Appraisal Institute Controversy

[Terrel L. Shields]

Upon closer reflection, I realized that I "talk story" in my own mind, all by myself,

The problem is the story talks back.

 

[ucbruin]

The problem is the story talks back.

The good thing is that it usually agrees with you....

 

[George Hatch]

Sorry 'bout that. Surf lingo has appropriated certain terms from Hawaiian pidgin. Another example is "howzit".

 

[Terrel L. Shields]

Another example is "howzit".

Cultural appropriation!!

Actually, Dutch South Africans has something similar - as well as other places. And some places in the south they just add "howzit going?"

 

[djd09]

AI to Counter Flawed Appraiser Bias Narrative​

In reality, appraisers have a great story to tell, but we have a long way to go to refocus the terribly flawed “appraiser bias” narrative onto facts and science.
Last week’s email from Cindy Chance, the CEO of the Appraisal Institute, marks an important and long overdue shift in the organization’s approach to addressing accusations of bias in the appraisal profession. For too long, appraisers have faced sweeping claims that their valuations are biased against certain groups, despite appraisers’ ethical standards, rigorous training, and lack of financial stake in transactions. As Chance acknowledges, the Institute should have done more to advocate for appraisers and make the public aware of their professionalism. This public acknowledgement of an obligation to counter the flawed “appraiser bias” narrative is an encouraging first step. Appraisal organizations like the Appraisal Institute should advocate for appraisers, as advocacy is a key membership benefit. Industry groups should also step up to support appraisers.

Importantly, Chance points out that claims of appraiser bias contradict what appraisers actually do. Their role is to provide impartial, data-driven opinions of value. She explains how pioneering research in psychology revealed that all humans have cognitive biases, but professionals like appraisers are trained to minimize bias through rigorous methodology. In fact, appraisers’ discipline protects homebuyers and the industry from irrational biases. Chance suggests the Institute will undertake communications grounded in facts and science to reframe the false narrative around appraiser bias. With their scientific expertise and ethical standards, appraisers have a strong basis to counter the accusations. Chance’s leadership in publicly addressing the issue and committing to advocate for appraisers represents an encouraging change of direction for the Institute.

Strong, visible defense of appraisers from influential industry groups will be key to combatting misconceptions. Chance seems committed to supporting appraisers, though this new direction may upset some established players. Upholding professional standards and countering false narratives is critical for the future of appraisers in mortgage lending. There is still work to be done, but Chance’s leadership provides reason for optimism.

AI to Counter the Flawed Appraiser Bias Narrative - Appraisers Blogs

The Appraisal Institute's public acknowledgement of an obligation to counter "appraiser bias" narratives is an encouraging first step.

appraisersblogs.com

she was messing with the buy your book....take the class snake oil salesmen

 

[peturner]

AI-

View attachment 91276

I gave Sandy so much more credit than this

 

[Terrel L. Shields]

I can only do what I can do and therefore will never take another AI course.

 

[Surf Cat]

Importantly, Chance points out that claims of appraiser bias contradict what appraisers actually do. Their role is to provide impartial, data-driven opinions of value. She explains how pioneering research in psychology revealed that all humans have cognitive biases, but professionals like appraisers are trained to minimize bias through rigorous methodology.

I agree.

Fannie Mae: Comparable sales from within the same neighborhood (including subdivision or project) as the subject property should be used when possible.....check.

Then there's bracketing, which provides an analytical approach to valuation, and helps prove the appraiser’s impartiality. If you include comparables which are both inferior and superior to that of the subject, it would be hard for anyone to accuse you of undervaluing, overvaluing, or appraising with bias. Additionally, it helps with extracting market adjustments.

The problem with the above however, is that inferior and superior are bad words....*sigh*

 

[Tiffany Gibbons]

I agree.

Fannie Mae: Comparable sales from within the same neighborhood (including subdivision or project) as the subject property should be used when possible.....check.

Then there's bracketing, which provides an analytical approach to valuation, and helps prove the appraiser’s impartiality. If you include comparables which are both inferior and superior to that of the subject, it would be hard for anyone to accuse you of undervaluing, overvaluing, or appraising with bias. Additionally, it helps with extracting market adjustments.

The problem with the above however, is that inferior and superior are bad words....*sigh*

It's really funny when you consider how people shop for interest rates, cars, electronics, clothes, restaurants, hotels, insurance, services or pretty much anything else. I read consumer reports, reviews, etc. to find the best for my money. Personal property, art, and jewelry appraisers use comparison methodology as well.

 

[Terrel L. Shields]

f you include comparables which are both inferior and superior to that of the subject, it would be hard for anyone to accuse you of undervaluing, overvaluing, or appraising with bias.

Provided they are truly in the value range.