More On Free Comp Checks

[Ken B]

You are just messing with us, aren't you? You don't really believe the stuff you write on this forum, do you? You are just trying to pull our chains. That has got to be the answer. You are just being a comedian.

 

[fifteen]

Let me put it this way ken, California agrees with me on the USPAP definition of what an appraisal is. I'm sure they're joking too...

 

[Offshore]

Prove that I said it - you can't. I'm supposed to have some internal moral definition of what an appraisal is and never cross that line? Sorry, I don't see USPAP as the holy grail of appraising.

Then what is your holy grail? Let me guess, is it the LO's estimate of value?

 

[fifteen]

Offshore : I guess you could say my holy grail in the USPAP definition of appraisal is taking the meaning of what's being stated literally and not reading anything more into it than what's been stated.

I really can't believe you guys are having such trouble understanding the literal translation of what's being stated. I don't think USPAP was meant to be extrapolated into whatever terms suit your opinions. It is what it is and that's all it is. Nothing more

Maybe they should hand out magic wands that if you wave there's an appraisal done. Seems just as logical as saying that without a numerical expression of value or a value range by the appraiser there's an appraisal.

Originally Posted by PropertyEconomics
Can you hit $250,000 ?
Whats the least you can live with?
Around $190,000.

THAT IS DOABLE ... .the number was expressed and you spoke it. You spoke against a benchmark ... in this instance Equal To or Greater than $190,000.

Appraisal has been done.

 

[Offshore]

Let me put it this way ken, California agrees with me on the USPAP definition of what an appraisal is. I'm sure they're joking too...

Is that a boast or a confession? Coming from a state where the number one industry is producing upside down mortgages, you may want to consider seeking out better references.

 

[Ken B]

CA states that an appraisal is required for a FRT. CA says an appraisal must be written. CA states that USPAP is the minimum standard for appraisal practice. USPAP states that verbal appraisals must be documented and the workfile must have a signed certification and information necessary for a summary appraisal report.

CA's rules are consistent with USPAP requirements and FIRREA.

CA rules state when an appraisal is required. That does not mean that if a licensed appraiser states an opinion of value for anything other than an FRT, that an appraisal has not been performed. That is simply illogical.

Regardless, to my knowledge, you are not licensed in CA and twisting another jurisiction's rules to support your erroneous position is an admittance of the weakness of your argument.

You can fool yourself, but you fool no one else.

 

[fifteen]

OK, make stuff up offshore - that sure proves your point. I'm afraid Florida takes that crown. I don't know how you guys got so brainwashed - probably from the long time posters here. I'm sure this has been discussed many times here over the years. Too bad the wrong conclusion was reached and accepted as "law" by most.

Subprime Loans

• Nearly 64% of subprime loans had least one late payment over the past year. In California and Florida nearly 67.1% and 71.8% of subprime loans had at least one late payment over the past one year.
• Overall 50.2% of subprime loans are in risk of default based on prorate share (based on weighted average foreclosure / past due loans and REO loans for each state with weights based on average loan outstanding at each state).
• Nearly 48.6% of current subprime loans outstanding were originated on / before 2005 while 36.3% and 15.1% of loans were originated during 2006 and 2007, respectively. With S&P Case Shiller declining by nearly 19% , 29% and 29% since 2005, 2006 and 2007, respectively most of these loans are currently underwater in view of the fact that average LTV at origination for Alt-A loans was at 84.2%.
• The current LTV for subprime loans is at 115% with Nevada and Arizona having the highest LTV at 154% and 146%, respectively.
• Overall net charge offs for subprime loans (cumulative 2 years assuming current delinquent and foreclosed turn into expected charge-off over a two year time horizon) is expected to reach as high as 41.4% significantly higher than Fed's implied loss rate assumption of 21%-28% under the adverse case scenario. The Fed's adverse case and base case assumption for subprime charge offs is even lower than current loans past due which is at 28.9%.

 

[Steve Wolfson]

I haven't heard anyone say that a "comp check" free or not, is an appraisal. If you chose which comparables to use you have determined a value range. That is an appraisal and you must fulfill all of the requirements of USPAP for an appraisal.

 

[Ken B]

Offshore : I guess you could say my holy grail in the USPAP definition of appraisal is taking the meaning of what's being stated literally and not reading anything more into it than what's been stated.

I really can't believe you guys are having such trouble understanding the literal translation of what's being stated. I don't think USPAP was meant to be extrapolated into whatever terms suit your opinions. It is what it is and that's all it is. Nothing more

Maybe they should hand out magic wands that if you wave there's an appraisal done. Seems just as logical as saying that without a numerical expression of value or a value range by the appraiser there's an appraisal.

[/i]

Again, your assertions are not only not supported by the facts, but you are most guilty of that which you accuse.

Perhaps you can show where in USPAP it states that the numerical expression or benchmark relating to the appraiser's opinion of value must be stated by the appraiser. This should be very simple for you, if it exists. Where does it state in USPAP that the appraiser must express the number or establish the benchmark? Because if you can't show where it specifically states that the appraiser must express the number or establish the benchmark, then a literal reading must indicate that any party may express the number or establish the benchmark.

The trick is that, until an appraiser opines upon that expressed number or benchmark, they are only numbers or benchmarks. When the appraiser opines upon that information, an appraisal is performed.

 

[Ken B]

Is that a boast or a confession? Coming from a state where the number one industry is producing upside down mortgages, you may want to consider seeking out better references.

Ed is from WA, not CA. He was merely trying to twist another jurisdiction's rules into something which he thought supports his argument.