Field Reviews

[Tim Hicks (Texas)]

I have too many to list. Here is one of yesterdays:

Two year old Centex home purchased for $153,000 two years ago. Comp #1 is from the addition, larger home, brand new pool, larger lot, three car garage compared to the subject 2 car sold for $204,000, his adjusted value-$196,490, mine-$180,000. His comp #2 a new home sale from a competing addition (read superior) that he adjused to $180,000. Comp #3 a new home sale from a competing addition (read superior) adjusted to $212,500. His range is $180,000 to $212,500, so the appraised value was $210,000.

Now, there were 21 sales from the subject addition to choose from. All re-sales of 1-4 year old homes, which would be the subject market. I put four comps from the subject addition on there including his comp one and arrived at $175,000. I would say that a difference of $175,000 to $210,000 is a big difference of opinion. That will be his defense.

 

[Mark K]

I'd conclude either:

A. The appraisal is bogus and/or the appraiser is a moron, or

B. The subject is by far the largest, nicest home in the area with no real comparble sales, or

C. It has a significant amount of excess land.

I've turned in appraisals that looked like that and deep down inside I felt that I was probably low on the value, simply no comparable sales for a far superior, unique home. Just because the adjustments are large, doesn't necessarily mean the appraisal is fraudulent. These could have been the best comps available.

But from the tone of your post, I'd guess an appraised value of $950,000 and conclude "A" from the above list.

 

[Restrain]

Just finished one. The appraiser took a home and a guest home, each appx. 2000 SF in size, AND ADDED THEM TOGETHER. Now, he uses 4000 SF sales as the comparables. $200K off, more or less. :rofl:

 

[Rich Hahn]

Home listed for 3 years, list price goes from $2,000,000 to $1,500,000
Home sells for $1,300,000. Age range in nice hood 1980 to new.
MLS with the many listings of this home include interior views as well.

Subject sells 11/03 $1,300,000
Reviewed report 5/04, est value $2,500,000
Appraiser says it was in 'poor' condition and a relo sale.
There are INTERIOR pictures in MLS which will be there for many years.

I cut it to $1,300,000
Made comments like "there is no market on the face of the earth that appreciates this fast"
I was called every name in the book, might have been my last review.

Im sure they will find a flunky to rubber stamp it. :blink:
Almost called my E&O on this one..

:dance: :dance: :dance: :dance: :dance: :dance:

Same week
Subject purchased 8/03 $425,000, from builder.
Reviewed report 5/04 $550,000
Adjustments for view, all built by different builders, different parts of Golf Course sub.

My sales same side of the street same builder same model etc.. My value $430,000

Rebuttal, my sales were "distressed and should not be used".

Same Realiter that sold subject sold my comps, MLS commens something to the effect "motivated seller"
so now Motivated Seller means distressed?
I think all sellers are 'motivated' to some extent and Im sure the Realiter is motivated too.
This one wouldnt die, even the LO called...Im sure she is sorry she called me.

Rich

 

[Andy Taylor]

Have always been amused by the "motivated sellers" comments in real estate ads & MLS. All sellers are motivated. If not why are they selling?

 

[Tom Foster]

Here’s mine subject was 2000 SF 7-3-2 with no view. No pool. 6,000 SF lot.

All 3 comps had panoramic ocean views. Guy misses the swimming pools of 2 of the comparables. 1 of the comps was 4000 SF and he reports it as 2000.

The guy appraised it for $850,000 and the next door neighbor sold for $550,000. Comps support $550,000.

He claims the lot size was over 20,000 SF. It was 6,000 and he adjusts for it. I check the OREA site to do a background check of the guy. Sure enough he already got busted.


Settlement Agreement, resigned license effective before Administrative Hearing, $3,000 enforcement costs. Alleged Violations of USPAP S.R. 1 and 2, Conduct Section of the Ethics Rule; Title 10, California Code of Regulations sections 3701, 3702(a)(2), 3721(a)(5); Business and Professions Code sections 11313, 11319, 11321(a) and 11324(a)(B): submission of a Log of Appraisal Experience with application for licensure containing material misrepresentation; submission of appraisal reports for experience review containing forged supervisory signatures.

I believe this is just the tip of the iceberg, as we have many former pizza delivery drivers and burger flippers getting hungry and will do anything for an order.

Clearly, dialogues between new appraisers such as a former bartender and a former waiter claim they are in panic mode. This former bartender guided towards pumping values.

God help us all. The innocent child, the insulted and the injured. He has his apartment decorated with big pictures of proud sexy women that he claims gives him an odor of commitment.

Tom

 

[Rich Hahn]

I believe this is just the tip of the iceberg, as we have many former pizza delivery drivers and burger flippers getting hungry and will do anything for an order.

I totally agree with you Tom.

Iv'e looked to see were these "NEW" appraisers live and some have just bought big ol mini mansions...with big ol mortgages.

The beat goes on.

Rich

 

[Otis Key]

Have always been amused by the "motivated sellers" comments in real estate ads & MLS. All sellers are motivated. If not why are they selling?

Barry - you don't seem to understand - these are "TRULY" motivated sellers - I mean they want to sell this pos to the most uneducated buyer who will get a loan from .... and the LO will call the newbie skippy who has the idea that all we do is give'm what they want.

You surprise me being so skeptical

:rofl: :rofl: :rainfro: :rainfro:

 

[Michael Schendel]

The concluded value was $675,000

Thank you everyone for sharing your well known stories. It is quite entertaining to read some of those.

This was a refi, hmmmm, think the estimated value was $675,000

Excess land was the key, subject had 1.8 acres in the city surrounded by 20,000 sqft lots. Apprasier had to go over one mile for all comps and upward adjustments for lot size and square footage.

Positive adjustments for all comparables of at least $100,000

Well over built and bit too much land for the neighborhood

 

[Andy Taylor]

Otis,

Me skeptical? After 19 years in the business.

:rofl: :rainfro: