Market areas and Market Trends

[Dublin ohio]

Must be hard for you to comprehend.

Just unburdened by what has been

 

[Surf Cat]

Some reviewers want me to adjust based on contract date. They think they know better.

 

[Dublin ohio]

Must be hard for you to comprehend.

I consulted my word salad translation app. The best it can come up with is that it could possibly take anywhere from 1-6 months to close in CA.

 

[Fernando]

Almost all my comps close within a month of ratified offer. No need to worry about contract date.

 

[CGinMN]

This is a relevant working paper that was just published by FHFA:

Working Paper 24-07: Underappraisal Disparities and Time Adjustments to Comparable Sales Prices in Mortgage Appraisals | FEDERAL HOUSING FINANCE AGENCY

Author: William M. Doerner, Scott Susin

www.fhfa.gov

 

[chad hampton]

Wasn’t that’s what the 1004mc was for? Goddamn do these GSE bureaucrats and middle man managers have a lot of time on their hands. Hopefully the powers to be clean house soon.

Imagine thinking some made up graph or char means anything.

 

[Cob]

I want to retire

Did you go to University of Arizona???

 

[Terrel L. Shields]

How were these rolling trend data points determined? What does "Comparable sale 1=5% increase as of contract date?" mean? Is this the yearly appreciation rate the comparable sale experienced as measured from its prior sale?

Don't ask the hard questions and certainly don't answer them. Seasonally adjusting sales makes so little sense as to be idiotic.

 

[CGinMN]

If you can’t figure out how to support a market conditions adjustment to your comps, what good is your appraisal? If you can figure it out, then you can show it. What am I missing here?

 

[CGinMN]

This is stuff any competent appraiser should be doing this already. We should be delighted that the lesser ables will now be forced to do it. Let them whine, but don’t fall into their trap. This is good.

If anyone has a method they believe provides reliable measures of inflation during the trailing 90 or 180 days, please share it! Also, say your last reasonably comparable/relevant data is 90 days old. How to you support the projections of market conditions into the future?

I’ve never not been able to support a market conditions adjustment, that includes when I conclude it is 0%. As to the second part of your question, it sounds like Fannie is giving you an out. “Comparable(s) sales with a contract date that is recent in relation to the effective date of the appraisal will likely not have a time adjustment given the inability to identify a change in the market.”