Investor Giving Me Tons Of Work

[Kate]

Oh. Really.

The only reason we even thought of putting something in the report is b/c of this thread. To protect ourselves. We can't see a reason to turn his work away. But we want to be careful due to the stigma of investors.

So put nothing then?

 

[DB]

I would not ......

 

[Dee Dee]

Like I said I have still done work for this investor as I can't find anything wrong with what he does. I have told him and the LO that we will not inspect until the order is received but he still contacts me for a heads up. He has been respectful of not scheduling anything until order is in hand though.

And why does he call you prior to your receiving the appraisal order from the lender? Doesn't he think you can handle this without his input?

 

[hal380]

Hi Kate;

I would not use the addendum.

Simply do your job, keep a very good work file, maintain a high consistency for your adjustments and cost approach. Assume that if you are ever reviewed or called in, that they will look at most/all of your appraisals for this borrower/investor.

Regards

Hal

PS Just had a thought, your addendum is kinda like a guy walking up to a cop and saying "Officer, I really don't beat my wife".

 

[Stone]

Kate - without re-reading the thread, I believe the point was that the investor isn't your client and you are not doing these appraisals for him. You are doing them for a bank or MB. You are still discussing him as though he is your client (even if you recognize that he isn't...it is still how you are coming across here "Like I said I have still done work for this investor as "). You really should tell him that not only does your real client, the lending institution, need to place the orders, they actually need to be the ones who contact you about the appraisal. As long as he continues to call you with all of these orders, you haven't really solved anything.

That's just my opinion, but since you are supposed to be engaged by the lender, let the lender make the contact.

 

[Joker]

I too, frequently have investors contact me directly to give me a "heads up" that the order is coming. They realize that the order needs to officially come from the client (bank), but aren't willing to gamble their time and money on having things slip through the cracks. The reasons for these calls is to enable me to save a day in my schedule so that when I get the order, they do not have to wait several days (or even a week) for me to get to it. I often schedule a time for an inspection for an order that hasn't been placed yet. On rare occasion, these have needed to be re-scheduled if the order had not been placed but generally, it works out well for the investor, me, and the client (since they have what appears to be much quicker turnaround times).

I will not be so rude and pompous that I tell these investors to call the lender, yadda, yadda, yadda. I accept the phone call and inform them that I cannot start my appraisal until the order is received. The investor may not be the client, but especially in the commercial arena, if you think that we don't work for these investors, think again. Were it not for them, our clients would cease to exist!

EDIT
I just read this post and thought it may seem as though I was picking on you Michael. I assure you that I am not. No disrespect to your post intended.

 

[Dee Dee]

Kate,

What do you mean when you say that the investor still calls you for a 'heads up'?

Based on previous posts, I suspect that it's not simply to set aside an inspection date. There's a whole lot more to client confidentiality than simply having the lender placing the order instead of the borrower/investor.

 

[Kate]

It's simply a call to let me know that the order is coming. Nothing more than that. Some times he tells me the towns or addresses. Sometimes I may even start the file with the address on the front and name on the side. Some times we will schedule an inspection date for a week out then we will both call the LO to tell her the order needs to be sent. But no we no longer see the property until the order is in the hand. That is thanks to this thread.

I know who the client is, he knows who my client is. He calls b/c he wants to get the ball rolling. That's all. That really isn't the point anymore.

The reason I asked this time is for the occasions that the appraisal comes in higher than the purchase price. This could be for numerous reasons.

Sometimes they have been remodeled - easy to explain in the report.

Sometimes he will buy out an other investor who wants out and will sell all properties at a lower cost, kinda like a bulk rate. OK again easy to explain.

Sometimes they are pre-foreclosure- again easy to explain.

But what about the "finds" that he just finds? He just searches and finds some that are good deals. If by chance the appraisal comes in higher- not so easy to explain.

What do you say in the report? This is why we were thinking of putting a note in the addendum. <_<

 

[TEL2002]

Kate,

For self defense purposes I would take photos...lots of photos. All sides of the property, more than 1 street scene, minimum of 1 picture per room, pictures of all basement walls, pictures of all mechanicals, pictures of any problem/repair areas, garage inside & out. Document/document/document. I would put virtually every photo in the report. It is darn hard to argue the condition or quality, months down the road, when there are pictures of everything.

 

[liznindy]

Kate,

I didn't read ALL the posts in this thread but a few suggestions from an appraiser who does a lot of reviews....

Make sure you are reporting the correct owner of record (is this 'investor' truly the owner of the properties you are appraising as of the effective date of the appraisal?)..

Make sure you are reporting all previous sales, listings, etc within the three prior years of the effective date of the appraisal...Particularly the sales information for the investor's purchase of the subject...


Make sure you are getting the sales contract or purchase agreement for your files if a sale is involved....

Don't take the word of the investor, lender, or other parties involved in the transaction with regards to the sale price, owner, or other pertinent information....


How do you find out prior transfers? Call and/or visit the Assessor's Office.