Long Day today and then I have this phone call when I get in! Misleading Maybe?

[Ray Miller]

:new_multi:
AMC orders an appraisal house is on 80 acres, I call them and ask are you sure you want it all on 80 acres, answer is yes. Not hard to do.

Now one week later I get a call that they want it on house and ten acres. With the contributory value of the other 70 aces. Here in lies the problem. If I do it on a house and 10 acres it is a new appraisal. With that said the house and ten acres no doubt will be higher value for the house and 10 acres per acre, the house and 80 acres. So would this not produce a miss-leading report?

The house is parceled on 40 acres. Now I will need to check with the township to see if they required the 40 acres as a minimum or just what they require that is legal.

Anyway it means I will need to get additional sales comparables on 10 acres and additional vacant land comparables. I am thinking this is going to cost double what the original appraisal cost, depending on if I can do it or not.

Do you all know what I am asking or where I am going with this thread? I have been on the road for 17 hours today working on the Reservation and inspecting four new homes and driving my sales selected as comparables. I started before there was light in the eastern sky.

 

[Thomas Fiehler]

Ray-What 10 acres? It presents the same problem as the 5 acre assignment with a larger site.

 

[CANative]

How are you and the client going to deal with the hypothetical condition you will need in developing the opinion of value? And how are you going to deal with the scope of work issue if the appraisal is to be reported on a Fannie/Freddie form when both of those entities state that "house and 5" appraisals are unacceptable appraisal practice?

 

[Webbed Feet]

Do I really have to read more about contributory value of acreage that hypothetically doesn't exist anymore?

:Eyecrazy:

Webbed.

P.S. ALWAYS get SOW matters in writing the first time!

 

[CANative]

Wouldn't you hypothetically chop it off and then value as though it was a two lot bulk sale, somehow discounting it even though you have no two lot sales in that configuration?:icon_mrgreen:

 

[Michigan CG]

House is on 40 acres.

Home owner owns an additional 40 acres.

You are to appraise a house on a hypothetical 10 acres (which 10 acres?)

You are to consider an additional 30 acres on the subject parcel and then the other 40 acres on one or more parcels?

This is in rural Wisconsin.

And this is through an AMC?

This is a 75 page narrative assignment.

Fee = $2,500.

How do you get this garbage?

 

[Bama Bayou]

Please provide a legal description for the house and the ten acres along with a legal for the 70 acres.

My fee will be xxxx for the house & ten and xxxx for the acreage.

Have a nice day and looking forward to hearing back from you.

 

[RSW]

I don't want to ruffle you feathers. But, I would question if your license would allow you to appraise this type of property in the first place. Is this a farm or agricultural property? Is it an income producing property? Is farm equipment being included in the value? There are lot of questions that may need to be answered. I may be wrong and If I am, I stand corrected.

 

[Mike Garrett RAA]

It can be done in compliance with USPAP!

Long day? I started at 6am and it's now 11:30pm, just finished writing my last report for the day. Still have 5 more to go.

 

[Ray Miller]

I don't want to ruffle you feathers. But, I would question if your license would allow you to appraise this type of property in the first place.

The answer to this is yes and no in Wisconsin. If it is just a single family home no commercial then I can. If it is ag production then I would need one of the CG I have worked with for the past five years to work with me on it. Is it beyond my scope of knowledge no, it is complex for me to do as a single family or a producing Ag property no. Is this a farm or agricultural property? No. Is it an income producing property? No is farm equipment being included in the value? No where are lot of questions that may need to be answered. I may be wrong and if I am, I stand corrected.

If this would be a farm property, I would like this past week or so, pass it off to another appraiser ASMARA or a CG that works Ag property. I have passed off several that ranged up to 850 acres commercial Ag.


=========================

"This is in rural Wisconsin.

And this is through an AMC?

This is a 75 page narrative assignment.

Fee = $2,500.

How do you get this garbage? "

Common in Wisconsin and I would guess in other areas of the country as well. This came from an AMC, one of my better ones. The last two appraisals were done on 10 acres. Would this tell you something about the quality of work that is being done in the area???? I see this all the time on reviews, they just grab and run all the way from Licensed to CG it makes no difference to license level. I think all they look at is it's an appraisal and bucks in my pocket if I get it done and no one will ever know.

When I received this one I double check the scope of work with the AMC their response was to do it on the 80 acres and single family home. This would prose no problem for me as it would be a non-complex appraisal and 60% of my work is property like this. I was with in my original SOW, now it comes back from the bank changed as to SOW. Not so much complex, but way more additional time and it should be done as a narrative now, I would agree. But I have many templates for that from others I have done in the area. Of course the fee should be a lot higher now. I will not apply the original fee to the new appraisal assignment. Will I get it; I doubt it as to the assignment. They will find someone else to do it like they want it done.

==============================

"Do I really have to read more about contributory value of acreage that hypothetically doesn't exist anymore?



Webbed.

P.S. ALWAYS get SOW matters in writing the first time! "

Not really I posted this because I was tired and really getting pis s ed off last night. Not only did I have this one on the acreage, but one on a MSI (merchant site inspection) that I had done or my route Monday, in home business, they came back that fee had been lowered to $15 and they wanted additional pictures of the telephone the person used to call in credit card numbers, pictures of the home house number on the house (fire numbers on a post at the driveway is what is used in our area), not a sign post in the driveway with a fire number, complete pictures of the interior of the house (all rooms) and home office, showing a bathroom off of the home office. Commercial signage posted on property. I took pictures of the commercial signage on his truck. That is all the man has, a truck, a wireless phone at the kitchen table where he books is driveway repair work. He said business was off and he thought that if he took credit cards it might help the slow down. What a pain in the butt. This will end my MSI on my appraisal routes now.

I have it down and understand it quite well, but it keeps showing up on my desk as request to do it or as review work. Yes I get raked over the coals on the reviews I fault. I can only think that they get another appraiser to rubber stamp the review that they raked me over the coals with.

-------------------------------
"How are you and the client going to deal with the hypothetical condition you will need in developing the opinion of value? And how are you going to deal with the scope of work issue if the appraisal is to be reported on a Fannie/Freddie form when both of those entities state that "house and 5" appraisals are unacceptable appraisal practice? "

New assignment, new scope of work. It can't be so it will need to be on an
AI form or a narrative format.

But someone else will end up with it, that dose not have their as s in front of the state board. Who will ever know? The AMC will have fulfilled their order, the bank will have their appraisal, everyone will be happy but Ray, because Ray will now be taken off the AMC list because he will want paid for the first appraisal and he would not make the CORRECTIONS to the original appraisal and he wanted more money. I think most appraisers know this is common and will not change one bit. Who cares?