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Hybrids ...don't be the test rat

George Hatch

Elite Member
Gold Supporting Member
Joined
Jan 15, 2002
Professional Status
Certified General Appraiser
State
California
And you're not? And all the paranoids who walk in fear of their state boards somehow being able to write appraisal regulations on the fly are not projecting into the future?

Besides, I'm just working my way through how I'd argue such a case and how I could expect a litigator who doesn't understand USPAP as well as appraisers do to attempt to create something out of nothing. There are some who are that competent with the material, but I think they know better than to pursue the dead end.

I was sitting in a deposition once where I'd gotten dragged into a lawsuit as a result of my client horribly misusing my appraisal for an off-label use. The SOW I had taken for this assignment - per their request - was sufficient for the use they had told me, but it wasn't sufficient to take to court for the types of decisions that get made there. However, the atty deposing me didn't understand the intended use/intended users elements of USPAP, didn't take seriously my disclosure that I hadn't intended this appraisal for any other use/user, nor the recommendation I make in every appraisal report I sign for other types of users to seek their own appraisals, specific to their use.

But I can assure you the atty did have a much better understanding of these limitations by the time I got done responding to their questioning. My client's atty didn't even get a chance to participate or interject because I did all the heavy lifting for them. The deposition ended before they even got to whatever it was in my SOW they were attempting to challenge.
 
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George Hatch

Elite Member
Gold Supporting Member
Joined
Jan 15, 2002
Professional Status
Certified General Appraiser
State
California
Hybrids are not misleading, they are desktop distinct forms, not a 1004 form for both, and hybrids are a lower exception loan ( such as helocs or portfolio review ), and replace a lower form of valuation ( an AVM or BPO)

Whereas a bifurcated will be used for a origination loans and replaces a higher level valuation - a 1004 appraiser inspected to no inspection / a "data collection" done with allowing a non appraiser to do it.
I dunno how many different programs there are for the generic desktop appraisal application. I'm 100% positive that probably most of them in their current form have weak spots or are doing dumb things outright. I'm not speaking to any of those specific programs. I'm only speaking to the concepts involved. And to the point that any of these programs which are poorly conceived or executed in their current form - particularly WRT not having reasonable disclosures or not allowing appraisers to include reasonable disclosures - any of those deficiencies are readily curable by tweaking the program itself prior to engaging any appraisers to perform those assignments.

As for users taking risks which you and I think they should avoid - Yes they often do take unreasonable risks; and no, that's really not our problem. If they're allowed to ask for that type of appraisal then we're allowed to provide it.
 

Econobot

Junior Member
Joined
Aug 9, 2019
Professional Status
Certified Residential Appraiser
State
Colorado

..... Quotes:
""The fine levied was 100 times greater than the fee received by the appraiser. In addition to violation of USPAP, several Georgia specific state violations were reported. Those who still consider doing bifurcated hybrids should keep the competency requirements of USPAP in mind.

Anyone doing them is not only undermining their profession, they are risking their license. Anyone doing them in a state where they do not routinely practice is a damn fool.

Due to all the phony hype about quality and accuracy and being done by ‘trained inspectors’ it’s going to take a while to demonstrate to state regulators how egregiously bad these ‘products’ are. ALL of them. Including 1004P. ""
......
""Most importantly they do not allow a reasonable fee (as required under Dodd Frank), or sufficient time to properly investigate, analyze, develop and report credible appraisal results. The systems are set up to provide appraisers with ‘suggested’ pre-selected comparable sales, and even adjustments in some cases.
As I have been saying for well over a year. These products induce fraud. The very design and marketing coupled with ridiculous fees assures USPAP compliance will never happen. ""

(Hey BERT check this out : appears to have been your point of contention with regards to words like ... BIASed , USE of PRE-chosen comps' etc...)
They should have taken his license for the sake of his family and legitimate appraisers in the state. $25 fee?? What a complete scam, moreover proving previous points I've made on this forum about these trash products only benefiting AMCs at the loss of appraisers. I think it's time to tell Clear Capital to remove me from their panel, they are one of the worst AMCs I've ever dealt with and this puts the icing on the **** cake they're selling.
 

Carnivore

Elite Member
Supporting Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
North Carolina
I looked at several AMC Home made Desktops and found weakness in those forms. The common mistake they made was to try and jam everything into two letter size pages. I mean everything. For me they were inadequate and I could not understand the reasoning when they designed them. My take away was they did not understand USPAP very well and what was and what wasn't as important. I could only conclude their Pre-designed forms were meant to look simple, meaning easy to do and cheap for the End user. There was one areas that really caught my Eye They titled at the top of the 1st page with their Company Name.

I am sure this has two purposes: 1. It has the look of a Proprietory Form AKA PhoneMonkey Dot Com and 2nd reason their Name is a Form of Advertising. LMAO

So just for grins I might complete one of these assignments. My Intent is to get them all riled up and flustered. Instead of sending them their Form I will use the one I have designed from the list in Wintotal. I am sure i saw one listed in there....Yep Fully Editable
 

Attachments

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George Hatch

Elite Member
Gold Supporting Member
Joined
Jan 15, 2002
Professional Status
Certified General Appraiser
State
California
If they wanted to they could build a web page that went into great detail about their SOW disclosures, assumptions and limitations and include a link in their reports. If I was promulgating one of these programs that's what I would do regardless of the specifics I hardwired into the boilperplate of the report itself.

I never thought of it before, but really, there's nothing stopping an appraiser from doing the same with a 1-liner in their Reconciliation paragraph:

"A more complete description of the assumptions and limitations intended by the appraiser can be found at "[email protected]". How would a user legitimately object to an appraiser's clarification of the SOW they actually used, so long as it was accurate?

The report is supposed to work for the appraiser. The appraiser doesn't work for the report.
 
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gregb

Elite Member
Gold Supporting Member
Joined
Sep 3, 2011
Professional Status
Certified General Appraiser
State
California
FM view of "desktop" appraisers-

 

George Hatch

Elite Member
Gold Supporting Member
Joined
Jan 15, 2002
Professional Status
Certified General Appraiser
State
California
FM isn't an appraisal entity. They're a user
 

Carnivore

Elite Member
Supporting Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
North Carolina
The guy was a Bad example. If we assume he had the ability, smarts and other talents to become an attorney. Then why would he change his mind and be a Appraiser.

The sheckles you receive as an appraiser for your work pale in comparison to the mega Sheckles you would receive over a lifetime as an Attorney.

I know this a diversity recruitment campaign. I get it. Its a good thing.
 

Carnivore

Elite Member
Supporting Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
North Carolina
OK, are you ready.. this is from the nextdoor. Community website

Recycling
Would anyone want to make some extra money removing all recycling from my house?
6 hr ago · 37 neighborhoods in Recommendations
Thank


Comment
Comment

3
See 1 previous comment
Patricia Galbraith


, Fox Run

Small things drink cans water bottles plastic containers. Those type things
5 hr ago
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Reply


Mary Mode

Mary aka Harry the Aluminum Can collector and Part Time Desktoppie Appraiser
, Little Mountain/Forbes

Patricia, can you send a photo to the items you have?
 
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