Let the borrower order it. The case for it.

[Greenback]

...Imagine joe homeowner calling 20 ads from the yellow pages and comparing prices, or grilling each appraiser choosing the appraiser he thinks will give him the highest value. Imgaine the time you will wate, talking to dozens of homeowners a week and getting no orders from them. Most homewoners, i try to avoid talking to them much at an assignment, if they do start talking about the market, it is clear they think the appraiser should be looking for the highest value, they even say it, and try to back it up by rattling off sales their neighbor the realtor told them about, pointing out the million dollar new home being built down the road etc.

I have different opinions. I like homeowners and consumers being curious, asking questions, and noting that a Realtor came to them acting as though their CMA sales technique influenced them over logic and professionalism. Unfortunately, there are too many that ignore Individuals whom are truly concerned, letting these Individuals wander, being sold and further creating a case that Real Estate Appraisers have no interest in public acknowledgement.

If I cannot properly explain to the general public what the market is saying (interpretation), then, maybe I shouldn't hold a Real Estate Appraiser Trainee License. If an Individual cannot fathom the possibility of logic holding more weight than nothing but a sales person's attempt (they are called Realtors), through a CMA or sales talk, then this Individual may consider a cheap, lazy, ingnorant, Real Estate Appraiser whom shouldn't be an Appraiser in the first place; unfortunately subconsiously in many cases. With the review process being strongly enforced, which is being debated as of right now in this thread (enjoying it from my view), no matter who desires the study of the market, this ignorance and laziness may not prevail in large amounts.

Many homeowners and consumers have no idea that a CMA is worthless. Or, in another matter, an AVM (in most cases). If a Real Estate Appraiser is unwilling to educate or acknowledge the public's participation the public will always be vulnerable to be sold to the idea that Realtors and other professionals are more equipped to handle their issues/and or problems that face them, thus creating a far greater perception which will haunt the profession as time goes by. This perception is already strong -so few tend to fight this.

I listen to too many say that, the public is just a thorn in their sides and politely dismiss them as they may be too dumb, in so many words (not quoting). This bothers me; hearing that so many suggest that the general public doesn't have the intelligence to read an Appraisal nor have the comprehension skills to understand; but, taking this into account, has anyone ever thought that, if someone is unable to interpret the market as they have read it, then something may be wrong (not all the time, though - I'm not generalizing).

The general public is just as smart as any professional (with different specialization) and, their level of understanding may only go as far as the environment may introduce to them.

The general public is more understanding than the status quo, in my eyes. If the appropriate professional sat down with a home owner or consumer, without outside sales influence being first in line (In essence. Including LO/MB's, and banks), respect is a given if done properly/accordingly. I am anxious to consult with the general public, hoping to provide a sense of direction and truth, countering the social techniques used to rid the Real Estate Appraiser.

Human nature, regarding someone being sold by several salespersons without the consulting of the appropriate professional, and only seen in their eyes, during the course of business, fewer than the other professionals (mostly salespeople) without any social engagement, may only add to the profession's problem. Due to the existing and built up propaganda, the general public, in so many ways, only know of the status quo, seeing them as the authority of all.

I disagree that if a homeowner starts talking about the market they only want a higher value. Sales persons of all types leave the general public wanting. Some leave the public wanting a higher value because they are sold to the fact that a higher value is in their own best interest. For the general public observing the true/real/appropriate professional only for a limited time, then finding out that this professional says no, this is not what the home or land is worth, the initial motivation being implemented is far greater on their behavior than the truth being reported after the fact. The process and the intended user/client (status quo) leaves another hole in which the public will feel betrayed, after most of the process has been executed; leaving more questions on the table (building more tension for the salespeople to exploit).

If I am wasting my time talking to the general public, I may as well throw my license in the trash. If a home owner shops for an Appraiser for the highest value, I have a sense that this behavior will be caught quicker than it would be if a powerful hand is dictating the process, such as the status quo. The general public will have a transparant incentive to complain and, more will come to light in the form of an unintended enforcement. An angry homeowner is more likely to complain than the status quo because they care more about their own investment. Whether the home owner is correct or not in their argument, something wrong may be clearly seen. The general public is more likely to tell on themselves as well as the RE Appraiser all at once, and more likely to care in greater amounts to reach out to the appropriate professional before or after the complaint. Their behavior is more likely to correct themselves in due process than the status quo, in my eyes.

I trust the public more so than I do the status quo. There will always be an Individual who will cause problems because greed is common. However, in my eyes, if the public were measured on a tipping scale, the good will outweigh the bad, when undue influence is a typical warning for all. Without the proper respect/understanding/meaningfullness, no process for the Real Estate Appraiser may be efficient.

Sincerely,

 

[Lee Lansford]

...Only when an "appraiser" is threatened with an automatic review by a qualified appraiser will the "appraiser" start to rethink their logic and work ethic....


PE, I respect your optimism.

Think about: Each and every appraisal...each and every small town and rural area across the country...first an appraisal and, next, a field (I assume this is what you meant) review of the appraisal. All this because we can't depend upon licensed appraisers to provide credible appraisals.

Lee

 

[john snyder]

Lee,

I'm sure that a general comment about not trusting licensed appraisers is not what was meant. Maybe experienced licensed appraisers have been given shortshrift as they know some jobs take longer and deserve an increased fee just on time alone.

Recently saw a fee sheet from a company based on value. Hmmm seems like since about 1975 I was instructed the fee should have very little to do with the value but rather the difficulty(todays scope) of the job.

Corporate has been rewriting the rules based on speed alone. When was the last time a homeowner/borrower really needed 48 hours service. I mean really are we in that big of hurry?

This only promotes a mistake ridden industry. Right now most homeowners/borrowers are not even sure they are going through with the deal so whats the rush.

The rush is to get the money before the homeowner/borrower changes their mind or changes mortgage companies.

In Mi it is not legal to give value checks still I get the "hey can you hook me up" ( how I abhor that phrase) to this day.

jbs