Exposure Time

[residentialguy]

Sometimes, I have heard this referred to as USCRAP. Hummmmm.

Watch your language - there's kid's on here that work for AMCs. It's USPOOP :icon_mrgreen:

 

[Fritz in NY]

In it's current form agreed.

 

[Riick]

U.S. POOP indeed -
The whole of the USA - over-regulated, then under-enforced.
THUS: Regulations are enforced when the agency involved has a grudge or other problem with a specific company or individual.
Net Effect: KGB does not like..... you


/

 

[djd09]

When the assignment conditions of the lender produce possible misleading results that would be a violation of USPAP (1004 mc). And when did lenders requirements supersede the high level of public trust.

 

[residentialguy]

i don't know that I would go so far as to say that the 1004MC produces misleading results. A poor explanation of the data cartainly can, though.


...although the instructions on the MC form to fill out the neighborhood section to match is wrong and misleading.

 

[djd09]

i don't know that I would go so far as to say that the 1004MC produces misleading results. A poor explanation of the data cartainly can, though.


...although the instructions on the MC form to fill out the neighborhood section to match is wrong and misleading.

1004 mc is a total misleading form. does it include sales by owners. do you include non MLS sales. and the median is the most unreliable stats one can produce. lets say for example there are five sales 1 - 1 - 1- 100-100. the median is 1. the average is 40.6. thats misleading. and throw in the fact of the numerous cases of fradulent sales = fradulent results.

 

[residentialguy]

It is only misleading if you don't show that information or you check boxes that are misleading due to lack of data. And what you use for comps is your decision. Again, you need to disclose what information was included.

The worst part of the form is the 6mo/3mo/3mo set-up. It doesn't lend itself to an accurate trend line, imo.

 

[djd09]

it is misleading because i dont have access information for sale by owner. why not a 5 year mc or 10 year mc or 30 year mc which would in turn produce differnt results. it is not that big of deal i just let the reader of the report that the 1004 mc form could produce misleading results.

 

[residentialguy]

Why would you use for sale by owner? If they aren't on MLS, I would argue that they don't have good enough market exporsure to the market to give great consideration to them...besides, if you don't have access to them, they won't be on your comp grid either.

I always put a 6 year market trend in my analysis, but nothing wrong with looking at the current 12 mo market trend. Low yearly sales (data) can produce just as misleading of results on a 10 year trend as it can on a 1 year trend.

 

[djd09]

Low yearly sales (data) can produce just as misleading of results on a 10 year trend as it can on a 1 year trend.[/quote]

exactly. you just solidified my arguement. and why arent for sales by owners part of the market. what just ignore them. i would argue that only using MLS listings is not the whole market.