Can I complete a 1004D/Final for a report done by another appraiser?

[AlwaysLearning]

Yes and No.You can do a certificate of completion. You need a copy of the original appraisal plus plans & specs or a good list of what wasn't complete. You can't update someone else's appraisal.

An update is a new appraisal assignment so Yes you can

 

[Lee Lansford]

Insist on getting a copy of the original appraisal. As well as the plans and specs. You gotta know what is "finished."

Correct.

The OP taking on this assignment is much more complex than if the original appraiser were completing this assignment.

 

[residentialguy]

Insist on getting a copy of the original appraisal. As well as the plans and specs. You gotta know what is "finished."

That's right. And this is a much greater SOW then the original appraiser. He got paid to learn the plans & specs on the original appraisal. Doing a final is a breeze. Coming in cold, you need to learn the same thing the original appraiser got paid for learning. Don't settle for the same fee for a final because you have a much greater time investment.

EDIT: LOL...or what Lee said

 

[Renee Healion]

Around here if someone is said in June to be away on vacation until September, it means they are locked up.

Do you know any appraisers who can voluntarily take several months off? Something does not sound right.

 

[Meandering]

This is from the Fannie Mae Guidelines...

Completing an Appraisal Update
The original appraiser should complete the appraisal update; however, lenders may use substitute appraisers.
When updates are completed by substitute appraisers, the substitute appraiser must review the original appraisal and express an opinion about whether the original appraiser’s opinion of market value was reasonable on the date of the original appraisal report.

And pay attention to the above. If you find the original appraiser's opinon of market value was not reasonable, you may be stipped to death so that your report winds up looking like a review, an appraisal and a completion report.

Charge appropriately.

 

[residentialguy]

Charge appropriately.

that means "charge a lot"

 

[timd354]

This is from the Fannie Mae Guidelines...

Completing an Appraisal Update
The original appraiser should complete the appraisal update; however, lenders may use substitute appraisers.
When updates are completed by substitute appraisers, the substitute appraiser must review the original appraisal and express an opinion about whether the original appraiser’s opinion of market value was reasonable on the date of the original appraisal report.

If the appraiser is just completing the bottom section of the form, he is not performing an appraisal update, only a final inspection/completion report. That is why the form is titled:

Appraisal Update and/or Completion Report


Thus, there is no Fannie/Freddie requirement for the appraiser doing only a completion report to express an opinion regarding the reasonableness of the original appraiser's opinion of market value.

 

[nicholz12]

Around here if someone is said in June to be away on vacation until September, it means they are locked up.

Do you know any appraisers who can voluntarily take several months off? Something does not sound right.

It's sounds to me like the guy is taking the summer off... what's the problem?
Maybe he's taking another job and will be in training? Maybe he is rich and doesn't need to appraise during the summer. Maybe he inherited money... Maybe he's getting married and going on a long honey moon and his wife has money. Could be a dozen reasons he is off for the summer.

 

[Jo Ann Meyer Stratton]

When I use the 1004D for a final only, I type in capital letters NOT APPLICABLE in the top portion. Also at the bottom where it asks the effective date of the appraisal update.

If all they want to know is if new carpet was installed for example or the house was built the way it was described in the original appraisal report, then somebody else can do the final. I would recommend that you add a comment that your were not the original appraiser and you are reporting only what you saw which may or may not what the original appraiser intended.

 

[Mile High Trout]

This 'potential work opportunity' is a can of worms.

Sure you can take the order if you comply with all the guidelines, including the ML letters relating to this.

http://portal.HUD.gov/hudportal/HUD?src=/program_offices/administration/hudclips/letters/mortgagee

Read all the documentation about this. It's somewhat straightforward and there are a few key ML's about this.

Will your final be by attachment, or by reference? HUD requires one not the other.

You don't really believe that BS about the appraiser being on vacation for 3 months do you? Maybe he refused the order due to inadequate fee... You sign off on a 1004d by attachment, which means you've now supported the value conclusion and passed the original appraisal because you've provided additional documents, signature, and whole report verification which ride along with the original.

Probably better left for partner appraisers and such, not so great for pick me up work for total strangers, but you can do it if you want to. Sounds like a review, a final, and something near a supervisory signature.

But let me ask you, if you're going to do all that work, why not just sell them on a whole appraisal?

1004D's for work I've already completed are $100-$200 depending. I never follow up another appraisers work. I tell them they should have used me for the initial report, then they would not be having issues like this.

Another wonderful AMC thread.