Complete or Limited Report

[Joker]

Lee Ann,
Perhaps I was not clear. I was not indicating that only the borrower can use a restricted use report. I was indicating that since the borrower may be entilted to a copy, that this report option should not be used. Anyone with the proper knowledge, background, and experience can use a restricted use report, but it is restricted in use to that person or entity. In this case, it would seem that the borrower as well as the lender may be entilted to a copy of the report. Since this is the case, the appraiser cannot/should not prepare a restricted use report. The appraiser is fully aware of the potential for others having access to the report and should not use this report option.
BTW, I have prepared restricted use reports of complete appraisals (commercial property), but the fee is not significantly less than a summary report. The majority of our work is in the process of valuation not the editing of microsoft word or formfilling in the appraisal software. This type of report saves about 10% of my time and expenses, so the fee is about 10% less, usually not worth the client asking for it.

 

[Fred]

Ben,
Thanks for FNMA excerpt on "limited." I only do narratives. I admire you folks who can rattle off the HUD-FNMA-VA-alphabet soup of regs. The quote you gave seems to constitute prior agreement, at least with FNMA. However if they are not "the client".... My other problem with it is that I don't think the appraisal is "limited" just because there is no cost approach.

USPAP 2003 will not be better. As you point out, it's getting longer not shorter. The ASB is looking to add an SR 1-6 about reconciling the "quantity and quality" of data. We don't need a separate rule for every possible step in the thought process. Besides, with all these 3-comp forms, how much can you say about "quantity" of data.

 

[Ben Vukicevich SRA]

Steve,

Narratives????? Yuk. Now there's some real "walking" USPAP violation material-no boxes to fill in..... :lol: :lol:

The original post was about completing a Cost Approach on new construction. The FNMA 2055 form is designed not to have one at all and since it can be used for new construction where a Cost Approach would be typically completed by my peers, it comes pre-thought as a Limited appraisal. If the Cost Approach is not applicable or necessary, then you get to mark-it up as a Complete Appraisal/Summary Report.......

As far as the Client not being FNMA, I understand your point. It really is the lender, however, I would assume that when the borrower is "deemed worthy" of the short 2055 form by the almighty FNMA underwriting computer and the lender orders it, the lender is fully aware of what they are getting because that's what FNMA wants via Desktop Underwriter.

Hey, I don't battle with all-knowing machines.....

Ben

 

[David C. Johnson]

<span style='color:darkblue'>Steve,

You asked:

"BTW, what does that visual image of the insect symbolize?"

I'm not ignoring you, I'm just not quite following -- not so sure what you are asking about.

To All,

Since "Avatars," the pictures automatically included in the upper corner of some posters' posts (like on mine on this post), were mentioned in this thread, I thought I would share the story about mine, partly because it may offer a little hope and encouragement to other appraisers about lender / borrower pressure. In short, Hang In! We're getting there!

Here goes:

As I explained clearly, right-up-front, to the designer of this custom Avatar (who is purportedly one of the best such Avatar programers around, and an "Internet Whiz" in general), the way one presents him/herself to the rest of the world is very important. Just as the substance and appearance of our appraisal reports help define who we are to all others -- some of whom we may never actually even meet in person -- one's Avatar is of equal importance. It speaks for us; it tells the world who we are.

It is for this reason that I have not had one until now, as it took quite some time to "get it just right," so to speak; and, as you can imagine, it wasn't cheap. For instance, take the trophy fish (Yep, a blue marlin -- caught it on my last deep sea fishing trip) mounted on the wall in the background; no, it's not your imagination, its tiny fins and tail are slightly moving. What attention to detail! The guy knows his craft! Also, for the portrait itself, I sat for it at an out-of-town studio several times in order for him to finally get the lighting just right -- not to mention my facial expression -- which still required a bit of "computerized air brushing" to remove a slight wrinkle off my forehead. Hey, this stuff's important. Yes, its being slightly oversized compared to the typical Avitar on this forum did cost extra -- but I thought it was a nice touch and well worth the money.

Well, here's the good news to appraisers. He happened not to like the appraisal of his property which I was completing during this time period. But I stood firm. Even with all his threats, I would not revise the value. In fact, I was on such a roll -- winning the hell out of all the valuation arguments -- he ultimately relented in total defeat (no doubt due to my backbone and honed debating skills, if I do say so myself!). He then proceeded to finish my Avatar, right on scheduel, with no hard feelings, and even offered to place it on his own special server for me for the next five years where he could make sure it could never be removed or inappropriately downloaded by others. And -- Get This -- would personally monitor it for me with some new advanced software he wrote to make sure the colors and lighting and everything, appears just right on each viewer's individual computer around the world -- regardless of that individual user's existing computer-viewing-settings! (That's how the skin tones appear so life-like on your monitor.)

And get this -- All this extra stuff was All for Free!!

So, not to brag or anything, but, in the end, I guess it's plain to see who got the better of who!

Ha!!

And, this also just goes to show that appraisers can -- at least sometimes -- survive lender and/or borrower pressure totally unscathed!!

We're getting there!

Regards,

dcj

PS: Man, that wiggling tail just tears me up!

PSS: Was this post a spoof? -- who, me? Naaaa...</span>