Give me a break

[Terrel L. Shields]

The lack of a traditional appraisal report does not mean a free pass on value or condition.

But does it mean an accurate value or just a place holder?

 

[djd09]

countrywide really missed out. would they still be around if they could have waived. without a doubt.

yesterday, this borrower told me how he got approved by quickens in 10 minutes with an waiver. condition granted. they must of not saw what i saw.

 

[Mejappz]

Take a load off Fanny
Take a load for free
Take a load off Fanny
And (and) (and) you put the load right on me

 

[djd09]

Episode 2 - Appraisal Waivers​

"it also can save you the hassle of having your property in tip top shape"

what a model

 

[Mejappz]

Episode 2 - Appraisal Waivers​

"it also can save you the hassle of having your property in tip top shape"

what a model

Chewbacca let the cat out of the bag. “Your house does not need to be in tip-top shape” Translation your house be gutted and trashed, and it makes no difference to us or the GSEs.

 

[NC Appraising]

Freddie does that through use of a separate condition model. Test results show that the model derives and reports the proper condition rating more often than what is reported in 1004s.

Many think that an appraisal waiver is a total pass in evaluation of the collateral, and that is not true. The lack of a traditional appraisal report does not mean a free pass on value or condition.

Maybe have some pull...

The UAD needs a additional condition and quality rating.

At the very least, the condition ratings needs to be re-written.

Example:

Two identical homes that are located next to each other and have a year built of 2006, 15 years of age.
Comp 1
One has been well maintained and has a limited amount of physical depreciation, with no repairs needed. No short lived items have been replaced. (roof, hvac, etc. are original). "original home, nothing has been replaced".

Comp 2
The other home has been a rental and has a high level of physical depreciation. The carpets are worn, needs painting, etc. No repairs are needed. No short lived items have been replaced. (roof, hvac, etc. are original). "original home, nothing has been replaced".

Many appraisers would put Comp 1 as a C3 home, but is really a C4 home. Comp 2 is a C4 home, but the "requires" needs to be removed as Comp 2 does not have any required repairs.


C3: The improvements are well maintained and feature limited physical depreciation due to normal wear and tear. Some components, but not every major building component, may be updated or recently rehabilitated. The structure has been well maintained. Note: The improvement is in its first-cycle of replacing short-lived building components (appliances, floor coverings, HVAC, etc.) and is being well maintained. Its estimated effective age is less than its actual age. It also may reflect a property in which the majority of short-lived building components have been replaced but not to the level of a complete renovation.

C4: The improvements feature some minor deferred maintenance and physical deterioration due to normal wear and tear. The dwelling has been adequately maintained and requires only minimal repairs to building components/mechanical systems and cosmetic repairs. All major building components have been adequately maintained and are functionally adequate. Note: The estimated effective age may be close to or equal to its actual age. It reflects a property in which some of the short-lived building components have been replaced, and some short-lived building components are at or near the end of their physical life expectancy; however, they still function adequately. Most minor repairs have been addressed on an ongoing basis resulting in an adequately maintained property

 

[NC Appraising]

Episode 2 - Appraisal Waivers​

"it also can save you the hassle of having your property in tip top shape"

what a model

The whole system is set up so that the online lenders can control and dominate the market...2-3 day appraisal turn times so that the borrower does not have the chance to change their minds.. Every lender that I work with are 2-3 months out on closing homes. The majority of my work is 1004D updates......

So I think the appraisal waivers back fired, as most lenders were so far behind that some stopped doing refis period and only concentrated on purchases.

Furthermore, where are the shortages of loan officers, UW's, closing attorneys, land surveyors, etc. Why are banks taking 3 months to close....Did they give out mortgage waivers???? Try to get a land surveyor in my market...

Has anyone applied for a mortgage online. Yeps...I say it is similar to being assaulted or harassed. Having a bunch of kids calling you up....like being in Mexico and getting off of the cruise ship.....buy this...buy this...take a look at my shop.... Leaves a bad taste in your mouth.

 

[djd09]

these scum bag mortgage brokers are lovin it. it is better then 2004 for them. appraiser who, right george?

 

[DWiley]

Maybe have some pull...

The UAD needs a additional condition and quality rating.

At the very least, the condition ratings needs to be re-written.

Example:

Two identical homes that are located next to each other and have a year built of 2006, 15 years of age.
Comp 1
One has been well maintained and has a limited amount of physical depreciation, with no repairs needed. No short lived items have been replaced. (roof, hvac, etc. are original). "original home, nothing has been replaced".

Comp 2
The other home has been a rental and has a high level of physical depreciation. The carpets are worn, needs painting, etc. No repairs are needed. No short lived items have been replaced. (roof, hvac, etc. are original). "original home, nothing has been replaced".

Many appraisers would put Comp 1 as a C3 home, but is really a C4 home. Comp 2 is a C4 home, but the "requires" needs to be removed as Comp 2 does not have any required repairs.


C3: The improvements are well maintained and feature limited physical depreciation due to normal wear and tear. Some components, but not every major building component, may be updated or recently rehabilitated. The structure has been well maintained. Note: The improvement is in its first-cycle of replacing short-lived building components (appliances, floor coverings, HVAC, etc.) and is being well maintained. Its estimated effective age is less than its actual age. It also may reflect a property in which the majority of short-lived building components have been replaced but not to the level of a complete renovation.

C4: The improvements feature some minor deferred maintenance and physical deterioration due to normal wear and tear. The dwelling has been adequately maintained and requires only minimal repairs to building components/mechanical systems and cosmetic repairs. All major building components have been adequately maintained and are functionally adequate. Note: The estimated effective age may be close to or equal to its actual age. It reflects a property in which some of the short-lived building components have been replaced, and some short-lived building components are at or near the end of their physical life expectancy; however, they still function adequately. Most minor repairs have been addressed on an ongoing basis resulting in an adequately maintained property

Those Definitions will be revised

 

[DWiley]

Is this in concert with an inspection or merely based upon recent MLS data, etc?

The condition model does not rely on inspection. It uses many different variables and data sources