Could we do without?

[Ken B]

1084 I certify that, to the best of my knowledge and belief:
1085 — the statements of fact contained in this report are true and correct.
1086 — the reported analyses, opinions, and conclusions are limited only by the reported
1087 assumptions and limiting conditions and are my personal, impartial, and unbiased
1088 professional analyses, opinions, and conclusions.
1089 — I have no (or the specified) present or prospective interest in the property that is the
1090 subject of the work under review and no (or the specified) personal interest with
1091 respect to the parties involved.
1092 — I have performed no (or the specified) services, as an appraiser or in any other capacity,
1093 regarding the property that is the subject of the work under review within the three
1094 year period immediately preceding acceptance of this assignment.
1095 — I have no bias with respect to the property that is the subject of the work under review
1096 or to the parties involved with this assignment.
1097 — my engagement in this assignment was not contingent upon developing or reporting
1098 predetermined results.
1099 — my compensation is not contingent on an action or event resulting from the analyses,
1100 opinions, or conclusions in this review or from its use.

 

[Sid Holderly]

I do reviews now and then, mostly finding small errors like others would find in mine from time to time. An appraiser is a poor reviewer of his own work because he/she sees what he/she thought he/she wrote. Most of the time I agree with the value, however some appraisers methods of getting to that figure are very foreign to my education and methods. Most have little or no explanation of methods or sources of data behind the adjustments. One has to be lenient on some of the methods because that may have been how they were taught, they do need to explain more.

This is why I like live CE courses because you learn more from the side comments and discussion than the actual CE material.

 

[Lost Cause]

Why would I give a good review against my competition?

Integrity? Professionalism?

 

[BRCJR]

Integrity? Professionalism?

As they chant on Family Feud, "good answer"!

 

[Tim Hicks (Texas)]

So, why would you think it is a bad review? Because they don't agree with your opinion? Because they find errors and omissions in your report? It is their job to check the facts and report what they learn. No appraisal is perfect. No matter how much AMCs want to claim they QC their appraisals. No matter how well the GSEs monitor the xmls. Our appraisals are based on factual data and our opinions based on that factual data. If you get some facts wrong, they need to be pointed out.

 

[Terrel L. Shields]

Why can't you just give an honest review

It is called bias. Bias exists because you don't recognize it. When you do recognize it, then yes, you can do an honest review. The truth is however, you don't recognize many biases that are out there and you only think you are unbiased.

First, it is difficult to get the idea out of your head that a review was ordered because it was red flagged somewhere "up there"... You start out with a bias (and you don't even realize it)

Second, your own pet peeves get in the way. I don't like the word "paucity" and that's a black mark against you. I don't sketch "that way". Those are MLS pix, must be something wrong or the appraiser is lazy, too hurried, etc. All those sorts of inferences are made and again, you cannot see your own flaws...

Third, if you know the appraiser, then your personal previously formed opinion of that appraiser gets in the way....and I think that even when you THINK you have put that aside, it's not always possible.

Last, if one "reviews the reviews"... you see an awful lot of judgment substitution, where the reviewer inserts their OPINIONS in place of the original appraiser. Someone above said you are reviewing the appraisal and not the appraiser? Sorry, when you substitute your OPINION, you are, in fact, doing exactly that...reviewing the appraiser.

IMNSHO, the average reviewer is incompetent to do that job. And, the fact most reviewers are in denial about being biased, does not change the fact a large majority of reviews I have seen over the years has at least a few instances of the reviewers bias is highly visible. They say the first step to reforming a drunk is for the drunk to realize that in fact, they are a drunk....same applies to appraisers. They are biased, they can't see that bias and I know there will be responses to this post denying they have a bias. Sorry, I can't buy that. We all have our weaknesses, we just don't admit nor recognize it.

 

[JTip]

We will end up like U b er with unqualified, uninsured people doing our jobs and taking our money. Maybe we should start flattening the tires and giving them a good whoopin (like they did in Paris).

http://www.techtimes.com/articles/2...r-risks-life-to-take-passengers-to-safety.htm

 

[J Grant]

A good review is like a good appraisal...any bias reviewer might have is put aside to address the facts and data and analysis and market trends. ( assuming competence is there). A review is also subject to review by others and frequently is. If a reviewer lies, or ignores data or puts in inappropriate data or uses poor methodology to reach their conclusions, it is as easy to see on a review as on a OA. Ultimately, the market data and facts will eventually speak for themselves.

 

[azbassman21]

appraisers against appraisers. the system is flawed. Why would I give a good review against my competition? This review system is so stupid I can only opt out of participation.

The typical appraiser mentality. Dog eat dog. We're too stupid to advance the profession because most of us harbor this attitude. I'm smarter, better, faster, quicker, more accurate.... whatever the case. It's a joke.

I've been ripped apart in reviews over menial items and nothing substantial. I refuse to do reviews because I don't think it's very fun picking apart someone's work. Everyone has their own style and in a subjective profession with proof to often support a range of values, I think it's absurd the way we allow the banking industry to make us eat our own.

 

[moretti]

I feel like over the years I have done a decent amount of reviews...probably more 4-5 years ago when the retro review craze was happening. I have always tried to remain objective and consider reasonableness. If there are obvious issues, ie neighborhood trends reported incorrectly, fraudulent comparable selection etc, then its rather straight forward pointing it out.

Sometimes things are not so easy and I feel like the lenders are placing the reviewers out of bounds as well. What do you do when you review a 2055 that has no extraordinary assumptions about condition or quality and the lender has issues with a lack of condition/quality adjustments? That one was a pain to deal with.

I have been on the sour end of reviews when other appraisers presented issues with my reports but all they showed was that they didn't know what they were doing. Contradicting simple things like zoning, hoa fees and map reference. It just adds time to my work schedule to show proof of my reporting when they dont even explain where they sourced theres.

I must say that since the 1004mc came out I have only seen a couple appraisers actually report the appropriate trend boxes. Majority of 1004mcs I see say stable across the board, for everything, regardless of what the figures state. When appraisers indicate that the neighborhood is stable and that the 1004mc shows support for this and its actually increasing I wonder how they are approaching this. Not that the 1004mc provides sole support for an entire neighborhood anyways..