Adding a defintion/description of an Appraisal Inspection in this report.

[Lee Lansford]

...It makes a lot of sense from a conceptual valuation perspective, and from a liability minimization to perspective, to not indicate that you'll be more through than the typical buyer.

I think that is irrelevant to concern myself--specific to the scope of my inspection--with what the typical buyer may or may not do.

 

[Webbed Feet]

Tear these apart into the conflicts and how others may interprete them

Originally Posted by Terrel's comment on inspection
The appraisal "inspection" is a value inspection and is no substitute for an engineering inspection. While the appraiser neither sees nor has been told of any obvious defect not otherwise reported, the appraisers are not experts in identification of such items and the appraiser recommends the property have an inspection by a certified home inspector and a structural engineer. The appraiser reserves the right to alter this report upon the client providing that home inspection or structural inspection. <....snip......>

We should look how words and our own definitions right out of the USPAP can be used against us. Look at the definition of "Appraisal" and ask if "Opinion of Value Inspection" says what you meant to say. Ask why elevating your time physically at the property to be an "Inspection" is a wise use of our language at all ! .. Why not completely avoid the use of the word "inspection" and opt for the word "viewing" instead?

With respect for Brother Shields, I find the entire second sentence both awkward and possibly misleading. If nothing else because, for example of the awkwardness of it, it mixes the use of singular and plural in the same sentence. Now we don't know how many appraiser(s) were involved. As well as a home inspector and engineer are to walk hand in hand during some other "inspection" as well.

What good does it do to "reserve the right to alter" a report you've already signed? Have any of you tested that one in court or in front of a state appraisal board? I'll vewnture an opinion on what is going to happen. Based on the SOW used in the original report, that fun and horribly overused disclaimer isn't going to do squat. It amounts to saying if the SOW becomes altered you'll provide a different report. LOL Whoopie! You still signed the first report under the SOW of that report!

Originally Posted by Terrel's comment on inspection
The appraiser assumes all structural, system, or HVAC systems are in good working order if no such report is provided.

What if the above is accidentally left in a FHA/HUD assignment?

Originally Posted by Terrel's comment on inspection
. The use of an exterior inspection of a previously appraised property assumes that the condition of the property has not deteriorated since the last interior inspection or that the client has advised the appraiser of any changes in that condition. Only defects readily visible from a street inspection are reported or considered.

Consider accidentally leaving the above in use when the reporting form is a 2005 version 2055. Yep, ya just inserted an Extraordinary Assumption about the interior into a reporting form that prohibits the addition of more EAs or HCs outside the use of the reconciliation check boxes.

Please note that the inspection performed for this appraisal consisted of the appraiser viewing the property and its components readily observable during a walk through and around the Subject improvement. The inspection was not a home inspection, the appraiser is not an engineer, the inspection was made to support the process of the estimation of value. The appraiser did not look under the couch or behind the refrigerator etc..

What are the defined "Components" of "The Property?" What does "Readily Observable" mean? Ok, we have some statements regarding what "The inspection" is not, but we have so little regarding what it is that in my opinion no reader of the above could tell just what the inspection actually was. I could see a judge reading the Ethics Rule out loud and deciding that since "The Inspection..." was to support the use of arriving at an opinion of value that therefore missing the massive pest infestation and damage was a violation of the Ethics Rule. Afterall, the above never defined what a "Home inspection" was and the appraiser should have seen it. Sure, not a home inspection, but an inspection is an inspection!

 

[Riick]

Oh, woe is me!
For in multiple reports for the fine folk at FNMA I hath included the HC & the EA.
Woe woe & cover me self with wode and let me dance around in the UK woods,
for they hasth never called me out on it, nor even noticed.
Woe Woe Hoe... methinks every think is just ducky
.

 

[Lee Lansford]

but if we rely upon the "market" to guide our valuation, don't we need to be conizant of the way the buyer thinks? Sometimes we might be over-thinking that part of the equation. Often the buyer is less sophisticated than we are and determine their purchases without regards to a lot of things we might think important..

And unfortunately, a way to many of our so-called "peers" are crackpots. I'd retire if I was paid a nickel for every appraiser in the past 20 years who told me that they never appraise a property for more than the contract no matter how low the price was. Or have made statements that exhibit an incredible bias such as "I would never appraise a property very high that backs up to an interstate or railroad", etc.

Those other appraisers...they "ain't" your peers.

 

[Couch Potato]

I don't often accept definitions as stated by a CE instructor, but I have adopted one for "peers" that I find most defensible. For the purposes of interpreting USPAP, peers are appraisers considered to be "doing it right" by appraisers, appraisal clients, and appraisal regulators.

 

[Bob Ipock]

I don't often accept definitions as stated by a CE instructor, but I have adopted one for "peers" that I find most defensible. For the purposes of interpreting USPAP, peers are appraisers considered to be "doing it right" by appraisers, appraisal clients, and appraisal regulators.

Now just define "doing it right".

From which side of the fence will it come?

 

[Webbed Feet]

Oh, woe is me!
For in multiple reports for the fine folk at FNMA I hath included the HC & the EA.
Woe woe & cover me self with wode and let me dance around in the UK woods,
for they hasth never called me out on it, nor even noticed.
Woe Woe Hoe... methinks every think is just ducky
.

Not the best "LimeRiick" Keep trying, you'll get the hang of it.

 

[AnonApprsr]

Wow. This thread didn't go well at all. I have seen what I'm asking for posted multiple times by my peers on this forum. Ducky and lee seem to have lost some height recently, this went over their head.

 

[Webbed Feet]

Anon, if you've waited until 07/2011 to decide to start to describe what it is you do during a property viewing, what you don't do, and now think that four sentences should take care of things regarding this....... I don't think it is Lee or I that have had anything at all go over our heads. I'd think it a very safe bet that both Brother Lee and I started describing in reports our property viewing well over a decade ago.

 

[AnonApprsr]

I already describe in detail of what I have inspected. I'm looking for a few sentence summary for the scope of work section. I'm "covered" as to what inspection means when I discuss condition of the property and the site etc. It's fine, I'm all set. Thank you for your time Duck Vader.