Tharax
Freshman Member
- Joined
- Nov 26, 2012
- Professional Status
- Certified Residential Appraiser
- State
- Maryland
It looks like I made a big mistake, but I would like to run it past people with more experience than I. I would really appreciate any constructive guidance or suggestions you could offer.
Last July I appraised a property for a mortgage transaction in MD. The subject was a rancher of about 1,200 sq ft above grade. It also had a second separate 500 sq ft building with separate heating/cac/ kitchen 1 br 1ba but not separately metered (which I referred to as an in-law apt in the report). I combined both areas for the total GLA and used comparables of similar size.
Now the new owner tried to refi and the new appraiser did not count the separate building as part of the GLA and his value came in way lower than mine. The lender has now put me on probation for 45 days and is going to have a meeting in which I get to defend my decision and then possibly (likely) terminate me.
This is my best client and I would hate to lose them (the income loss will be devastating for my family), but also very importantly I am really upset that I may have made a really bad mistake with this report.
My reasoning behind including the area in the GLA was that it was perfectly livable space, constructed in a workmanlike fashion, heated/cooled, with adequate entrance and exgress, all above grade.
So basically did I make a huge mistake? Does my reasoning behind my decision make any sense to you? Is there anyway that I could salvage my relationship with this lender?
I am a long time lurker on this forum, I hate that my first post is one of such ignorance. But thank you very much for any assistance you can offer.
Last July I appraised a property for a mortgage transaction in MD. The subject was a rancher of about 1,200 sq ft above grade. It also had a second separate 500 sq ft building with separate heating/cac/ kitchen 1 br 1ba but not separately metered (which I referred to as an in-law apt in the report). I combined both areas for the total GLA and used comparables of similar size.
Now the new owner tried to refi and the new appraiser did not count the separate building as part of the GLA and his value came in way lower than mine. The lender has now put me on probation for 45 days and is going to have a meeting in which I get to defend my decision and then possibly (likely) terminate me.
This is my best client and I would hate to lose them (the income loss will be devastating for my family), but also very importantly I am really upset that I may have made a really bad mistake with this report.
My reasoning behind including the area in the GLA was that it was perfectly livable space, constructed in a workmanlike fashion, heated/cooled, with adequate entrance and exgress, all above grade.
So basically did I make a huge mistake? Does my reasoning behind my decision make any sense to you? Is there anyway that I could salvage my relationship with this lender?
I am a long time lurker on this forum, I hate that my first post is one of such ignorance. But thank you very much for any assistance you can offer.