Chris,
My reply to the Florida Today was sent this morning.
Appraisers Protect Clients Interest
Lately, real estate appraisers are being viewed as a necessary evil and not as licensed professionals. Appraisers are engaged by a client to estimate market value for a real property interest, their opinion of value must be completely unbiased, and it should reflect the most probable price that two knowledgeable parties would agree upon. According to the Uniform Standards of Professional Practice, the standards that an appraiser must follow when developing a report, it is a violation of ethics for an appraiser to accept an assignment with a predetermined value or agreement of sale. An appraiser cannot use the sales price as a benchmark, and then try to “hit that number.”
An appraisers opinion of value is not arbitrarily pulled out of thin air. Their opinions are based on market research, relevant data and reasoning. An appraiser should have a thorough understanding of the events shaping the market they practice in, and should not accept assignments in unfamiliar areas.
Lenders and buyers secure the services of real estate appraisers to protect their investment. Lenders want the security of knowing that if the property goes into foreclosure, they would be able to recoup the amount of the loan.
So if Brevard County has been experiencing appraisals that are reporting less than the sales price, it seems to me that local appraisers should be thanked. That phenomenon can only be caused by appraisers who, after thorough analytical research, refuse to inflate a market for the benefit of someone other than their client. Kudos.
Steve Vuillermet
Palm Bay
