Appraiser Independence Violation?

[timd354]

She did not "create" the problem with her email. The RE agent created the problem by deciding not to let her in.

I criticized her email as well, however the content of the email did not rise to a level that should make an agent decide not to let an appraiser in. Good thing the lender is ethical and also evaluated the issue using common sense, which some in their zeal to attack appraisers lose sight of.

Of course the email created the problem. Her email was hostile and offensive for no good reason and it obviously peeved off the listing agent. Chances are that there would not have been any problems if this ridiculous email had not been sent. In any case, the comments in the email were unprofessional and inappropriate and sure provided an easy excuse for the agent not to let her into the property (even if that excuse is not valid under AIR).

 

[J Grant]

You're full of it. The email was not hostile, it was poorly worded. Hostile would be personally attacking the agent. The RE agent could have handled it any number of ways, from ignoring the comment to laughing at it to calling the appraiser to discuss if it troubled her. Instead she chose to violate appraiser independence and interfere with lender selection of appraiser. THAT is what created the problem.

Agents have pulled this tactic with no email involved per many reports on the board with agents trying to block access if an appraiser "killed" one of their former deals.

 

[TRESinc]

years ago i developed a small 2 page pdf that asked questions about various items in a home - has the kitchen been updated/remodeled, and if so when and with what materials - same thing for the bathrooms - any other updates in the last 15 years - things like that. i give it to the borrower/agent when i get to an appointment and that keeps them busy while i am doing my inspection. when i am done we go over their list and occasionally it points out something i may have missed but most times i have it all already. it serves 2 purposes - helps me collect data and lets the borrower/agent feel like they are part of the appraisal process while staying out of my way.

 

[BarrySW1963]

I think this is a timely discussion.

We have found that the only time an agent wants to be present is when they are concerned about the appraiser hitting the sales price. And then they want to be present to influence the appraisal, with some being more subtle than others.

Unfortunately, it can be difficult to hit the right "tone" when you need to tell an agent (or homeowner) to back off.

I have been considering writing a general blurb to send via email, a basic Do and Don't list, or something like that, but can't figure out how to word it so as to not kick that hornet's nest unnecessarily. Was hoping the forum could collaborate on that.

Just last night/this morning I had a seller/flipper email to request a meeting prior to the appraisal to make sure the appraiser knew what to pay attention to when valuing the home. Then he called early this morning to push a little more. When my calm words asking him to be mindful of appraiser influence regulations didn't dissuade him, he sent another email with his expected valuation. I contacted the lender, a very good client, and asked for the assignment to go to someone else. I feel bad for the client, and the house looks like a stunner on the MLS, but when a party to the transaction is really wound up from the get-go, it's usually downhill from there.

 

[J Grant]

Imo, there is no need to write this in an email (and it can backfire as we saw here) . There have been a couple of times when I have pulled out of assignments when I felt the agent or parties were so aggressive that it could compromise my results. That's 2 times in 20 years. And I same amount of pressure as anyone else.

Just conduct yourself professionally, don't ask them to send information unless you genuinely need it, if you have MLS and all data why do you need their sales? If they want to provide me sales or what they call comps at inspection I take them, I may or may not consider any of them as comps, I make a brief statement as to that at time if it is needed depending on conversation. I tune out if they make comments about how the home just down the street just sold for a million dollars etc. I say nothing and nod my head, or thank them for the information and politely let them know I always do my own research.

A few times if they've called and tried to pressure after a report is done I get firmer and at that point cut the conversation short and tell them to address any concerns to the lender. IF they keep ranting I say sorry I have an appointment, gotta go and hang up the phone.

 

[J Grant]

TresInc had a good idea though I don't personally do it. I ask about changes or upgrades but perhaps giving them a list to fill out, and a coloring book with crayons (joke) to keep them busy is just the ticket. .

 

[timd354]

You're full of it. The email was not hostile, it was poorly worded. Hostile would be personally attacking the agent. The RE agent could have handled it any number of ways, from ignoring the comment to laughing at it to calling the appraiser to discuss if it troubled her. Instead she chose to violate appraiser independence and interfere with lender selection of appraiser. THAT is what created the problem.

Agents have pulled this tactic with no email involved per many reports on the board with agents trying to block access if an appraiser "killed" one of their former deals.

In my opinion, sending an "introductory" email to the agent that includes a notice asking agents not to attempt to participate in the appraisal will be interpreted by many agents to be insulting and hostile and will immediately cause friction between the appraiser and the agent.

I don't know why some appraisers insist on unnecessarily causing friction with other parties involved in this business. It is unprofessional, unproductive and just plain stupid. In this case, it accomplished nothing other than peeving off the agent who is now going to trash this appraiser's reputation to everyone she knows and who is also probably more likely to file a complaint with a state board if the appraised value comes in below the contract price as she already is peeved off and rightly or wrongly thinks that the appraiser is unprofessional.

 

[timd354]

years ago i developed a small 2 page pdf that asked questions about various items in a home - has the kitchen been updated/remodeled, and if so when and with what materials - same thing for the bathrooms - any other updates in the last 15 years - things like that. i give it to the borrower/agent when i get to an appointment and that keeps them busy while i am doing my inspection. when i am done we go over their list and occasionally it points out something i may have missed but most times i have it all already. it serves 2 purposes - helps me collect data and lets the borrower/agent feel like they are part of the appraisal process while staying out of my way.

That is a professional way to handle the situation

 

[J Grant]

I advised in this tread against sending this type of email. However, the reaction of the agent was extreme and out of proportion and worthy of complaint to her broker. An agent would also be out of line making a board complaint if the appraisal came in "low," and am surprised you think doing that is justified because an agent is peeved about a sentence in an email.

 

[Pittsburgh Pete]

Independence is a good thing but it can co-exist with general civility and acknowledgement that others have a significant vested interest in our work. And acknowledging that agents are in the trenches daily with market participants (i.e. that market that we are charged with interpreting) need not sully our independence.