Do you perform Field or Desk Reviews?

[TerryRohrer]

For retrospectives, I charge more as research can be harder (agents memories of properties and the transaction details fade with time). The further back in time my effective date, the higher the fee.

I agree, the recent ones are just a year or so old, so data is readily available.

 

[J Grant]

? In my experience, the majority of field or desk reviews that ask for a value opinion, the appraisers name is blacked out and an invoice not present. Why did they ask such absurd questions in a poll-

I used to do a fair amount of field reviews and now do 3-4 a year. They are a lot of work and an appraiser can not charge more if they disagree with value as that would incentivize appraisers to disagree with the value. Most appraisals reach a field review stage because someone flagged a problem with them, though some might be part of a random audit - but usually they have are a problem child. Lenders are reluctant to pay a high fee because the borrower is not charged for a review, it comes out of the lender - usually they will pay a fee equal to that of an origination appraisal. They can be interesting, like unravelling a puzzle, but too time consuming to accept more than a few a year and demand has dropped off - though if the market stagnates it could lead to more demand for them.

 

[The Warrior Monk]

I'm curious did you ever contact the appraiser you were reviewing. I had someone reach out to me that was reviewing one of my reports claiming he couldn't find something that he said I needed to be USPAP compliant. I wasn't sure if I should of responded, but I quoted USPAP to show he was wrong so I wouldn't have to deal with the nonsense later.

For residential assignments, I've only been contacted by in-house reviewers. No reviewer that has been an independent contractor has contacted me for additional information. In the case of commercial assignments, I've had persons contracted by the lender contact me.

 

[The Warrior Monk]

In some areas the residential zoning could be at least 5 different variations of zoning depending on lot size and such.
Before most of my peers would put what's in the assessors records which is usually wrong because it's not detailed enough.
I don't want to bother with these nit picky details which I can do.

Most areas that having zoning have specific codes for the zoning district they are located in. Typically each district will have various permitted uses. Even "residential" districts usually allow for nonresidential uses, such as residential and general community facilities (educational facilities, ambulance companies, firehouses, municipal offices, fireshouses, a clubhouse with a HOA, etc.).

A complete discussion of every single possible use is not necessary for the average residential assignment. But simply noting the zoning as "Residential" would be factually incorrect in many circumstances, even in communities that are strictly residential. Simply citing that actually zone would be factually correct, along with noting that the property is a conforming use (if that is the case) and a concise HBU discussion addressing the current conforming/nonconforming use.

FWIW, another issue that came up often is that in the county I work, many lot are noconforming with regard to lot size. That was something that many appraisers missed. It's very easy to catch if the appraiser simply looks up the zoning requirements, which have been readily available online for nearly two decades.

 

[The Warrior Monk]

Did many reviews years ago, then I raised my fees because they are twice the work. Most of the assignments I received from Freddie Mac had multiple problems with them and it was quite time consuming.

I did a few of them when I worked for TRW RELS when I first started. The assignments were direct from Fannie or Freddie. They were sent to us because they had blatant problems. Many were trule unbelievable. Some reports looked very good on the surface, but many had fraudulent sales prices on the comps.

 

[The Warrior Monk]

Regarding some of the specific poll questions, I would always check out where the appraiser lived if I was given the appraisers name. There were more than a few instances of out-of-area appraisers working in the area I was reviewing. Some of the areas that I was reviewing in had extremely low to no MLS coverage, so many of these appraisers just made the data up.

 

[William Rightsell]

Never done a review in my 32 years of appraising.
They are sent for review for good reason.
They want you to "fix" somebody else's lies and garbage.
For half the fee of a report.

Never.

 

[sputnam]

Never done a review in my 32 years of appraising.
They are sent for review for good reason.
They want you to "fix" somebody else's lies and garbage.
For half the fee of a report.

Never.

Not always true. Many reviews are post funding and are sent as part of routine quality checks and audits. Many good appraisers are terrible reviewers. It's a different mindset. As for fees... it's up to you. How much is your time and expertise worth? Just like with appraisal assignments, if the Client isn't willing to pay your fee, you let them find someone else to take the assignment.

 

[Vermonter]

Not always true. Many reviews are post funding and are sent as part of routine quality checks and audits.

Correct. I do maybe a dozen a year for one client. They're usually send like 3-4 at once and then I don't hear anything for months. Most are decent reports with maybe something that didn't jive with their inhouse QC review. Usually an oddball adjustment or missing explanation. Maybe 1 or 2 a year I disagree with the value. I get 1.5-2x the fee I would have quoted to appraise it.

I was told by my contact that they review a certain percentage of reports in preparation for bundling and selling off the loans.

 

[bnmappraisal]

extremely low to no MLS coverage, so many of these appraisers just made the data up

I've been told that by a client of mine in Nassau County. They were wondering why it was taking me so long to complete a report that required a rent schedule.
I told them I was waiting on info from the property mgr/landlord to verify the rent(s)
They said "Just make it up! That's what the guys do around here"