Appraisal Bias

[George Hatch]

Just think: if the complainants listed their home for sale the list price could be tested in the market. If the property sold then that price could be indexed for the difference in local pricing between 2020 and now.

 

[glenn walker]

Since the murder of George Floyd in the summer of 2020 raised the national consciousness about race and discrimination, dozens of Black homeowners have alleged bias in home appraisals. Some have filed lawsuits.

Appraisals are supposed to be independent reports that estimate market value so lenders can measure risk. But the accuracy of the appraisal depends on an appraiser’s expertise and familiarity with the area, according to a White House report. The appraisal industry is one of the nation’s least diverse professions. The vast majority of home appraisers are white, according to the Bureau of Labor Statistics. When their properties are undervalued, Black and Latino homeowners often pay more for their mortgage, get a smaller payout when they sell and are less able to tap home equity lines of credit, Harris said, contributing to the widening racial wealth gap.

Homes in neighborhoods of color are appraised at far lower values than in white neighborhoods in every major metropolitan area, according to data analysis provided exclusively to Bloomberg City Lab by University of Illinois Chicago sociologist Junia Howell.

 

[Fernando]

The last time I looked that neighborhood has STILL not yielded a sale that would come anywhere near supporting the $1.48M in the 2nd appraisal that was performed in mid-2020.

Isn't that wierd?

There was a comp last year that sold for $1.7 million and had that post pier appeal. Appraiser has to drive by subject and comps to understand why prices vary so much.

 

[shrubberyvaluation]

Just think: if the complainants listed their home for sale the list price could be tested in the market. If the property sold then that price could be indexed for the difference in local pricing between 2020 and now.

And we would hear no apology or reverse from any of the race hustlers.

 

[shrubberyvaluation]

Homes in neighborhoods of color are appraised at far lower values than in white neighborhoods in every major metropolitan area, according to data analysis provided exclusively to Bloomberg City Lab by University of Illinois Chicago sociologist Junia Howell.

And why are the race hustlers giving voice to this sociologist? Because she is either clueless or a great liar/propagandist. They are appraised lower because they are on average valued less by the markets duh, not racial bias of appraisers. Of course she uses it as evidence that appraisers are racist.

 

[glenn walker]

And why are the race hustlers giving voice to this socialogist? Because she is either clueless or a great liar/propagandist. They are appraised lower because they are on average valued less by the markets duh, not racial bias of appraisers. Of course she uses it as evidence that appraisers are racist.

Because she is paid to sell the propaganda

 

[George Hatch]

There was a comp last year that sold for $1.7 million and had that post pier appeal. Appraiser has to drive by subject and comps to understand why prices vary so much.

That was a dumb thing for you to say. Did you look at the details of that transaction? I did. That's why I know and you don't.

 

[Fernando]

Since the murder of George Floyd in the summer of 2020 raised the national consciousness about race and discrimination, dozens of Black homeowners have alleged bias in home appraisals. Some have filed lawsuits.

Appraisals are supposed to be independent reports that estimate market value so lenders can measure risk. But the accuracy of the appraisal depends on an appraiser’s expertise and familiarity with the area, according to a White House report. The appraisal industry is one of the nation’s least diverse professions. The vast majority of home appraisers are white, according to the Bureau of Labor Statistics. When their properties are undervalued, Black and Latino homeowners often pay more for their mortgage, get a smaller payout when they sell and are less able to tap home equity lines of credit, Harris said, contributing to the widening racial wealth gap.

Homes in neighborhoods of color are appraised at far lower values than in white neighborhoods in every major metropolitan area, according to data analysis provided exclusively to Bloomberg City Lab by University of Illinois Chicago sociologist Junia Howell.

When appraiser does report for lender regardless of USPAP's client privilege, I always consider the reader includes the owner. The report must be also at level for public to understand and be convinced of the value.
The Marin City case is a difficult appraisal with prices varying so much so appraiser has to be wary. Keeping public in mind, I also check Zillow and see what the public sees. If appraised value too far off from Zillow, appraiser needs to see the reason for the difference and be prepared to justify to the reader.

 

[glenn walker]

Nando uses a sale that was over a year and a half later

 

[glenn walker]

When appraiser does report for lender regardless of USPAP's client privilege, I always consider the reader includes the owner. The report must be also at level for public to understand and be convinced of the value.
The Marin City case is a difficult appraisal with prices varying so much so appraiser has to be wary. Keeping public in mind, I also check Zillow and see what the public sees. If appraised value too far off from Zillow, appraiser needs to see the reason for the difference and be prepared to justify to the reader.

Just stop making a fool of yourself you never read the case you never have any idea what is going on