Hybrid Appraisal Extraordinary Assumptions

[Carnivore]

So I apologize to everyone here for not accepting the Desktop assignment that was offered to me recently. The subject was an older brick veneered ranch on 2 acre site outside of a subdivision located on a feeder route. It was not and never had been in MLS. The HBU could have been an issue with it due to its site size(2 acre), age of subject and location. I should have tried to accept it by offering to do it for free! I wont make that mistake again(assuming I get another offer). The offer came from an AMC.

So if I get another offer i will be the lab rat and do it for nothing and report back to all of you. i will track my time, I will keep copious notes on the problems, difficulties , strengths and weaknesses. Essentially i will give you my unbiased opinion and details of who what and where and my conclusion.
I wont violate any confidentiality restrictions.

 

[Mr Rex]

Let's play a game of Devils Advocate, turn the tables and pretend that the hybrid type report is the industry standard and had been for the past decade or more. "Inspection" by RE agent or 3rd party "Inspector" with the appraiser responsible for establishing a credible value based on the info provided to them by the other parties. Now lets say a new product is introduced that requires the appraiser to "inspect" the interior and exterior as part of their SOW in establishing a credible value. How many of the most vocal naysayers would run like their hair was on fire saying they don't want the added liability, they aren't Home Inspectors (sound familiar), things should stay like they have been etc etc? I have my own opinion that approaches nearly 100% of the same naysayers today would be naysayers if the whole issue was reversed completely. Human nature is funny that way.

 

[Mike Kennedy]

So I apologize to everyone here for not accepting the Desktop assignment that was offered to me recently. The subject was an older brick veneered ranch on 2 acre site outside of a subdivision located on a feeder route. It was not and never had been in MLS. The HBU could have been an issue with it due to its site size(2 acre), age of subject and location. I should have tried to accept it by offering to do it for free! I wont make that mistake again(assuming I get another offer). The offer came from an AMC.

So if I get another offer i will be the lab rat and do it for nothing and report back to all of you. i will track my time, I will keep copious notes on the problems, difficulties , strengths and weaknesses. Essentially i will give you my unbiased opinion and details of who what and where and my conclusion.
I wont violate any confidentiality restrictions.

"i will be the lab rat and do it for nothing"


Good deal - but.........NEVER sign any appraisal report for Free.

 

[J Grant]

Was it done on a URAR form? If so, this EA statement clashes with the cert page that does not allow any changes or modifications to the certification and assumptions. Or was it on some other form?

Hybrids will be interesting...as an appraiser I will have to accept the other person's inspection results how can anyone EA that away? Imo the lenders may experience fallout from hybrids ,, scheduling and coordination two people rather than one, and how well can the lender defend the result/ value when the person who visited the property was not the appraiser.

For hybrids will a lender at application inform the borrower that the inspector is not the same person doing the appraisal? Or only afterward in the report in mouse type?.

 

[Carnivore]

This should scare you. Let take Mr/Ms Braggadocios Appraiser. They claim to complete 365-730 1004 appraisals per year per the NAR Survey.

How many Desktops can they do in a day, week, month, year?

A. - 1000
B.- 2000
C - Everyone Desktop assignment within their state 20,000+
D, Every desktop assignment in the states listed below.

What if they were licensed in multiple States; NC, SC, VA, Tenn. and they had 3 trainees in each state!
They also paid for the National MLS.

Don't Laugh or think this is absurd. We had a Clown in NC that had trainees in NC, Georgia and Florida. He was signing as "Did Inspect" all their reports.
they took his license! Whoop di do...My Guesstimate is he Grossed about 3+ million during the time that period and while they tried to take his license.

 

[Meandering]

I don't "give clients exactly the numbers clients want to buy from them", and I don't think Denis does, either. Nor would I would never accuse you or anyone else on this forum of something like that. That's literally the worst accusation you can make about another appraiser. So no, I am not making something up.

Nobody said you did.

But you can.

And let's face it,

If you are going to let someone pre-print into your report, what you don't know, and you are going to Certify to it,

Well, that's exactly the road map to get to numbers clients want, because they'll just keep telling you what you don't know, and you can agree with them.



.

 

[Meandering]

Let's play a game of Devils Advocate, turn the tables and pretend that the hybrid type report is the industry standard and had been for the past decade or more. "Inspection" by RE agent or 3rd party "Inspector" with the appraiser responsible for establishing a credible value based on the info provided to them by the other parties. Now lets say a new product is introduced that requires the appraiser to "inspect" the interior and exterior as part of their SOW in establishing a credible value. How many of the most vocal naysayers would run like their hair was on fire saying they don't want the added liability, they aren't Home Inspectors (sound familiar), things should stay like they have been etc etc? I have my own opinion that approaches nearly 100% of the same naysayers today would be naysayers if the whole issue was reversed completely. Human nature is funny that way.

How about the know everythings,
Get TAF to change the USPAP first?

Hey there's an idea,
Or maybe it's just easier to get rid of it all together.

After all,
if clients are going to tell you everything you need to know,
and tell you what they only want to see in their reports,
what the heck do you need USPAP for any way?
Why even have TAF or the Appraisal Foundation?
Why have licensing, certs, and CE?

Heck, clients know what they want,
And they know what you don't know, and can tell you what you don't know, and you can agree with them.



Yup,
as long as anyone can inspect,
Why have a Certification just because they changed the report title to Appraisal, instead of evaluation.

Do you really need all those CE classes to recognize the report title is now Appraisal, so you have to have a license to sign it,
but nothing else is different than evaluation,

Except your license.

 

[Carnivore]

So many areas may never see a Desktop. I think this Chart demonstrates that this area Mecklenburg is a likely candidate for many desktops.

 

[J Grant]

Let's play a game of Devils Advocate, turn the tables and pretend that the hybrid type report is the industry standard and had been for the past decade or more. "Inspection" by RE agent or 3rd party "Inspector" with the appraiser responsible for establishing a credible value based on the info provided to them by the other parties. Now lets say a new product is introduced that requires the appraiser to "inspect" the interior and exterior as part of their SOW in establishing a credible value. How many of the most vocal naysayers would run like their hair was on fire saying they don't want the added liability, they aren't Home Inspectors (sound familiar), things should stay like they have been etc etc? I have my own opinion that approaches nearly 100% of the same naysayers today would be naysayers if the whole issue was reversed completely. Human nature is funny that way.

But it wasn't that way... FHA< fannie, the lenders considered the personal inspection by appraiser so important, most lenders would not accept a trainee alone inspection, the appraiser or appraisers signing had to personally inspect comps from street etc.

If your above example had been the case, it would mean GSE work went from a lower standard ( a non appraiser inspecting) to a higher standard ( appraiser inspecting) Instead we have the reverse, a higher standard ( appraiser inspecting ) going to a lower standard ( another party inspecting). I think it's comical, after decades prohibiting trainees or runners to inspect, now allowing a RE agent or home inspector to do it...hybrids are about squeezing more volume at lower cost out, human nature is funny that way...

 

[Carnivore]

I found the E-mail Request for the Desktop. After I re-read the email I realized that they were having trouble getting someone to do this Desktop assignment. Dang, i could have made an offer of about $200 bucks and maybe they would have bit.

https://www.google.com/maps/place/8...5ac95a42a8567947!8m2!3d35.054463!4d-80.699587

Property ID: 24094285
Address: 8722 Potter Rd, Matthews, NC 28104
County: UNION
Form: CC Desktop Appraisal
APN: 06042025B
Property Type: SFR
Land Use: Residential
Building Sq. Ft.: 1,309
Full Baths: 2
Lot Sq. Ft.: 99,317
Year Built: 1973
Source: Public Records (2017)