How many comps do u want? 9?

[Bama Bayou]

They want more comps because there reviewer came in at a lower Value than I did.

First they wanted me to comment in my report why there reviewer came in at a different value than me, I explained to them I cant Review the Reviewer, nor include this in my report.

This would be my comment, and I've done this many times: "The reviewer has a different opinion of value than I do." I would not put it in the report either, just email or fax.

 

[Riick]

--deleted-

 

[Frederick]

On the rare occasions I get a request for additional comps I ask in writing what they want the new comparable sales to illustrate.

Are they concerned that I have not provided enough comparable sales to prove that the neighborhood will support that high a value? Or, have I failed to provide concrete support of the market trend. Or do they feel that they need more assurance that my acreage adjustment has market support. Don't just ask me for more comps, that is purely busy work and disrespectful. Tell me where the deficiency is so I can seek the proper comparable sales that will provide evidence of what the others are lacking.

If they can't do that I simply go to my database and import double the number of comps they ask for even though they are distant and dissimilar and note in the appraisal that it was amended as requested by the client and are "supplemental to the analysis and not "primary" data. Sometimes that is all they want, just a meaningless additional piece of paper.

When I get the call back that the new comps are terrible I simply say; "Yeah, I thought so too, that's why I didn't include them initially". Then maybe we can have a meaningful conversation about what they believe to be the short comings of the valuation analysis and what type of comps are really needed to reinforce its conclusions.

Always ask for it in writing. This will ensure clarity and understanding as to what they are seeking. Often times an underwriter's request is very different than what the appraiser hears from a third party.

 

[Debij310]

If they ask for more comps, I give them. I also state that they were provided at the request of the client only and were given no weight when determining the market value of the subject. I also note that they were not inspected from the street. I cut and paste quotes from the original report because they usually didn't read them the first time around and that's why they want more comps.

 

[David Molenaar]

I just wish that the lenders would put in their request the current requirements of the investor. If I know up front that they need 2 comps within 90 days (go anywhere is their story). Different lender says all must be within 6 months, one says 2 pending, one says 1 pending & 1 current + 2 with 90 days. I'm sure everyone is getting the same request, however, tell me what you need on the original appraisal request, not 2 hours prior to the closing.

 

[SANDY]

We are now requiring direct communication with the person requesting the additional info-so far it has been very helpful in determining the whys and what for-for the additional info and gives us a chance to demonstrate to the underwriter that we know our market far better than they do.

 

[Webbed Feet]

It's the Lack of a Decent Engagement Contract

I just wish that the lenders would put in their request the current requirements of the investor. If I know up front that they need 2 comps within 90 days (go anywhere is their story). Different lender says all must be within 6 months, one says 2 pending, one says 1 pending & 1 current + 2 with 90 days. I'm sure everyone is getting the same request, however, tell me what you need on the original appraisal request, not 2 hours prior to the closing.

A great deal of these problems being discussed are a direct result of an entire industry that functions on the basis of contractural labor..... only does so repeatedly, and industry wide, with no adequate written contracts for the assignments.

Payment for additional services (comps), contractural clauses requiring direct communication from a requestor and not a bunch of go between emails that lack the need for the requests, and very many other issues could all be cleared up via well written engagement contracts. The entire problem is an industry that has a majority of members that are all too lazy and / or spineless to create and require signing of such contracts.

Webbed.

 

[sean4050]

Typically I put in 5 to 6 comps and charge extra when they request more.

 

[Tudor]

Any appraiser worth his/her salt is going to use the most similar and recent comparables available.

These requests they make are just instructions for skippy, so that they know to include some more recent comparables along with their cherry picked comparables that will not kill the deal.

 

[Doug Meyer]

Sometimes the "additional comp request" is nothing more than what should have been done in the first place. That is a good explanation of the sales utilized, why they were utilized and why no more similar sales could be obtained. If the property was "tough" to appraise, then ALWAYS include additional sales or listing or pending sales data to support your valuation. I have been receiving some very tough assignments lately and have just written a lot of information about the subject, comparables and at this writing, have had no requests for additional data. Lots of good narrative writing will help solve many situations.