoods..... incorporated, unincorporated sections in Cali.....that "everything" is stable.

That's mind blowing.....

That's why we are being replaced with waivers....these form fillers think they are gaming the system, but in reality are just a frog in a pot. Everything is fine and one day no work. What happened?

 

[glenn walker]

One of our appraisers used the
"Scatter Charts" He said bar charts and line's are too easy to read.

The Shot Gun Pattern Scatter Charts are unreadable unless the person dropped LSD in his youth. We only had one Underwriter who questioned his data and i told her it looked good to me and it was computer generated so it must be right.

 

[RustyTapeMeasure]

got it.....so all that newsletter and appraisal magazine stuff, articles for months, Fannie/Freddie announcements, etc was just baloney and the software providers saying it was a must and you should use their new software tool is a scam too. Woweee. Interesting.

 

[TerryRohrer]

got it.....so all that newsletter and appraisal magazine stuff, articles for months, Fannie/Freddie announcements, etc was just baloney and the software providers saying it was a must and you should use their new software tool is a scam too. Woweee. Interesting.

Compute the monthly cash flow from 10,000 or 20,000 appraisers subscribing to unnecessary software at $20 to $50 each (per month) and you should be able to understand why software vendors were perpetuating the myth their programs were needed. Read the GSE regulations on the matter and you will find the only thing that changed was their claim that they would no longer look the other way when market conditions adjustments, or lack thereof, were not consistent with market data or otherwise supported. Or, rely on Fakebook chatter to misinformation your take on the matter, consistent with the majority of apprausers.

 

[glenn walker]

Good Point's.

 

[Non Sequitur]

That's why we are being replaced with waivers

Far from the truth, don't believe the propaganda.

“If you torture the data long enough, it will confess to anything”

 

[Tim Hicks (Texas)]

For me, the final determining factor for application of market adjustments is paired sales analysis. Even if my market (or competitive market segment) shows a trend, if the adjusted sales in my grid don't support it, I don't make the adjustments. Usually, though, if my analysis identifies a trend, the sales in the grid will confirm it.

What is really entertaining is when the dated sales in an appraiser's SCA display adjusted values that are higher or lower than the recent sales, and the appraiser still doesn't make adjustment. It's like - man, just look at what the data's telling you. How can you not see that?

I am also seeing the opposite. The older sales were lower than the current sales, but the market trends show to adjust even lower. So, the adjusted sales price range it increased not decreased.

 

[alebrewer]

I am also seeing the opposite. The older sales were lower than the current sales, but the market trends show to adjust even lower. So, the adjusted sales price range it increased not decreased.

exactly. If my grid sales don't reflect what I'm finding in my trend analysis, I'll discuss the discrepancy and not adjust. As mentioned, though, WAY more often than not, the grid sales confirm what the trend analysis is saying - at least directionally, if not proportionally.

 

[shrubberyvaluation]

I am also seeing the opposite. The older sales were lower than the current sales, but the market trends show to adjust even lower. So, the adjusted sales price range it increased not decreased.

If that is the case either your trend is wrong, your adjustments are wrong, or you got outliers that are probably not the best indicators of market value. This is why I believe other indicators are important. If you have a shortage of supply typical DOM under a week and your trend is declining, and your older comps are adjusting lower, most likely your trend analysis is wrong.