Any examples 2055 Multi-Family

[justmac333]

I recently recieved a request for a 2055 on a multi-family, which I declined, this forum was very helpful for specific reasons for declining. But I was also told that the company requesting recieves hundreds of these a week. Does anyone know of any of these coming back, either during review, in the form of disciplinary action from the state, or in any other way. It would be helpful in convincing others to also reject these requests.

 

[justmac333]

Also, I'm a certified residential in CT. When I signed up for the forum, I wasn't on the ASC website yet. So no, I'm not just running around doing appraisals without a license. I'll update that shortly.

 

[Mike Kennedy]

Unless and until the Lenders who ordered them (or Fannie) refer the reports received to State Boards for USPAP SOW, Competency, Ethics, Development and Reporting violations (not likely as long as the reports hit the $$$bullseyes) - won't hear a peep.

the Band plays on........

 

[Mary Tiernan]

Might I point out that USPAP specifically states:

STANDARD 2 does not dictate the form, format, or style of real property appraisal reports. The form, format, and style of a report are functions of the needs of intended users and appraisers. The substantive content of a report determines its compliance.

 

[Mike Kennedy]

clearly stated on the fannie 2055 - SFR or SFR w/Accessory Unit - NOT Multi-family

SOW

An appraiser must not allow assignment conditions to limit the scope of work to such a degree that the assignment results are not credible in the context of the intended use.


Comment: If relevant information is not available because of assignment conditions that limit research opportunities (such as conditions that place limitations on inspection or information gathering), an appraiser must withdraw from the assignment unless the appraiser can:

• modify the assignment conditions to expand the scope of work to include gathering the information; or
• use an extraordinary assumption about such information, if credible assignment results can still be developed.

An appraiser must not allow the intended use of an assignment or a client’s objectives to cause the assignment results to be biased.

 

[justmac333]

The 2055 fannie may form states in the form that it was designed for the appraising of a one unit property, or a one unit property with an accessory unit. I don't see how, with the way the form is set up, you can do an accurate, or reliable appraisal on a multi-family property. Standard 2, may not dictate the form, format, and style. But the property being appraised should dictate the form, format, and style of the appraisal. And I believe that a multi-family property dictates a form other than one specifically designed for a one unit property. I think I'd have a really hard time defending myself in front of a review board if this one was reported.

 

[Jerry Bone Jr]

Any one of us could appraise a 2-4 family and then report the appraisal using a 2055 form. A few modifications and/or additions would need to be made, but it could be done.

 

[justmac333]

Whether it's right/wrong to appraise a multi-family using the fannie mae 2055, or to even do an exterior only appraisal on a multi-family at all, has been covered in depth, and at length in earlier posts. So before this gets way off point, I just want to know if anyone has heard of someone getting in any sort of trouble for this(which may do a lot to settle the arguement), or if perhaps you have come across on of these, and reported it, and if so what happened?

 

[stefan olafson]

My license was revoked by the state of North Dakota for a reason (partially) very similar to what you are asking.

After a few years fighting and fulfilling their every demand it came down to having three appraisals reviewed. The out of state expert was a long time exceptionally talented appraiser of highly improved agricultural properties....

The appraisals chosen for review were an eminent domain appraisal, a single family residential appraisal, and a restricted appraisal.

1. Eminent Domain - This was an appraisal for taking for a dike project. I did the appraisal for the property owner. A MEMBER of the State Appraisal Board did the appraisal for the city. I had an inkling this would be reviewed, and I was provided a copy of her appraisal, prior to the completion of mine. I utilized her appraisal as a formatting guide for my report. Everything in her report was addressed in my report. Our numbers differed as I did a more thorough job than she did (I think).

THE REPORT WAS FOUND NOT IN COMPLIANCE WITH USPAP!

2. Single Family - This was a small sfd in a residential neighborhood with three or four sales within ten blocks. The report was fine, the map showing location of the sales had transposed locations.

THE REPORT WAS FOUND NOT IN COMPLIANCE WITH USPAP!

3. A lender requested a restricted report on an addition to a multi family property. The appraisal was basically for the lender to illustrate to the owners the futility of adding on a single family attached living space to this 1950's fourplex. The lender liked the report, the owner understood the report. The admin code of the appraisal board does not allow anyone to submit restricted reports when applying for licensure. This kind of means to me they shouldn't have looked at mine. A long story short, is the reviewer stated in his remarks that given the opportunity, he couldn't put together a summary report from the information in the work file. My workfile includes my office computer and office files by reference. He did not ask for any further information from those sources.

THE REPORT WAS FOUND NOT IN COMPLIANCE WITH USPAP!

So, to answer your question, no I haven't done a multi family on a 2055 and won't. I won't do any exterior only appraisals because of what happened to me. I require a full inspection of the property when i do an appraisal. I'm a Certified General Appraiser in MN and don't want to jeopardize that at all.

 

[Jerry Bone Jr]

Whether it's right/wrong to appraise a multi-family using the fannie mae 2055, or to even do an exterior only appraisal on a multi-family at all, has been covered in depth, and at length in earlier posts. So before this gets way off point, I just want to know if anyone has heard of someone getting in any sort of trouble for this(which may do a lot to settle the argument), or if perhaps you have come across on of these, and reported it, and if so what happened?

I remember reading something about 1004 reports on non-lender appraisals in the latest issue of the Oregon ACLB newsletter, http://oregonaclb.org/media/Spring2008Newsletter.pdf . It's not exactly a 2-4 on a 2055, but it's readable.