Hybrid appraisal report

[George Hatch]

When you say "threaten boards", I'm not sure I'd call it a threat to notify a board that in an adversarial legal system they should anticipate that both sides are going to go for what they know in court and seek all legal remedies that are available to them. That's not a threat. It's a reminder of that which they should already understand.


As I recall, the State Board in Louisiana recently took a swing at fees and found themselves in a fight with the FTC. And lost.

If I were seeking a prohibition on the use of PDRs in appraisals in my state I'd first seek to get a definition for "appraisal inspection" added to the state law. Via the legislative process. The state boards don't write or enact the laws they enforce so they're limited to working with what they have. I think the govt is going to have a hard time enforcing a definition that doesn't exist anywhere.

 

[djd09]

When you say "threaten boards", I'm not sure I'd call it a threat to notify a board that in an adversarial legal system they should anticipate that both sides are going to go for what they know in court and seek all legal remedies that are available to them. That's not a threat. It's a reminder of that which they should already understand.
As I recall, the State Board in Louisiana recently took a swing at fees and found themselves in a fight with the FTC. And lost.

If I were seeking a prohibition on the use of PDRs in appraisals in my state I'd first seek to get a definition for "appraisal inspection" added to the state law. I think the govt is going to have a hard time enforcing a definition that doesn't exist anywhere.

pom poms away...

 

[George Hatch]

Your complaint is how I know I'm directly over an undefended target.

So lemme ask you: do you disagree with the suggestion of giving the state board something more substantial to work with in their state law? Because the GSEs and their form is already clearly conveying the distinction they make between "appraisal inspection" vs "Subject Property Data Collection" by explicitly calling it that in their policies and on their forms.

 

[Overimprovement]

Thanks! I downloaded this form from the software company already. But AMC said once the PDC file is ready, they will upload it into a website / platform and I shall complete the rest report there. My question is: How to put some language to say I am not responsible for the property inspection, sketch and photo accuracy etc. ?

This seems to be something everyone else is missing on this thread. The OP is NOT going to be using the hybrid form. They are filling out a form online, created of course by the lender/AMC/whoever. These types of forms do not have anywhere for the appraiser to put in disclaimers, etc.

I personally think this is VERY dangerous and would decline the assignment for nothing more than liability reasons. But to each their own.

 

[chad hampton]

Property data collection is a completely made up term. George’s buddies created it out of thin air so their friends that run AMC‘s can make more money. Everything else is just smoke and mirrors.


If you wanna know what they’re gonna do after this, I’ll let you know. The RevaaTalking Heads have already let us know their game plan

 

[alebrewer]

My mentor whom is an AG, did these for a little while. He loved the idea of not driving in Los Angeles traffic. He was also convinced by the AMC monkey that he could do these in a couple hours. No such luck.

He called me and I could tell he was grinding. "What do you think of this?" He would say and explain the scenario. Not being emotionally attached, I ran through my set of checklist questions...." do you have a couple sales within the last 3 months? Are they within a half mile? Do you have one with equal bedroom and bath count? Are you bracketed in GLA and lot size?" You all know the drill.

Then I'd say to him "you have all the bases covered. So, what's the problem?" He said "I'm unsure because I didn't inspect the subject"  I almost fell out of my chair laughing.

My thought on these is that I would treat them like a drive-by. I wouldn't be aggressive nor frugal.... I'd opin on the safe side. I figure if they wanted an opinion as accurate as possible, they'd send me out there.

Except that, with a drive by you're basing the interior condition (generally) on MLS photos - which were provided by a party interested in the transaction. The PDC is (as we are) a disinterested 3rd party. I've always found it entertaining that appraisers are willing to consider a Realtor's photos as 'unbiased', but not so with a PDC. Seems backwards to me.

 

[alebrewer]

No one is trying to shame anyone into doing anything. Just make the reasons that you choose to decline real. Not BS excuses.

From another poster on this same thread:

"Why would any self respecting professional do this sort of thing?? JUST SAY NO."

 

[J Grant]

Yes grant, why do they think the inspection takes the big part of our time. And why do they think it's faster to wait, as this poster, for that inspection information.
My direct lender hated them, would not do them, said it cost more and took longer. Heard that from different people.

The direct lender has no reason to order a hybrid. Teh cost is likely the same and it is less reliable for a client to have some unknown person visit the property to "collect data" vs having the actual appraiser do the inspection.

I imagine the clients who use them are stuck using AMC, and these are a fit for the AMCs who profit from it by using staff or large panels because a hybrid allows them to squeee more reports out of desk-bound appraisers and pay as little as possible to CDC collectors.

It is less efficient for the appraiser since they are stuck waiting for the CDC to come in, and after they get it, they have to look over photos and exhibits and verify. If I inspect, I can come back that day and write up the report.

 

[Dublin ohio]

Thanks! I downloaded this form from the software company already. But AMC said once the PDC file is ready, they will upload it into a website / platform and I shall complete the rest report there. My question is: How to put some language to say I am not responsible for the property inspection, sketch and photo accuracy etc. ?
Another thing: The subject just resell in early this April (seasonal price high time) and apply refi now (seasonal price low time). Comps shows about 5% price drop. But I also heard the lender will treat house value unchanged for the most recent 6 months? How we shall handle that?

So it is not a 1004 hybrid?

 

[J Grant]

This seems to be something everyone else is missing on this thread. The OP is NOT going to be using the hybrid form. They are filling out a form online, created of course by the lender/AMC/whoever. These types of forms do not have anywhere for the appraiser to put in disclaimers, etc.

I personally think this is VERY dangerous and would decline the assignment for nothing more than liability reasons. But to each their own.

If it is not a true hybrid, which is done on a 1004, the OP had the wrong title then - an online form is terrible, very hard to use, often filled with pre-populated data ( sometimes even the comps ! but they let you change them !) - and generally is a low fee and unrealistic turn time.