How Do You Describe The Subject Property?

[Ward Dresser]

Help on wording external obsolescence - heavy traffic

Help on wording external obsolescence (busy street with heavy traffic) for URAP. Any suggestions on wording without being too negative?

TIA

-Ward

 

[Charlotte Dixon]

I don't get flowery, and I don't get lengthy. As Richard said, a lot of that is already said in the report, if the boxes were checked. I only state the facts mentioning amenities that are upgrades, or special items and/or items that will detract from the value. I do more than say "fence, porch, deck" but don't write a book. Most of the time I can fit all of what I need to say on page one, in that area. It's still a "summary" report, not a narrative. My drop down addendum is for "problem houses".

 

[George Ellerman]

"Some external obsolescence noted due to proximate busy street and concomitant heavy traffic flow. Minimal negative impact on subject in that all properties in area are similarly affected."

 

[Ward Dresser]

Thanks George!

 

[Diane Lagrou]

Thought I would jump in here for a minute as I have just recently started getting much more descriptive in the appraisal. But first I must ask....the first several posts are dated August 2005??????? That must be a glitch????
I haven't found myself going into as much detail as the first several lengthy descriptions, but I do like to add additional comments on updates and improvements with date if available.
But I have started surfing the internet for the great neighborhood/market data rather than such the same old same old. I have been appraising for almost 10 years & I have found myself even forgetting to mention some of the neat and interested factoids about different areas (history, recreational points of interest, etc.) I do a lot of work in rural areas and those with attractions such a a large lakes for boating, etc. The rural lands of Ohio have much history like historical sites, famous people home towns, things like that.
What is your opinion on things like this? I know it is not necessary and I do cover items regarding the subject specifically, but when it comes to the neighborhood/city or village, the response has been good for all the "extra" I put into the report. :new_smilie_colors1:

 

[George Hatch]

Although I'm probably the biggest blowhard on this forum I tend to write my reports a lot more concisely. Obviously I have no problems banging out narrative comments, but I don't do that in an appraisal report unless there's a specific reason for it. As an example, most of my HBU analyses (on SFRs) lately have run at least 1/2 a page or more because those assignments have had HBU issues.

I don't repeat the items that are already covered in the description fields. I try to limit my remarks to those items I think are relevant to the valuation. I usually go from the outside in, and from the public zones of the house to the private zones. I'll mention the extras and any recent work as well as any below-average items that are worth discussing. I'm usually not off on an addendum page for a residential report unless there's a problem that requires it. My scope of work summary is ready to go for 07/2006, alls I have to do is swap a few sentences out dealing with the Departure Rule and everything that goes with it.

A typical SFR report for me includes the "old" 2-page URAR and an extra comps page, whatever I'm using for assumptions, limiting conditions and Appraiser's Certification, my SOW page, and 1 extra addendum page addressing the specifics of whatever the fannie form leaves out like HBU analysis and such. Not counting the exhibits and assuming there are no unusual conditions requiring a lot of explanation, that comes out to 7 pages (including the extra comps).

I try to be mindful that my readers' time is valuable and that if I can avoid wasting it they're more likely to actually read the entire report.

 

[Mike Boyd]

How do you describe...etc etc etc etc

Diane....the original post WAS last August. I was about to make a sarcastic response when I came upon my original sarcastic response I wrote at that time.

Everyone has a right to express themselves anyway they wish. However, I can tell you that most underwriters will sigh with exasperation when they see redundancy, use of $4 words that no one understands and are possibly out of context. The more you write, the greater the risk of exposing your bad spelling, grammar, punctuation and syntax as well as the risk of inserting your subjective opinion and sound like you are trying to SELL this house. One might also think there is something you are NOT disclosing by over disclosing what is already in the report. As a hobby, I write short stories and have completed one full length novel. Most of my composition time is spent editing and making corrections, re-writing for flow and comprehension. Remember, spell check will not suggest corrections if two words pronounced the same way but having altogether different meanings and spelled differently have been used. Be concise and to the point describing ONLY what has not already been pointed out. The sketch is part of the report to show the floor plan. Describing which way the door swings is almost laughable. Sorry about that but who gives a rat's *** which way it swings? Is it going to affect value?

Don't risk demonstrating your ignorance. I have to tell you that upon completing my book I sent it off to a professional editor. When it came back it was a sea of red ink! It was so bad in terms of grammar and punctuation that I doubted if the editor paid any attention to the story. Instead of writing pages and pages, spend that extra time deleting and editing and please please please, don't write THERE when it should be THEIR.

 

[Roseann Dufala]

I had a real estate attorney tell me once--"only give them the information that they ask for". Don' t elaborate, if they don't require an interior sketch--don't give them one, etc. He told me to keep everything in my work file in case I ever need it, but if I have included it in the report (whether or not the client asks for it--whatever I have conveyed to them), then I am responsible to prove beyond a shadow of a doubt. SO, I have everything in my file, but what goes on my report is what they ask for and what the client needs to make a judgement on the collateral. No more, no less.

Just like we all know: If you give them 3 comps, they will ask for 4. If you give them 4, they will ask for 5. If you give them 9, they will ask for 10. So, pick the best 3 or 4 (whatever you feel it really needs)--let the appraisal go--but have your work file worked up with another 3 or 4 or 5 comps for IF and when they ask. Because they will likely ask--just because.....

 

[jakeboeger]

From the Appraisal Writing Handbook, Chapter 1:

Take the time to make it short.
Producing a report that is succinct, yet thorough, takes much more thought and careful editing than preparing a long, rambling report. Long, theoretical introductions on various approaches and valuation procedures are readily available to anyone who wants to use them. Similarly, any chamber of commerce can provide an appraiser with tomes of data about a region or city. Using such material will “bulk up” an appraisal report, but is that necessary? Many clients would respond with a vehement “no.” In fact, the recent popularity of summary reports is, in part, a reaction against voluminous reports full of information and verbiage that clients neither need nor want to read.


Some of the property descriptions posted earlier are very well written, but why would you write half a page on the subjects siding, roofing, foundation, age, etc.. when you have already perfectly descibed these features on the first page of fannie form 1004 (if you happen to be using this form)?

 

[Shawn Michalec]

Neil,

I agree with my peers here who believe the less said, the better. After all, it is a summary report. I don't repeat anything that is clear in any other part of the report. However, I will give a little detail about the significant features. In my comments about the condition, I'll usually note whether or not there are any significant physical, functional or external inadequacies as well as the general condition which may include recent improvements or lack of updates. Though detail is sometimes necessary, I find it better to just be clear and concise, nothing fancy. Having said that, I used to be teased about writing too much, which means many of my collegues are even more minimalist than I.