• Welcome to AppraisersForum.com, the premier online  community for the discussion of real estate appraisal. Register a free account to be able to post and unlock additional forums and features.

Appraisal unacceptable by UW

Status
Not open for further replies.

DeeDee Armstrong

Sophomore Member
Joined
Jun 24, 2002
Professional Status
General Public
State
Minnesota
Need opinions...
Our appraiser, lets call him Frank, did an appraisal for a single family home on the water. Desirable area, within a metro area, with few other lake homes for comparables. We used the best comparables we could find at this time, however, it was still unacceptable to the UW due to "large adjustments" (adjustments did not exceed 10%) and "across the board adjustments" (This was probably the bigger issue. These were still the best comparables. There were no lake homes in the area to use for comparables).

Here's the deal. This is a "ugly" client, and we don't plan to continue working with them (read: greedy, greedy, greedy).

Frank is vacation for the next two weeks. Ugly client wants new appraisal, 3 new comps. Since Frank is on vacation, someone else would have to re-inspect, which we don't want to do. So... the question is, can we tell the "ugly" that we did the best we could with the available comps, and we don't want to do more on it? Or should we send someone else out? And, if we don't continue further, I would anticipate that this Ugly will want money back for the original report that was unacceptable.

What to do? What to do?
 

Dale Smalley

Senior Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
Florida
If that is Franks opinion so be it. Ugly can go to another lender that is more comfortable with this type of property.
 

Patti Jury

Senior Member
Joined
Mar 23, 2002
Professional Status
Licensed Appraiser
State
Colorado
Tell Mr. Ugly Client to send it to review. As long as Frank made his case on why those adjustments were made including across the board adjustments.. than send it to review. Then remind the UW that he/she is NOT an appraiser..I assume.. and only another appraiser/reviewer can make the determination of comparable appropriateness. UW's seem to think they hold the cards sometimes..They tend to think they can tell you how to do your job sometimes.. I enjoy putting them back in place sometimes. :multi:
 

Frederick R. Ruffell

Senior Member
Joined
Jan 21, 2002
Professional Status
Certified General Appraiser
State
California
Dee Dee,
This should be a no brainer for you.
If you are confident that all is well with Frank's appraisal, have the client provide the underwriters requests in writing, signed, and on letterhead. Then if indeed these are the actual requests, have the underwriter show you the specific guideline (FNMA or other, i.e. client Scope) that limits line item adjustments to 10% and or to only X number of comps. If they are able to do that then point out to them that these are only guidelines and to adhere to them in this case would produce an appraisal that would be misleading and less credible and less reliable. At this point if they still wish to discuss it tell them that you fee is $150 per hour, or what ever yours actually is, for consultation and they can make an appointment with your assistant when he gets back from vacation. :wink:
 
Joined
Jan 13, 2002
Professional Status
Retired Appraiser
State
Florida
Good answer, Frederick!

PLUS: DO NOT REFUND A EVEN A PENNY!!!!
If they want more, charge more!!!!!
 
A

Anonymous

Guest
DeeDee,
Have you talked to the underwriter. I have a low opinion of most underwriters and I believe that they should be licensed as we are. That being said, I have found that many times there is a communication problem with underwriters telling clerks something, clerks relaying the info to assistants and assistants telling mortgage company employees, who contact us.

If you can't come to an understanding with the underwriter and you don't want to continue to do business with the client simply stand behind your appraiser's opinion.
 

Elliott

Elite Member
Joined
Apr 23, 2002
Professional Status
Certified General Appraiser
State
Oregon
DeeDee,

Rope-a-dope. "I'll look and see if I can find any
better comparables. You know, I can't make
them up. So I'll send you the new comps or
a letter talking about the uniqueness of the
subject and that I searched for new comparables
but could not find any that were better than
those used in the report. What's your fax
number?"

Underwriters huff and puff and faine rejection,
but just want to pad their file. They don't know
s*** about your market, they just pretend they do.

Don't argue with idiots or underwriters (its like
wrestling with a pig, you just get dirty and the
pig enjoys it).

elliott
 

Tim Hicks (Texas)

Elite Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
Texas
Ditto, what Frank said especially in writing on letterhead. Plus, I always add that I will always consider any comparable sale that they can provide. Put the ball in their court, let them find the sales that are not there and maybe they will change their opinion.
 

Karl

Elite Member
Joined
Jan 15, 2002
Professional Status
Licensed Appraiser
State
Arizona
OH Come on just give up those 3 best comparables that you've been holding. Now that they have called dropped about 4 hours out of your day U may now give up those 3 comps.
 
Status
Not open for further replies.
Find a Real Estate Appraiser - Enter Zip Code

Copyright © 2000-, AppraisersForum.com, All Rights Reserved
AppraisersForum.com is proudly hosted by the folks at
AppraiserSites.com
Top

AdBlock Detected

We get it, advertisements are annoying!

Sure, ad-blocking software does a great job at blocking ads, but it also blocks useful features of our website. For the best site experience please disable your AdBlocker.

I've Disabled AdBlock
No Thanks