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Conflict Or Not, The Poll

Can one perform an appraisal and home inspection for the same transaction?

  • No, not at all under any circumstances.

    Votes: 0 0.0%
  • Yes, no problem with performing both.

    Votes: 0 0.0%

  • Total voters
    0
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Lee SW IL

Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
Illinois
Appraisal is required for mortgage financing, Lender is your client.
Home inspection is requested by the buyer.




I will not be voting.
 

Farm Gal

Elite Member
Joined
Jan 14, 2002
Professional Status
Licensed Appraiser
State
Nebraska
OK I am just curious...
Lee Said he wouldn't vote, and at least some folk feel this is prohibited...

OR or or could it be the case that

or is that they feel it is just not a goood idea?

Please clarify!~
 

Larry Lyke

Senior Member
Joined
Feb 2, 2002
I voted no, but I suppose if you feel like a politician and are willing to "triangulate." it'd work.

Of course, it's a totally bad idea.

Let's see, the one with the money to lend is the appraiser's client for the loan appraisal. The lender's customer is that same appraiser's client for a no-holds-barred absolute honest "apprisal" of the house's condition -- in which the home inspector by honestly exhibiting the house's bad ponts to the buyer dissuades the buyer from buying.

In order to get both sides of the transaction fee, the appraiser does the appraisal first, of course, right?

Doesn't this lender want to see the home inspection report. It's written into the contract... No?

I'm not saying in a very small, perhaps rural area, it can't be done. But I'd set up some sort of mutual referral arrangement with at least one other person.

I'm not as concerned about the risks, although they are too many. It's just the cross-pollination of keeping your stories straight when presented with 2 written reports saying diametrically opposing things. In a lawsuit, you'd be tied to the witness stand with rope: not only would you stand no chance of winning, but you'd lose-lose and have to pay both parties.

What I'm saying is the case would be indefensible even if with all your heart you feel you are right and want to defend the case on principle. Only weak court cases would ever stoop to the low of defending on principle -- that's tantamount to simply defending your honor because you feel it's the brave thing to do.
 

Jeff Horton

Senior Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
Alabama
Originally posted by Larry Lyke@Apr 4 2003, 09:16 PM

In order to get both sides of the transaction fee, the appraiser does the appraisal first, of course, right?
No, in most cases the agreement to purchase is written contingent on the results of the Inspection. It is done long before financing in most cases.

Doesn't this lender want to see the home inspection report. It's written into the contract... No?

Nope, never had one ask for it. All they care about is giving someone the money and collecting interest. Or the broker wants to collect his commission.
 

Terry Russell

Senior Member
Joined
Feb 24, 2002
Professional Status
Appraiser Trainee
State
Montana
Of course one can do a home inspection, appraisal, act as broker, lender and as your own attorney in a court of law.

For a multitude of reasons, it is really not a good idea.

tr
 
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