Evaluations & USPAP - Question from a bank staff appraiser

[George Hatch]

If you already know what you're going to say you can write a summary on any of these sections in just a few sentences.

 

[Terrel L. Shields]

Inspection of the subject is not required.

A true evaluation does require inspection and photograph. It does not require the evaluator to do the inspection and photograph and many loan officers do that and send to the evaluator. The appraiser does only appraisals and USPAP does not require either inspection nor photo, but that's for an appraisal ID'd as such. Do not think an "evaluation" and appraisal-lite (or restricted report) are the same. They are not.

I'm a stickler for following USPAP.

Then you are doing an appraisal NOT an evaluation.

 

[George Hatch]

User-driven extras are ubiquitous throughout the entirety of appraisal practice. That changes nothing about what is/isn't an appraisal as per our standards. Same with the nomenclature. The state may decide to not exercise jurisdiction but that doesn't alter what oour profession requires when acting in that role. Moreover, the actions of the individual and the expectations are what drive these standards, not the nomenclature and labels being used to disavow any obligation to act professionally when engaged in that role.

If this were a question on the test you would be failing it. Short-sheeting an eval assignment is every bit as immoral and unethical as short-sheeting an appraisal assignment. This ain't no cafeteria where the individual engages in pick-n-choose when they're going to assert their personal integrity.

And while we're at it, if a broker is performing a BPO for a lender for non-brokerage purposes that's another example of the actions of the individual and the expectations of the user matching up with the definitions for "appraiser" and "appraisal". The labels being used notwithstanding.

 

[Terrel L. Shields]

hort-sheeting an eval assignment is every bit as immoral and unethical as short-sheeting an appraisal assignment.

Do you honestly think appraisers are 'doing' evaluations? Students, maybe a few brokers or agents, part timers etc. are doing these, not appraisers. So, what rules apply? You all act like evaluations are something appraiser do and outside of select states that is not correct. We have a much higher standard, a legal obligation via licensing, and considerable liability that no evaluator has.

 

[George Hatch]

I didn't say they do. I said they can do without a problem. If they're willing to work for those hourly rates.

There remain a lot of appraisers who only want to sell the page count they want to sell instead of selling what the users are willing to pay for.

 

[Terrel L. Shields]

If they're willing to work for those hourly rates.

Many are paid like appraisers only a smaller free. The guy I know makes $500 for a commercial report that he was struggling to get $1,000 for as an appraiser.