Appraisal With No Inspection By Appraiser?

[Meandering]

Again, please read the full content of my post. Because what you are saying:
1, There are no USPAP standards that apply to the inspection component of a hybrid if the inspector is an appraiser
2. It isn't an appraisal because there is no opinion

Is exactly what I said.



If engaged because you are an appraiser to do this component, then USPAP does apply; just not any of the standards (again, please read the full context of my post).


Your cynicism on AOs is well known. The inference one can get from reading the above is it is ok to ignore the AOs because they are not part of USPAP.
I won't try to change your cynicism, but I will say that ignoring the AOs because they are not part of the USPAP is bad advice. It is bad advice because regulators routinely rely on them to make their enforcement-action decisions.
So let me be perfectly clear and all can draw the contrast between our two positions and make their own decision:

If you read AO-21, you will see that when you are engaged as an appraiser, the expectation (public trust) is that you will be acting as an appraiser. For the inspection-component of this discussion, it is not an appraisal or appraisal review; therefore, none of the Standard Rules apply. However, it does fall under the Ethics, Competency, and Jurisdictional Exception Rules.
Therefore, any appraiser who thinks if they are engaged, because they are a licensed appraiser, to do the inspection component that it is "...just point, click and email" and not subject licensing regulations is going to be in for a rude awakening. Ignoring the AOs as if they don't matter is very bad advice.​

Oh please.

Everyone who knows me knows I'm an appraiser.
So,
when they hire me to watch a kid, I guess USPAP applies too? Couldn't be just a granny thing, it must be an appraiser thing, because they all know I'm an appraiser, and they hired me, because they know me.

Oh man, what about if I'm watching their kid while they are out looking at real estate?

Dang, I'm also a sales person, and Certified General Real Estate Appraiser is on my business card, so, are you saying that anyone who hires me, for any stupid reason, even if it's just to take photos, means I have to comply with USPAP even though there is No USPAP standard or comment for any service I'm providing??????

And what about buyers and sellers that hire me to sell or help them purchase real estate??? Some prefer a market expert, such as an appraiser, over anything some on line ad companies tells them about agents. So do you think USPAP should apply? Can I only sell things at "market value" and then I could be God of the market???????



Please cite the USPAP Standard or comment that applies to taking photos.

And if you know of an unethical way to take a photo, please share that, because other than doing it naked, I can't for the life of me, think of any ethical issue with taking a photo of properties from a public roadway. Well, okay, maybe driving up on the lawn and taking a photo, would be a USPAP complaint, like that's not already covered with your driver's license.




.

 

[Meandering]

Who does that?. Do you do them? If not, who does? Unicorn Appraisal Co.? And if not acting as an appraiser, then they have no obligation under USPAP. AO-21 is expanding the term inappropriately and if taken by its word, Realtors who hold appraisal licenses cannot prepare a CMA or BPO.

Come on T,

You know what the issue is,
the "market" wants fee appraisers to do the inspection,
because fee appraisers hold all the liability while the AMCs can skate away, only doing the bidding of their clients.

Oh wait,
I feel some anti-trust concerns brewing.

Oh my, your competition has decided it's "the market" that will or will not accept the fees you want to charge for your services.


And you have to use their products and pay them for the privilege of being mandated to use their "tech".

Yup, I'm thinking Eli is going to be all over this one.

Got that "check in/tracking" app on your cell phone?
yup, I could see the DOL taking a look at some of these things.

 

[DWiley]

Who does that?

As I understand it, that is exactly what was done/is being done in at least one portion of Fannie's tests. The whole point of testing is to see what variations produce what kind of results. Anyone seriously considering a move to "hybrids" would, unless they were complete idiots, test the results of having a group of appraisers do the inspections while another group did the analysis.

AO-21 is expanding the term inappropriately and if taken by its word, Realtors who hold appraisal licenses cannot prepare a CMA or BPO.

That is exactly the opposite of what AO-21 actually says As the old commercial used to say, RIF.

The terms "valuation services" and "appraisal practice" are defined by the ASB. So, I am struggling to understand how any application, example, interpretation or expansion of those terms by the ASB could be "inappropriate."

 

[Joe Flacco]

House Canary says they use home inspectors (not appraisers)

They should call the inspectors something other than "home inspectors". It is misleading with actual home inspectors being licensed people.

 

[Joe Flacco]

Call them photo takers.

 

[Joe Flacco]

I heard Fannie Mae has been testing drone inspections for a while now. Splitting the property visit from the appraisal kind of sets up the drone inspections in the future.

 

[DWiley]

I heard Fannie Mae has been testing drone inspections for a while now. Splitting the property visit from the appraisal kind of sets up the drone inspections in the future.

There are lots of things being tested right now. Some will stick and some will not. I know one lender has an app that lets the actual homeowner, using a proprietary app with some slick geo-coding and security features, to supply photos of the home. The geo-coding and the built-in features of the app are to insure that the photos are of the right home and were not altered. A brave new world lies ahead. any have been predicting use of technology to greatly change our business for a long time now, and it appears that we are on the cusp of that happening.

 

[timd354]

As I understand it, that is exactly what was done/is being done in at least one portion of Fannie's tests. The whole point of testing is to see what variations produce what kind of results. Anyone seriously considering a move to "hybrids" would, unless they were complete idiots, test the results of having a group of appraisers do the inspections while another group did the analysis.

Your understanding is correct. One large lender that is running one of Fannie's hybrid pilots is only using appraisers to do the inspection portion of the hybrid. My understanding is that there are several other pilots in which the inspection is being completed by non-appraisers which makes perfect sense since they are probably very interested in comparing the results between hybrids in which the inspections are completed by appraisers versus hybrids with inspections completed by non-appraisers to see if there is any difference in the results.

 

[Joe Flacco]

There are lots of things being tested right now. Some will stick and some will not. I know one lender has an app that lets the actual homeowner, using a proprietary app with some slick geo-coding and security features, to supply photos of the home. The geo-coding and the built-in features of the app are to insure that the photos are of the right home and were not altered. A brave new world lies ahead. any have been predicting use of technology to greatly change our business for a long time now, and it appears that we are on the cusp of that happening.

What you guys need to do with these inspectors is train them to take good photos and not like how typical appraisers take photos with their phones. Need photos more similar to the professional photos taken by the people hired by agents. Need to consider things like line of sight inside the house when taking photos.

 

[Joe Flacco]

The photos need to be higher quality resolution too instead of being shrunk down for file size purposes.