Hybrid Appraisal Extraordinary Assumptions

[Dale Floyd]

Just to interject - The regulation is applicable for appraisals, but it is not written for appraisers. The appraiser is not privy to loan amounts, interest rates, etc. And since HPML guidelines applies to more than just one mortgage loan, there is no way an appraiser can know what loan policies, procedures, or past mortgages their lender client has made.

Simply stated - An appraiser will not face consequences if a lender chooses to violate the regulations, and orders something less than an appraisal for a mortgage in HPML instances. Those rules gives examiners and courts teeth to use against the bankers in those instances, not the appraiser.

I doubt any of us would ever quiz the lender about the interest rate being proposed on the mortgage involved in an appraisal assignment. That's just far fetched..

 

[Meandering]

Well Ghee Whiz Dale,

Appraisers are responsible for USPAP.

USPAP says;

Being Competent
The appraiser must determine, prior to accepting an assignment, that he or she can perform the assignment competently. Competency requires:

3. recognition of, and compliance with, laws and regulations that apply to the appraiser or to the assignment.

The law for the lending assignment, which REQUIRES and appraisal (not like you're doing many appraisals that are not required by law) requires that the appraiser perform the interior inspection.

So, are you putting forth the whine that because nobody told you which law would be applicable to the appraisal you are being asked to complete, that it's okay to lemming on up and pretend you are in compliance with USPAP because you can't possibly know and be in compliance with the laws applicable to lending assignments unless a client tells you what they are? Really?

Sorry but USPAP has that one covered for you to.
.
Lack of Competency
If the assignment cannot be completed competently, the appraiser must decline or withdraw from the assignment.

See, when you don't know, and you can't find out, you can't be competent, and it is you who is responsible for knowing, no one else.

But residential appraisers could just lemming up and run the profession over the cliff for the next melt down, because you already know it'll be your fault, and you've got those bases covered. Just disclaim you did not know what the law said, because it's a lending law. I mean really, just because the law is the Truth in Lending Act, pertinent to residential lending, and is the determinant for which mortgages need appraisals or not, why would you think it is a law applicable to an assignment? Because nobody sent it to appraisers personally?

Can you even tell us which laws Appraisers should have "recognition of" and "comply with" when performing residential appraisals for lending work?

I'd really like to know since USPAP is only a state law in some states, so just what are those mysterious laws that are used to judge appraiser competency for residential lending work.

Thanks, I'm only a CG so no one taught me which laws those are for that type of work.

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[TRESinc]

Well Ghee Whiz Dale,

Appraisers are responsible for USPAP.

USPAP says;

Being Competent
The appraiser must determine, prior to accepting an assignment, that he or she can perform the assignment competently. Competency requires:

3. recognition of, and compliance with, laws and regulations that apply to the appraiser or to the assignment.

The law for the lending assignment, which REQUIRES and appraisal (not like you're doing many appraisals that are not required by law) requires that the appraiser perform the interior inspection.

So, are you putting forth the whine that because nobody told you which law would be applicable to the appraisal you are being asked to complete, that it's okay to lemming on up and pretend you are in compliance with USPAP because you can't possibly know and be in compliance with the laws applicable to lending assignments unless a client tells you what they are? Really?

Sorry but USPAP has that one covered for you to.
.
Lack of Competency
If the assignment cannot be completed competently, the appraiser must decline or withdraw from the assignment.

See, when you don't know, and you can't find out, you can't be competent, and it is you who is responsible for knowing, no one else.

But residential appraisers could just lemming up and run the profession over the cliff for the next melt down, because you already know it'll be your fault, and you've got those bases covered. Just disclaim you did not know what the law said, because it's a lending law. I mean really, just because the law is the Truth in Lending Act, pertinent to residential lending, and is the determinant for which mortgages need appraisals or not, why would you think it is a law applicable to an assignment? Because nobody sent it to appraisers personally?

Can you even tell us which laws Appraisers should have "recognition of" and "comply with" when performing residential appraisals for lending work?

I'd really like to know since USPAP is only a state law in some states, so just what are those mysterious laws that are used to judge appraiser competency for residential lending work.

Thanks, I'm only a CG so no one taught me which laws those are for that type of work.

.

you love citing things. please give us a link to any case anywhere in the US where an appraiser was found to violate any law due to appraising a higher priced mortgage and not knowing it at the time of acceptance. until then it's just your love of twisting words yet again.

 

[djd09]

Thank you Marion for helping appraisers understand the regulations.

They love drinking the purple kool aid others serve them.

 

[George Hatch]

Have we forgotten so quickly how the C&R references in D-F have been implemented?

 

[DWiley]

you love citing things. please give us a link to any case anywhere in the US where an appraiser was found to violate any law due to appraising a higher priced mortgage and not knowing it at the time of acceptance. until then it's just your love of twisting words yet again.

By M's logic, if a client had an FHA loan, but ordered a conventional appraisal, the appraiser would be at fault for not doing the proper type of appraisal

 

[George Hatch]

Appraisers already commonly violate the SOWR by not adequately sussing out all the applicable assignment conditions for their assignments, such as not reading appraisal policies, not asking for clarification in advance and so on. I don't see appraisers getting upset about that. Probably because those failures don't affect their fees.

IRL appraisers aren't exactly known for playing the 20 questions game for every mortgage-related assignment they accept. And when they do ask questions those questions are about what the users need in the appraisal, not what loan programs a lending client intends to use the appraisal for.

 

[Meandering]

Have we forgotten so quickly how the C&R references in D-F have been implemented?

So, are you saying, because nobody really is regulating lenders, it's gonna be the same for appraisers?

Sweet!

Maybe the company that pre-printed all the EAs for the Desktop report Denis was reading, could write an idiot clause EA, that it's okay that the appraiser does not know any laws the AMC has not told them, yet, the lender still finds the appraiser competent anyway.

By M's logic, if a client had an FHA loan, but ordered a conventional appraisal, the appraiser would be at fault for not doing the proper type of appraisal

And that's how the appraisal game works.

Do a report for the IRS and don't follow the IRS requirements for the appraisal, see how well that will fly.

There is a reason the yellow book is printed, and it's not just to support lots of data entry people producing big government documents.

But residential appraisals,

Oh no, they have USPAP and what Danny, JT an company tell them.




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[Meandering]

By M's logic, if a client had an FHA loan, but ordered a conventional appraisal, the appraiser would be at fault for not doing the proper type of appraisal

You are an original USPAP author,
Perhaps you could enlighten us to the laws that residential appraisers are supposed to be in recognition of , and comply with

when performing residential lending assignments?

Because as so many people have posted so many times

(caveat to George's SOWR)

USPAP is not a law, unless the state adopted it.

So what are those appraisal laws for residential lending work, Danny?\


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[Dublin ohio]

I must be missing something. Aside from license limitations. What does the mortgage amount have to do with the development and omv in an appraisal. This is a lender issue. Not an appraisal issue. Here is an idea. Why not have the lender provide the mortgage amount with every assignment? Then the appraiser can make the decision.