California

[Robert Vetter]

This morning I had a voicemail message from a MB who asked if I could do a look-up, and if the value was there, he would send me the appraisal order. He also emailed me his request.

After responding that for any value indication I am required to keep a work file, and that I do not work for free, and that I could not accept an assignment based upon a minimum valuation, he responds, by email, with this:

"In LA before an appraisal job is given out. A lookup value is done by an appraisaer to see if the property is not upside down. In Florida it could be different but I am not asking you to do anything illegial just do a value check before I send an appraisal request. IF the proerty is upside down or lost the value then I might need an FHA appraisal to do a secure loan. OK! Not asking you to do anything that is not normal here in California."

How can normal be so different in California?

 

[Thomas Fiehler]

Somehow I do not see "Normal" and "California" used in the same sentence very often. JMHO

 

[Restrain]

The MB is used to dealing with appraisers who do this. Whether or not you wish to provide such a service is your decision.

 

[James R]

Like it or not it is pretty normal. That's why some appraisers get a lions share of the work and many of the rest feel that changes in the appraisal ordering process for government backed loans are needed.

 

[Randolph Kinney]

This morning I had a voicemail message from a MB who asked if I could do a look-up, and if the value was there, he would send me the appraisal order. He also emailed me his request.

After responding that for any value indication I am required to keep a work file, and that I do not work for free, and that I could not accept an assignment based upon a minimum valuation, he responds, by email, with this:

"In LA before an appraisal job is given out. A lookup value is done by an appraisaer to see if the property is not upside down. In Florida it could be different but I am not asking you to do anything illegial just do a value check before I send an appraisal request. IF the proerty is upside down or lost the value then I might need an FHA appraisal to do a secure loan. OK! Not asking you to do anything that is not normal here in California."

How can normal be so different in California?

California has a flood of trainees and newly licensed appraisers over the past 2 years. They do whatever it takes to get business in the front door, back door, side door and even through the outhouse door.

In San Diego county, the property values are rapidly approaching 2003 values with some neighborhoods at 2002 levels so any house bought after than time frame will likely be underwater unless the buyer put 20 to 30% down.

 

[Mike Phillips]

:icon_lol:

I wrote a fairly long comment re: CA that I was sure would impress everyone but my system went FUBAR and I lost it so I'll cut it short. In reply to your question, take a hard look at the licensee #s for CA and you will understand the situation. Kinney spoke the truth - rats drowning comes to my mind.

Given you are in FL, thank God your state no longer issues the Licensed category appraisal license. Right or wrong? No comment - it is what it is. We are experiencing similar problems in FL - there is going to be fallout after 11/30/08. But when the new AQB requirements finally kick in and the quasi-grandfathering BS ends many appraiser candidates will realize the wide-open door policy to becoming a Certified appraiser in FL has been shut.

 

[Ross (CO)]

....makes one wonder when the discussion topic of pre-paid, fully-USPAP-compliant Desktop Valuation reports is going to surface again.

Last time that one went full-circle there never was any admission by someone that they actually charged a fee for doing them, or that a fee was offered and willingly paid by the client, and we once again were left with the notion that comp checks, look-ups, ballparks and pencil searches were the fall-back options. Does the HVCC mention anything about fully-USPAP-compliant Desktop Valuations ?

Let them use Zillow ! One hears that they have perfected their process and now have better data to crunch, verified too for any concessions inserted within the posted selling prices !

 

[CURT VAN HOOSER]

Funny...I live in California and these guy's tell me the same story. And you won't believe this, but I have even taken calls from brokers in other states, including yours, that make the same claim about appraisers in their areas. I guess that means a bunch of those licensed California appraisers have escaped and are now practicing around the country. OMG! Who'da thunk it???? A conspiracy is all I can think...

 

[Mike Phillips]

Hey Robert -

Have some fun with the guy. Ask if he has heard about the new law (pure fiction) that just passed that eliminates the client's name on the appraisal, thereby allowing the borrower (copy of appraisal in hand) to shop mortgage lenders until they drop. See what he says.

His reply: What-do-yah mean dude? So, you're telling me I invest all this time and energy trying to "help" a borrower and I can't bend that borrower over the barrel by holding on to the appraisal? What happened to that rule you appraisers had about not being able to readdress an appraisal?

Your reply: Things change, client's name isn't on the appraisal anymore. Borrower is guaranteed a copy, by law - he paid for it.

His reply: Heck, the next thing you know borrowers will be shopping multiple lenders at the same time and waiting to find out which one they can squeeze the most. There goes my profits!

Your reply: Yeah, I hear you. That's the way I felt a few years ago. AMCs used to order from the fastest and cheapest. LOs used to call me and tell me they had a property that needed appraising and if I would guarantee the number in advance I'd get the job!

Wouldn't it be fun to see the tables turned.

 

[Michael Tipton]

Pass the property address on to a qualified Florida lender. There is no confidentiality issue as you did not accept his ill advised appraisal request.