Corrections after submitting report

[Samshile]

I get the U/W asking for minor corrections to the report. Example: Zip code typo.
Another appraiser says FHA states nothing can be altered once submitted. Only use addendums. If this is true, where in the handbook or letter does it state this rule?

 

[Michigan CG]

....Another appraiser says FHA states nothing can be altered once submitted.....

Wrong......errors are supposed to be corrected.

 

[BOCK FOLKEN]

I was taught that simple errors (such as zip code, street address, assessor parcel number, etc.) should be corrected, and that any change made after the original submission should be duly but briefly noted in the addendum, or the appraisal notes.

Additions, deletions, or changes which alter the meaning of the original report wording, add additional information (like "the noted damage does (does not) require repairs"), or causes a change in the value opinion post submittal of the original report should be very well documented in a seperate addendum and appropriately explained.

 

[Mike Garrett RAA]

Of course you can "correct" an error on an appraisal report. It's pretty easy to do these days with electronic submission of the report. In the old days it was very cumbersome and costly when the appraiser had to send in 3 paper copies of the appraisal report thus the solution of adding an addendum rather than changing the report.

Just had one the other day where the underwriter wanted me to remove the PUD as the HOA dues had been removed. This was something I was not aware of as the MLS on the subject and the comps all showed HOA dues. Took me all of 10 minutes to change the report and upload it. Underwriter was so surprised I could get it done that quickly.

 

[DWiley]

If the zip code was wrong, this is how I would handle it in my office - I would open the file, rename the file, correct the zip code, sign the report with the new date, send the client a new report that had the same effective date as the original and a new signature date. I would retain copies of both.

Some don't keep the original. They just save over it. I do not do that because I have seen several appraisers get crossways with their state board because they could not produce a report that looked exactly like the one the client has.

I understand the "add an addendum approach" but I don't do it that way because I view each document as a separate report.

 

[Mike Kennedy]

If the zip code was wrong, this is how I would handle it in my office - I would open the file, rename the file, correct the zip code, sign the report with the new date, send the client a new report that had the same effective date as the original and a new signature date. I would retain copies of both.

Some don't keep the original. They just save over it. I do not do that because I have seen several appraisers get crossways with their state board because they could not produce a report that looked exactly like the one the client has.

I understand the "add an addendum approach" but I don't do it that way because I view each document as a separate report.

........Ditto

 

[RSW]

If the zip code was wrong, this is how I would handle it in my office - I would open the file, rename the file, correct the zip code, sign the report with the new date, send the client a new report that had the same effective date as the original and a new signature date. I would retain copies of both.

Some don't keep the original. They just save over it. I do not do that because I have seen several appraisers get crossways with their state board because they could not produce a report that looked exactly like the one the client has.

I understand the "add an addendum approach" but I don't do it that way because I view each document as a separate report.

That is what I would do, Also. I keep getting requests for addendums to be added to the original appraisal report and I refuse to do so. I will send them seperately with a different signature date.

 

[Mike Garrett RAA]

I concur and do the same.

 

[Delta85]

I usually indicate in the additional comments section that the report was reopened on such and such a date to correct, add, etc. and that any previous versions of the report are now invalid. A new signature date is added.

 

[RSW]

I usually indicate in the additional comments section that the report was reopened on such and such a date to correct, add, etc. and that any previous versions of the report are now invalid. A new signature date is added.

I will do that if I am making a correction to the original appraisal report. I will make a comment in the addendum that the lender has requested the correction and this appraisal replaces the original appraisal report. I too, will save a copy of both appraisals in my workfile. I just love electronic workfiles.