Ladies and Gents, Boys and Girls, How would you deal with this?

[Ray Miller]

Did a pre consturction new home appraisaial back in January of 2005 on lake front property. Today I get a request for finial draw (which I have not done any of the draw inspections) and a 1004D on the property.

I am thinking not only a 1004D but I need to do a new appraisal on the property as well to established todays value. Value in the last year have been dropping like rocks on the lake and not many sales but a lot on the market for sale.

How would you deal with this??????????

 

[Pamela Crowley (Florida)]

1004D for ONLY the part about the construction being finished per your 2005 appraisal and NOTHING else. Specifically state on it that this report has nothing to do with any value opinion.

 

[Michael Tipton]

I would contact the client and clarify what they are asking for. Isn't there a time limit for updating a const/perm appraisal (12 months) for FNMA/FHLMC?

If they only want a final, then proceed with that portion of a 1004D. I would request/require a new appraisal should they want an "updated" value. Market conditions may have changed with the passage of time.

 

[Lee Lansford]

Did a pre consturction new home appraisaial back in January of 2005 on lake front property. Today I get a request for finial draw (which I have not done any of the draw inspections) and a 1004D on the property.

I am thinking not only a 1004D but I need to do a new appraisal on the property as well to established todays value. Value in the last year have been dropping like rocks on the lake and not many sales but a lot on the market for sale.

How would you deal with this??????????

Well, the 1004D IS a new appraisal (if, as I have assumed, you have been requested to provide an "update" to the original opinion of MV).

 

[Mike Boyd]

1004D for ONLY the part about the construction being finished per your 2005 appraisal and NOTHING else. Specifically state on it that this report has nothing to do with any value opinion.

I thought that the 2nd part of the 1004D was for new data that reflects current value. This would include new comps.

 

[Michael Tipton]

In case you need to refer to FNMA's seller's guide reference to the age of an appraisal.

http://www.allregs.com/efnma/index....0&tx=/&tp=FNMA/selling/part-xi/xi-ch-2/xi-201

 

[Mountain Man]

If it was a construction to perm, they don't need an update... just a final.

 

[Lee Lansford]

I thought that the 2nd part of the 1004D was for new data that reflects current value. This would include new comps.

Mike, both sections of the form may not be applicable to a particular assignment.

Lee

 

[Ray Miller]

If it was a construction to perm, they don't need an update... just a final.

Just talked with the processor at the bank. The LO wants to know the new value if it has changed. So this means a new comparable search, drive new comparables and up dating the original appraisal of 2005.

So would you charge for the drive time, research time on comparables, court house time on subject to be sure all has been recorded and no changes as to owner? More hours to me means more bucks, right?

 

[Joyce Potts]

It's asking you to establish or support ANY value, but to simply measure the finished improvements and make sure they were completed per the plans and specs.

How would you know if the value has changed unless you did the appraisal first?

It's the lender's call, not yours as to what the value is today. If they want a new appraisal, give them one and charge accordingly.