Comp over 12 months

[Patricia Sturick]

Thanks, but you really didn't have to go to all that effort as at least two posters already provided the EXACT same answer.

Thanks for the slam! I suppose your answer prior to this post did not repeat anyone elses either. What would a thread be without at least one appraiser putting down another.

 

[Doug DeMars]

Most weight given to comp 4 which is over 1 year old, but the only decent *&%@$! comp of the bunch. :icon_lol:

Yep...

Working a FHA report with one of the best Comps from about 16 months ago.

I have QC reviewers tell me that over 12 months is not allowed. Then I ask them where it states that...just blank stares over the phone.

 

[Scott R Marshall]

I've always been able to find comps too. I was just wondering. I always thought the point was to use the best and most comparable comps regardless of age. Seems to me using inferior comps and making large adjustments just cause they closed more recently makes for a misleading and confusing report.

For example, if a 900 square foot ranch built in 1950 is my subject and the only available comps within 12 months are 2000 square foot colonials built in 1999 and sold for $500K my report will look odd with those sales representing comps 1-3 while comp 4 is a 900 square foot ranch that sold for $250K a year and a half ago.

I had one September of last year that was dead because of this requirement. The sad thing is I had completed a conventional appraisal in April for the same property. It was a proposed triplewide manufactured home at the time located within an area that was rural with only 1 comp which had sold within the last 12 months. Period. No "Well this one isn't ideal but I'll use it anyway".

Maybe it had something to do with the fact that I had completed a conventional report, which utilized comparables as far back as 3 years from the effective date and I was not comfortable with producing a second report which would have utilized at least 2 more recent sales than my prior report. But really it had more to do with this silly requirement and that I will not place properties that are not comparable within a report simply to meet a requirement. Ever. While there is some grey area in what we define as "comparable", there are certain properties and/or locations that are so unique that cramming properties within a report that do not belong there is a recipe for disaster.