More On Free Comp Checks

[Pamela Crowley (Florida)]

Richard, I have a big target painted on that one and so do numerous state AG offices.

 

[JSmith43]

I looked over Right on time Appraisals web site.

There's not a darned thing I can conclude except that the aren't afraid of rhetoric.

I give them the benefit of the doubt that when the information is input on the value check screen that what comes back is an explanation of the process, scope, basically the nature of the service. I assume it is the front end for an AVM, but maybe it is handled by unlicensed individuals in states where that is permitted.

I see an argument for disclosing the nature of the value check up front, but what fool would think they are getting a real appraisal....for free? That would be the argument. I just don't see it as a blatant violation, perhaps an arguable mini-abuse. It all depends upon the process and disclosures with the performance of the ill defined value check.

No one would get upset if the Value check link would say, get your free current assessor's valuation by entering information here. Or, get a free AVM (Zillow) here.

It's a busy day or I would have filled out the form and reported back They might be guilty as sin cranking out free appraisals...oops, that's legal.....I mean, they might not keep a signed cert in a file and their work.....all unknown.

 

[phoebe33764]

"No surprises from us! All orders are comp-checked prior to inspection and if any value issues arise, you are notified immediately."

Very nice and illegal.

 

[JSmith43]

"No surprises from us! All orders are comp-checked prior to inspection and if any value issues arise, you are notified immediately."

Very nice and illegal.

I just asked the site owner to come here and reply. I can defend my opinion, can you defend your statement of fact?

 

[Mister Ed]

My short and simple answer

"Thank you for your call, but that is a service we do not provide."

When they ask why, I just tell them that it is a business decision. We found that such a service is not profitable for us.

Now, as gas prices and the general cost of living goes higher and higher, I am not interested in doing any appraisal related work for free. I simply cannot afford it.

If a caller does not like my answer, that is their problem.

 

[Mister Ed]

wutts a desktop?

Where my computer monitor and a bunch of papers are sitting....

 

[Steve Owen]

No one would get upset if the Value check link would say, get your free current assessor's valuation by entering information here. Or, get a free AVM (Zillow) here.

That's right, because those things are not defined as appraisals. However, when an appraiser provides a value service that includes an opinion of value, that is defined as an appraisal.

As for the argument that only a dummy would consider such a thing as an appraisal, well, count me in... I'm an idiot! Because, that is exactly what it is... when an appraiser provides an indication of value, that is an appraisal. It's just not a very good one if done the way Skippy typically does a comp search or value check.

Now, if they do that in compliance with Std 1 and Std 2, then I really have no problem with it. Giving away free work is a business decision. But, if they don't meet USPAP requirements, then they should be sanctioned, up to and including the possibility of being revoked.

BTW, there is nothing wrong with appraising a property to the maximum possible value, or whatever their wording was... it just should not ever be confused with market value, because that is not what it is.

 

[Webbed Feet]

To all,

Personally, what I know is being completely forgotten in responses in this thread is the Ethics Rule "Management" section and what it says about advertising.

Webbed.

 

[JSmith43]

To all,

Personally, what I know is being completely forgotten in responses in this thread is the Ethics Rule "Management" section and what it says about advertising.

Webbed.

I only have 2006 USPAP in front of me, and assume it is the same currently.
False, misleading, or exaggerated advertising is unethical. Unfortunately, that sentence reads like an oxymoron. What is advertising supposed to be?

That is the best argument against the site, but also a weak argument, since .....well, the impossibility defense comes to mind. What if you had to describe the things you did well (perhaps, a specialty), but were also required to demonstrate humility at the same time?

See what I mean? Advertising is not prohibited Apparently, it can't come with the normal open ended expectations, when the focus is an appraiser?


I understand why this type of advertising pi$$es many of you off. It symbolizes certain....uh....er....practices and practitioners that do indeed exist. However, I object to wasting the bandwidth on outing semi-trivial examples of what is hardly a slam dunk provable "illegal" activity, when we are all need hip deep waders to wade through the countless clear examples out there

The site owner hasn't posted a defense yet, even though I notified him that his site was being slimed. Hmmmm. Doesn't look too good. Maybe not in the mood to mud wrestle, or maybe not so proud of the site? Hard to tell.

 

[Webbed Feet]

Mentor,

If you had examples, and completely understood what was being done, I feel you would not be so unabiased yourself over it. Because I don't feel it's any better for the brokerage side than it is the appraiser side.

Webbed.