Change in contract price

[TN Pro]

If I understand your question the answer can be found at FAQ # 153 page 252

"The Appraiser may not simply replace the pending sale price information in the appraisal report and sbumit the report to the client, as this would be misleading."

it goes on to say more "....under standards Rule 1-5(a) yada yada

You are quoting when it talks about changing the contact price when the contract was amended AFTER the effective date of the appraisal

 

[glenn walker]

I agree, i took this from a FB group thread and it seems like many appraisers dont understand how to handle it. To me, its straightforward

The problem is we became handbook appraisers and lost the ability to just use some common sense. I know when at lender if a report was kicked back by a GSE-HUD Etc- The thing that matters most was the error had been fixed and not misleading. Page one is the first page where everyone involved reads first. Nobody is coming after the appraiser for fixing a error. What they will come after them is for a misleading report.

 

[Carnivore]

I know how i handle this, how do you handle this?
The effective date of the appraisal, 08/20/2023, appraisal was uploaded that day with what the appraiser thinks is the latest contract
Turns out, the contract was amended on 08/15/2023 but it was not given to the appraiser.
Appraisal report delivered, the lender gives the appraiser an amended contract dated before the effective date, and wants page one of URAR to reflect this.
In this situation, why can the appraiser not make the change and reissue a new report?
Edit, this is not my report, it was taken from a FB group. I am fully aware how to correctly handle this situation.

OK, so apparently the original contract had a clerical error and thy gave you a new contract with the clerical error corrected before your effective date.

It is often the price haggling or something stupid like leaving a non reality item

This kind of thing happens all the time where the buyer and seller go back and forth offering and counter offering etc

and the realtor has a number of contracts in their file for that subject

I think I get it now. They gave the appraiser the wrong contract.

 

[J Grant]

I know how i handle this, how do you handle this?
The effective date of the appraisal, 08/20/2023, appraisal was uploaded that day with what the appraiser thinks is the latest contract
Turns out, the contract was amended on 08/15/2023 but it was not given to the appraiser.
Appraisal report delivered, the lender gives the appraiser an amended contract dated before the effective date, and wants page one of URAR to reflect this.
In this situation, why can the appraiser not make the change and reissue a new report?
Edit, this is not my report, it was taken from a FB group. I am fully aware how to correctly handle this situation.

How do you "correctly" handle this situation?

 

[Dublin ohio]

How do you "correctly" handle this situation?

The the definitive source Facebook.

 

[Dublin ohio]

You are quoting when it talks about changing the contact price when the contract was amended AFTER the effective date of the appraisal

Read my post #7 again and tell me where in the answer to the FAQ states the above

 

[glenn walker]

Ahe the definitive source Facebook.

Fake Book has many AF posters who use their real names too--or at least they pretend to . I know of two who are dead and they are still posting a few times a week LMAO

 

[Tim Hicks (Texas)]

I had one just this week. There was a sales contract amendment not provided by the lender, but executed before the effective date of the appraisal. I have no problem with changing the appraisal and noting in the report the lender failed to provide the amendment until this date. Any changes after the effective date, there is no requirement for me to change the report and I simply tell them I will not change the report because these things happened after the effective date of the appraisal. The whole point of the "effective date" is the opinion of value is based on that date. Adding any contract changes that happen after the effective date is destroying the entire meaning of the "effective date."

 

[Tom D]

The whole point of the "effective date" is the opinion of value is based on that date. Adding any contract changes that happen after the effective date is destroying the entire meaning of the "effective date."

so your dated opinion is based on needing to know what the contract sale price is? your dated opinion of value would change if they made a contract change after date?
i guess fannie made a mistake in adding date of signature line, it doesn't have to do anything with that part of the appraisal? it's a material report change, not a value changer.
just thoughts, even here it's never 100% agreement. it's a business decision. but lenders do like the sale price number to match. and do you like your lender.

 

[J Grant]

I had one just this week. There was a sales contract amendment not provided by the lender, but executed before the effective date of the appraisal. I have no problem with changing the appraisal and noting in the report the lender failed to provide the amendment until this date. Any changes after the effective date, there is no requirement for me to change the report and I simply tell them I will not change the report because these things happened after the effective date of the appraisal. The whole point of the "effective date" is the opinion of value is based on that date. Adding any contract changes that happen after the effective date is destroying the entire meaning of the "effective date."

The effective date fixes the date perspective of the value; however, as you well know, we work on the appraisal after the effective date, and we typically have a few days or X days or even a week plus between the effective date and signature date.

There is nothing that prohibits changes to the appraisal after the effective date - we just need a new signature date and to explain what we did and what we changed and why.