Need your input...this is great!

[Dee Dee]

I have a client who recently opened up her own business and has just hired three new LO's that she's training. I spoke to her today and she asked me if I would take an hour or two to talk to her trainees about the appraisal process and allow them to ask me any questions they might have. She wants them to understand what my job is and how we will work together in the future. (JUMP BACK, JACK!)
Have any of you ever done this before? I'd like to dazzle these rookies with the best possible information to ensure a great future working relationship, and hopefully instill a good attitude about appraisers in general. Should I start out just by explaining the forms? Standards and Ethics? Remember, I only get a couple of hours, so it's gotta be as informative as possible.
Any input would be greatly appreciated.
Thanks in advance.

Dee Dee

 

[jtrotta]

I would think you would have to hit the high points as to what "we" do and how it's accomplished. 8O

They'll call with more questions anyway, you'll probably be doing that for some time - Good Luck :!:

 

[Mountain Man]

When I have talked to Realtors before, you would be surprised as to how many have NEVER seen an appraisal, new LO's are probably the same. I would talk about the process, ethics, the client-customer relationship, and take some sample report for them to look over. Explain the cost approach, market approach and what depreciation is. Give them some in site as to what UW’s look for. That will probably give you an hour worth alone, with out going into detail.

Most of all, say thank you to your best client. The fact that they want you to help train LO’s is the nicest complement you could receive!!! :wink:
Mell.

 

[Jeff Horton]

Way to go Dee Dee!! I think you have gotten some good input so far but stick with the basics. Use this chance to explain to them the basics of how you determine value and why you do not just come up with a number out of thin air. I think I would stress sales comparisions and what makes a comp a good or bad comp. Hit the problems areas in you market so they will know when someone comes in that the appraisal is not going to be easy. What an opportunity you have! I am impressed!!

 

[Jo Ann Meyer Stratton]

Offer to occasionally let a loan officer or underwriter follow you around for a few hours, making sure they observe the research and verfication processes. When I worked in a large office, the appraisers took turns every few months to have a mortgage person "shadow". They would follow and observe the total process from taking the order from the client, research, field work (holding the dumb end of the tape and warding off the dogs), drive the comparables and subject neighborhood, then back to the office to observe the additional research and verification, watch a report being written up, listen to all the phone calls to gather info, see the report printed out, packaged ready for delivery. We would hear back from those companies and individuals for years afterwards.

 

[Dee Dee]

Mell,
You're right...it is quite a compliment, though it took me a second to realize it. My first thought when she asked me if she could give me a platform was of a dunking tank out in the employee parking lot! :?
This is a wonderful opportunity and I want to make the best presentation possible.

Keep the ideas coming everyone...so far I like what you've been suggesting!

 

[Will Granger]

Dee Dee Dyna (Flow),
Yep. The basics. "This is the form. We have to estimate market value based on homes in the neighborhood. We value real estate. Not closing costs. We have a license that is subject to suspension for violations. Refinance appraisals are scary. Dividing the loan amount by 80% is the target, but the may be out of reach. Don't wait til the last minute to order the appraisal, but if you get in a jam, I'll help you out.
The final value is this number down here on the second page. Look at the comments about the physical condition. That may "flag" something before it gets too far. The appraiser has all the information in the world. If you LO's have new or different information that will help pump this up, I will be glad to look at it. The process is simple. Let's keep it that way.
Now who's ready to go to lunch? I'll buy this time." You seem like a smart la---dy, as Forrest Gump would say. Don't try to razzel dazzel or they will frazzle. Have fun and let us know how it turns out.

 

[Pamela Crowley (Florida)]

Dee Dee,

Great opportunity! I've done quite a few of these, a couple with lenders and many with Realtors, ususally at their Realtors Orientation or the beginning of the caravan when I brought 'breakfast' of donuts, cut fruit, yogurt, etc.

The first thing I do is ask for the definition of 'Market Value'. After the standard answers of whatever you can get on the contract.... I have a flyer with the definition taken from the statement of limiting conditions that I pass out and explain. The discussions regarding what is a 'typical' buyer and seller, concessions that include raising the sale price so the seller really isn't paying any concessions, 'arms-length' transactions, etc. can really get em going.

I also give each a copy of the statement of limiting conditions and appraiser's certification. Under appraiser's certification, I point out #1, #2, #5, #6; Also #6, #8, #9 and #10 under Contingent and Limiting Conditions.

Everyone always wants to know about 'standard' adjustments and get really upset when you tell them they aren't 'standard'.

This will go over 2 hours if you let it. I also bring the current USPAP book with me and refer to it. Nobody else really wants to look at it.

Make sure you tell them that the cost approach total is not the appraised value! I've run in to this more than once!

I love doing these presentations and am going to get my 'teachers certification' from Fla Assoc of Realtors so I can have a class on this offered through our board.

Have FUN.

 

[Will Granger]

Pistol Pam,
I taught MLS orientation for 15 years. The name recognition was great as well. Appraising is becoming a sideline to our passions!

 

[Dan/Fla]

All the above are good. If the LO knows upfront that what the borrower, thinks the home is worth, is not always the correct; and true market values are lower, at times, then half the future battles with LO might be easier.

(hint)

I always take Donuts or Bagels to these. The reason for this is 2 fold, one is they want me to finish so they can eat, but more than that I know that LO change companies often, and to be able to build a repore with a newbie, and follow them from job to job, hopefully getting others to use me in their new company, is a great way to keep my company growing.