To: A. Mortgage Company
Attn: Mr. Mortgage Broker
Dear Mr. Broker,
The heading on the form you emailed my office reads "Request for Appraisal." It did not say "Required Value Order." Your generic form does show an "estimated value", which is an unsupported assumption someone has made, along with an irrational "loan amount." For your information, an appraisal is defined as "the act or process of developing an opinion of value." If you had said that you needed to have a specific value, we would certainly have called you, to refuse this assignment. If this is what you wanted, no licensed appraiser could legally have taken on this appraisal assignment. I'm sure you're aware that appraisers are not permitted to accept an appraisal assignment with a predetermined value, as this is also a violation of USPAP.
Isn't it fortunate for you that the appraisers at Davis Appraisal Company have the required knowledge and integrity to complete a proper appraisal? We were able to inform you that the erroneous estimated value was considerably in excess of what homes with the Subject's features typically sell for in the area. You now have documentation that will give you the necessary knowledge not to make a financial decision that could have ruined your name and reputation. Thank your lucky stars that you didn't choose a non-professional appraiser who would have created for you a bogus value just to make the deal close. Can you imagine what could have happened to you? I'm sure you don't want to receive a long jail sentence or a stiff fine for perpetrating fraud on a secondary lender who would buy this loan on your say so.
We at Davis Appraisal do a stand up job for our clients. We supply them with facts and the truth. If you can't handle the truth, I would advise a different profession. The appraisal we supplied to you substantiates and supports the opinion that you paid us for. Please read it carefully and become familiar with it, as the homeowners (or homebuyers) will surely want to know why the value is not as they imagined. They may also be interested in the photos and other exhibits, which depict and describe how we saw the property when we inspected it. If you find any substantive errors in our appraisal, we will correct them at no cost and within 12 hours of verification.
Lastly, it is the policy of Davis Appraisal Company to supply a finished appraisal for your personal inspection and review before we discuss the appraisal in intimate detail. So, no -- we do not call our clients in advance to alert them when a value is "that off". That is precisely why we did a thorough and professional appraisal in the first place!
Again, thank you for the opportunity to be of service to your firm. We look forward to assisting you with other financial decisions in the near future.
Cordially,
Randall R. Davis, SRPA/SRA
Certified General R.E. Appraiser
