Field review questions

[Terrel L. Shields]

you aren't allowed to gain expertise during the assignment -

So if you cannot gain expertise on the 2000 doing FNMA, then eventually no one has done one and therefore, FNMA runs out of people who can do the 2000...nice logic from the short forest. FNMA are be idjits.

 

[Dublin ohio]

2. Basic 2000 form seems very simple. The client didn't give me any guidelines about the report. What is the common requirement for a form 2000?

Take note that the questions on the 2000 require commentary whether you answer yes or no.

Most of 1004, 1073, 1025 forms require at least 6 comps (4 sales, 2 listings). Should I get 6 comps for 2000 ?

Unless you disagree with the comp selection. No need to provide assitional comps

 

[gorillakimchi]

Take note that the questions on the 2000 require commentary whether you answer yes or no.

Unless you disagree with the comp selection. No need to provide assitional comps

yup well noted & thank you!

 

[gorillakimchi]

I always ask for the original appraisal before I quote or accept a field review. Never know how much of a PITA in might be. Also your fee should be at least the same as a 1004. More if you have to provide additional sales and your own omv

Oh... I see. Now I know what to do if I accept a field review next time. Thank you so much!

 

[Raven59]

An appraisal review evaluates the thoroughness and correctness of an appraisal report. The goal is to assess whether the report logically and coherently leads to its conclusion, demonstrating a well-supported argument. The review is not about whether the reviewer personally agrees with every detail but about whether the report's analysis and conclusions are reasonable and well-founded based on the evidence presented.

During the review, it's essential to avoid personal biases or preferences regarding methodology ("how I do it") and instead concentrate on the report's adherence to accepted appraisal standards and principles. This involves examining the data used, the methodologies applied, the logic of the analysis, and the justification for the conclusions drawn to ensure they all contribute to a sensible and defensible outcome.

If completed incompetently, the review could inadvertently harm the original appraiser. If you need to learn how to complete a review, get help, or turn down the assignment. It's the professional thing to do.

 

[J Grant]

Oh... I see. Now I know what to do if I accept a field review next time. Thank you so much!

There is no way to tell from just looking if the value is supported and accurate - I have quite a few reviews ( in the past, I do very few now ), I have gotten reports that look fine and then turn out the comps stink and vice versa. It is unprofessional to quote based on if you think in advance you will agree with the value or not. Quote a fee you can live with either way. A review "should" pay more than an appraisal but often times it only pays the same as for an appraisal - clients lose money on reviews they already made the loan now it is a loss for them -each client is different and esp for a rush they might pay more.

 

[Tom4value]

No one brought it up here but I saw your bio. Are you a licensed appraiser?

Assuming you are, here a few points, assuming you are a first time reviewer.

1. Though I would never advise you to NOT take a reviewer course, your expertise is enough.
2. As said here earlier, you are not reviewing a person, just the report. As such, you need the FULL report, , not just page 1 and 2. If it is a purchase, you also needed a full copy of the purchase agreement to check the OP’s data and fulfilness of the comments.
3. A field review entails a photo of the subject from the front and the street as well as a photo of all comps used in the report.
If you disagree with the comps used, take photos of the comps you want and fill out page 2.
4. Don’t just check boxes. They are paying for not just the form but your analysis. Tell them the “good, bad and the ugly”. For instance, if you totally agree with their description of the neighborhood, say, “the description of the neighborhood was well defined”. If you think something was not right or missing, say so and MOST IMPORTANT, say if it affected the validity of the report. For adjustments, keep in mind that you only have access to the report, not the appraisal file. Do not say that you disagree with the adjustments unless you can PROVE THEM wrong..
5. For factual inaccuracies, I.e., zoning, and public information, point it out and say if it affected the results. This also applies to the comps. Note: for GLA differences with the subject, if they are minor, I always point out that, “I didn’t measure the subject property so I defer to the appraiser”.
6. Your final reconciliation is VERY important. Summarize everything and end with if the report can or cannot be relied upon. Analyze the difference between if you would have done something differently or if the appraiser is actually wrong.

 

[J Grant]

I was serious when I advised the OP to practice on their own appraisal - pick any one of them out and do a dry run field review on it -

 

[Dublin ohio]

It is unprofessional to quote based on if you think in advance you will agree with the value or not

There you go again. Making assumptions. I never quote based on whether or not I "think" I may not agree with the value. But it only takes 5-10 min to determine if the oa is going to be "difficult" to review. A poorly organized appraisal that you agree with the value can be just as difficult to review as a well organized appraisal that you do not agree with.

 

[Dublin ohio]

Don’t just check boxes. They are paying for not just the form but your analysis. Tell them the “good, bad and the ugly”

Exactly. Sometimes the OA might have just made a mistake. It happens to all of us. I had one recently where the zoning was just wrong. It had no impact on the overall appraisal because it changed nothing. Subject was still legal conforming and HBU would be the same. Something else to be ready for is a possible rebuttal if you disagree with the value or other parts of the appraisal. Don't take the rebuttal personally. I have had rebuttals where the OA just criticises the reviewer and never addresses the factual errors. Makes a response pretty easy. Usually a couple of sentences does the trick. Tom4value gave you a good template to follow