Can I verbally communicate a value the day before the written report is transmitted.

[sputnam]

N O !

Yes. Get out your USPAP book and read it. Whether it's a good idea to do so, is an entirely different question. It is permitted in USPAP.

 

[DWiley]

I used to do some private work for investors on potential purchases. They would sometimes say the just needed an oral report, but by the time I created a summary of the oral report and added a signed and dated certification to the workfile, it was easier (and less time consuming) to just do a Restricted Report.

 

[sputnam]

I used to do some private work for investors on potential purchases. They would sometimes say the just needed an oral report, but by the time I created a summary of the oral report and added a signed and dated certification, it was easier (and less time consuming) to just do a Restricted Report.

I agree.... it's usually easier to just go ahead and deliver a written report.

 

[Val]

Sorry, but you are the kind of person who ruins the profession for everyone else and makes people distrust appaiers. The main thing we have to sell is our integrity.

Saving them the cost of completing the appraisal? They pay us for our opinion, not to make the deal work.

So, I pose a hypothetical question to my peers for opinions and discussion, not unlike one you'd have during a Standards course and I'm ruining the profession? You don't know me, J Grant, so please don't suppose to declare what kind of person I am.

This question isn't about making a deal work, it's about when one could let a non-lender client know that their purchase price doesn't make sense. I'm pretty sure that I stated that I don't believe that one could do this prior to completing the appraisal.

 

[J Grant]

So, I pose a hypothetical question to my peers for opinions and discussion, not unlike one you'd have during a Standards course and I'm ruining the profession? You don't know me, J Grant, so please don't suppose to declare what kind of person I am.

This question isn't about making a deal work, it's about when one could let a non-lender client know that their purchase price doesn't make sense. I'm pretty sure that I stated that I don't believe that one could do this prior to completing the appraisal.

The second question about the "heads up" call for me applies to very good clients that are ordering appraisals to make purchase decisions. I'd basically be saving them the cost of completing the appraisal in a scenario where I see the comps are nowhere close to the purchase price. Sure, I'd lose some of the fee, but that would likely wash out with future business. I was just wondering if it would be possible to do this and it not be a standards violation since I'd be referencing a value (the purchase price) without having completed the appraisal. I'm thinking no. Just something I've pondered recently, so thought I'd get some confirmation.

Not about what kind of person you are - you might be a better person than I am. What kind of appraiser you are. Now you declare it is for non-lender clients - you did not specify that in your original post. So o don't charge them or charge less when the value does not make the SC price ? Okay.... we have different ideas about things.

 

[Val]

You can. USPAP allows for oral appraisal reports. Just be sure that you read that section of USPAP and comply. Your work file will beed to include a memorandum of the oral report. Don't be wishy washy about it. Your oral appraisal report should be the same number as your final written report. That is, ALL of your development should be complete and documented in your work file before you deliver any appraisal report... oral or written.

This was the answer I was looking for. The memorandum is excellent advice. Thank you sputnam.

 

[Tom D]

You are learning that on this blog the answers are always 50/50. So no matter what you think you get both sides. The question then becomes, how do i run my business. The next question is, are these people nuts, depending on your side of the fence. Ignore bad things said about you, take it in stride as part of the learning lessons here. This is the best place for getting comments to put on your appraisal.

I understood your question and the smarter 50% here say you can talk to a non lender client about anything you want. As to having a workfile, that has to do with the degree of risk the non lender client could give you.

 

[Val]

Not about what kind of person you are - you might be a better person than I am. What kind of appraiser you are. Now you declare it is for non-lender clients - you did not specify that in your original post. So o don't charge them or charge less when the value does not make the SC price ? Okay.... we have different ideas about things.

Please keep in mind that the question was whether it would be possible do this without it being a standards violation. Did I not say that I thought it would not be possible? Does that make me a bad appraiser? It's a hypothetical question where I was looking for educated answers and references to specific standards, so again, I kindly ask that you keep your unwarranted insults to yourself.

 

[djd09]

USPAP is useless...waivers give verbals...compete or lose...do you have free will or not

 

[Dublin ohio]

This question isn't about making a deal work, it's about when one could let a non-lender client know that their purchase price doesn't make sense. I'm pretty sure that I stated that I don't believe that one could do this prior to completing the appraisal

The bolded part was nowhere in your OP. Plus this:

On a semi-related note, I've also run into situations where I can tell without a doubt from my comps that the value will not come anywhere close to the purchase price well before completion of the report.

So any "misunderstanding" is on you