Complaint from State of Michigan

[hal]

I did an appraisal of a waterfront property for an AMC. The subject had been recently purchase about 1.5 years earlier. My report used the subject as a comparable and adjusted for the updates and time. The subject previous sale was an arms length sale. The AMC had someone to come in and appraise the property for 100k more than the sale 1.5 years earlier. My sale was 50k higher than the subject sale 1.5 years ago. The AMC filed a complaint and my E&O company assisted with me in getting an attorney to respond. Now the Attorney General of Michigan is pursuing the matter further. It is to the point where my the AMC is going for blood, because I would not give them the higher value. I did 50+ appraisals for this AMC over a 2 year period and now this over 1 report where I would not give them the value they wanted. My E&O (Navigators Insurance) may not help me at this point, but I was checking to see if anyone had any suggestions for me now since I may have to represent myself and defend my report in court.

 

[Michigan CG]

Do you have a copy of the other appraisal?

 

[Pittsburgh Pete]

So the complaint is based on the AMC not getting their value? Would love to see the wording on that complaint.

Other appraisal should be irrelevant.

 

[Michigan CG]

So the complaint is based on the AMC not getting their value? Would love to see the wording on that complaint.

Other appraisal should be irrelevant.

Yes, me too.

I asked about the other report so maybe he can see how the other appraiser got to the higher number.

 

[Pittsburgh Pete]

So we're buying that the value is the issue and not how it was derived? Attorney General of Michigan has nothing better to do? Gotta be more to this.

 

[J Grant]

? why won't your e and o help you?
Please do not represent yourself in court.
Legal aid might provide low cost attorneys. You can also go on the offensive, file your own complaint with the attorney general and state board against AMC/lender ...I assume you did a well supported appraisal...on what grounds are they saying it is a bad appraisal,? they are not allowed (even if it is their motivation ) to file complaint just because they view a value as "low"e ..

BTW I notice a return to value pressure from previously decent clients, and have seen awful appraisals lately with inflated values.

Dodd Frank/regulations a lender is not supposed to "appraisal shop" aka shop for another appraisal just to get a higher value, they are only allowed to order another appraisal if they find a deficiency with the first one, so I imagine they will find a deficiency if it suits them which may have happened to you...or not depending on if there are grounds for their complaint..

 

[Michigander]

Lakes are tough. What area of MI?

 

[Elliott]

Suggest you go to a good attorney (large firm) and bring your E&O policy and ask them to look into the situation. You need an attorney!

 

[Walter Kirk]

Tell us the name of the AMC so that we may avoid it

 

[Evincere]

Tell us the name of the AMC so that we may avoid it

Yes, please do. Or at least PM it to a few people