Divorce Appraisal

[larryhaskell]

I have a ? for those of you that do divorce appraisals. What kind of discreet wording do you use for the purpose of the appraisal?

 

[airphoto]

"Valuation for the purpose of a divorce proceeding .."

 

[jtrotta]

A Divorce proceeding for the purpose of a Valuation..... 8O

8)

 

[Geoff Hatcher]

Purpose of Appraisal is to develop an opinion of the market value of the fee simple estate inherent in the subject property to assist in the division of marital assets

 

[Anonymous]

Geoff,
That is good, you can charge an extra hundred dollars for that.

 

[Terrel L. Shields]

50% for lawyer A; 50% for Lawyer B; divided the debt among the victims

 

[Richard Carlsen]

When I was selling real estate, a good closing was when you walked away from the closing with more money than the lawyer.

For an appraiser, a good report is one that the lawyer cannot make any money off of questioning something in the report.

BTW, there is no USPAP requirement to be "discreet" in a report. Attempting to walk around an issue can create more problems than feelings that are saved from being hurt by telling the truth right out. These are big people and they known what they are going through.

"The purpose of this appraisal is for valuation of the real property herein as marital assets in conjunction with a pending divorce proceeding."

 

[jtrotta]

Terrel
been there / done that :?: :lol: - me too

Richard
good form; wording very good; poise & composure- excellent, but my real question is, is it necessary to put anything into the report like this because it may be considered "Bias" by either party :?: After all it's our job to produce a product relative to "Market Value" per the inspection date as noted. By pointing to a "specific cause", could someone misinterpret the report because we are naming a specific reason :?: for this report.

My example here would be; forclosure work :wink:

8)

 

[Richard Carlsen]

I don't think that I have ever done one where both parties to a divorce were my clients. Either the husband or the wife is retaining me for the appraisal. My opinion is something they bring to the bargaining table for the settlement. Therefore, I wouldn't worry about the reason being misinterpreted. This is for the divorce. If they want to use it for lending, I will have to rework the report because in a private valuation like this, I am not bound by the secondary market guidelines. I can be as creative as I want in using any data in arriving at an opinion of value.

If one of the parties wants to use the report for buying out the other, then I write the report for the secondary market and note that also in my purpose. They also know that there will be a slight charge to put a new appraisal in the banks name. Either way, if you don't spell out why you are doing the report, there is more likely to be confusion and suspicion about the findings than if you come right out and say that it is for a divorce proceeding.

 

[Jim McGrath]

If one of the parties wants to use the report for buying out the other, then I write the report for the secondary market and note that also in my purpose. They also know that there will be a slight charge to put a new appraisal in the banks name. Either way, if you don't spell out why you are doing the report, there is more likely to be confusion and suspicion about the findings than if you come right out and say that it is for a divorce proceeding.

Richard, any more in appraisals for divorces, estates, and homeowners, I always include the phrase, "this appraisal is not for a federally related transaction, and may not meet all the requirements for such a use".
This keeps me from getting requests asking me to change the name so the bank can use it, or a buyer wants it for a loan. Most lenders will shy away from this appraisal because of the phrase. Even though in actuality it meets most requirements. They don't know all the requirements, and don't want to take a chance. So for an additional fee slightly lower that the first fee, I will make this new appraisal that will meet the requirements needed.

Jim