Order Says To "Stop And Call" If C5 Or C6

[joe lee]

dear lord.... this has all to do with AIR... a simple google search can help those less informed... and if you are that uninformed how did you pass your classes to be an appraiser?

1. Undue Influence - appraiser may feel compeled to follow this ridiculous request.. also this request is viewed as an attempt to influence the report
2. Targeted Outcome - AMC or lender is trying to avoid a specific outcome - exactly what AIR tries to prevent
3. Coercion and Inducement - Offering a reduced fee or "trip fee" based on appraiser informing client about condition at inspection is a no no
4. Bypassing Proper Process - direct communication at the inspection with the lender or AMC is a no no concerning anything to do with condition
5. Firewall Principle - AIR wants the appraiser to have nothing to do with the loan the outcome of the loan or anything to do with the loan.

I could keep going

 

[swandel1]

This is going to be an issue going forward and I know many are not aware or some are and just disregard.

If you recieve an order that states to follow guidlines set forth from FNMA, Freddie, FHA, USPAP but then states - if you observe at the inspection conditions that would make the home C5 or C6 to stop and call the client or AMC to see how to proceed - you potentially violate several key appraiser independence regulations, including Dodd-Frank, the Appraiser Independence Requirements (AIR), and the Uniform Standards of Professional Appraisal Practice (USPAP)

FNMA states the report should be "subject to" if the home has issues beyond normal wear and tear that impact safety ect.
Freddie also
FHA of course

Not to mention if the order states to complete on a FNMA form which requires you to follow the guidelines of FNMA regardless of if the client states they are not using FNMA

anyone delt with this issue?

A lot of non-GSE mortgage purchasers in the secondary market do not like below average condition properties in the portfolio. They bring less than prime dollar when trading these note packages.

 

[CGinMN]

dear lord.... this has all to do with AIR... a simple google search can help those less informed... and if you are that uninformed how did you pass your classes to be an appraiser?

1. Undue Influence - appraiser may feel compeled to follow this ridiculous request.. also this request is viewed as an attempt to influence the report
2. Targeted Outcome - AMC or lender is trying to avoid a specific outcome - exactly what AIR tries to prevent
3. Coercion and Inducement - Offering a reduced fee or "trip fee" based on appraiser informing client about condition at inspection is a no no
4. Bypassing Proper Process - direct communication at the inspection with the lender or AMC is a no no concerning anything to do with condition
5. Firewall Principle - AIR wants the appraiser to have nothing to do with the loan the outcome of the loan or anything to do with the loan.

I could keep going

“I’m sorry you feel that way. If you are uncomfortable with the terms of agreement, I’ll remove you from our panel at once.”

Probably the best solution here. Help clients solve their problems and get rewarded. Pretend like you know better and make their lives harder, and get sidelined. All of this can be done within the confines of acceptable appraisal practice.

 

[J Grant]

dear lord.... this has all to do with AIR... a simple google search can help those less informed... and if you are that uninformed how did you pass your classes to be an appraiser?

1. Undue Influence - appraiser may feel compeled to follow this ridiculous request.. also this request is viewed as an attempt to influence the report
2. Targeted Outcome - AMC or lender is trying to avoid a specific outcome - exactly what AIR tries to prevent
3. Coercion and Inducement - Offering a reduced fee or "trip fee" based on appraiser informing client about condition at inspection is a no no
4. Bypassing Proper Process - direct communication at the inspection with the lender or AMC is a no no concerning anything to do with condition
5. Firewall Principle - AIR wants the appraiser to have nothing to do with the loan the outcome of the loan or anything to do with the loan.

I could keep going

Do a U turn instead - what you list above has nothing to do with a client or AMC or lender violating AIR.
They may want to pay for the work done and cancel the loan, or decide to make the appraisal as is or make it subject to bringing it into C 4 condition. They are not forced to lend on properties.

 

[djd09]

it is not the appraisers job to help out the client...it is called being impartial

 

[glenn walker]

AI is about price pressure not assignment conditions. If you arrived and the house had been recently in say a fire like many hundreds in So Ca and it was not livable or a pile of ashes wouldn't you call the Clients to inform them ? Or would you continue to try and appraise it ? It's not a big deal. Just do it and keep the client.

 

[sputnam]

AI is about price pressure not assignment conditions. If you arrived and the house had been recently in say a fire like many hundreds in So Ca and it was not livable or a pile of ashes wouldn't you call the Clients to inform them ? Or would you continue to try and appraise it ? It's not a big deal. Just do it and keep the client.

I agree. You send the Client an invoice for the work you've done to that point... or, if you choose... you don't charge them at all. It's a business decision.

 

[TerryRohrer]

dear lord.... this has all to do with AIR... a simple google search can help those less informed... and if you are that uninformed how did you pass your classes to be an appraiser?

1. Undue Influence - appraiser may feel compeled to follow this ridiculous request.. also this request is viewed as an attempt to influence the report
2. Targeted Outcome - AMC or lender is trying to avoid a specific outcome - exactly what AIR tries to prevent
3. Coercion and Inducement - Offering a reduced fee or "trip fee" based on appraiser informing client about condition at inspection is a no no
4. Bypassing Proper Process - direct communication at the inspection with the lender or AMC is a no no concerning anything to do with condition
5. Firewall Principle - AIR wants the appraiser to have nothing to do with the loan the outcome of the loan or anything to do with the loan.

I could keep going

You might be too emotional to be an appraiser! Try reading the actual documents that matter, rather than doing "a simple google search" that offers nothing of value to a competent appraiser. If you can't read relevant content for its content (rather than for what you hope it means), how did you pass your classes to be an appraiser? When you have some experience as an appraiser you will be able to look back at this thread and marvel about how misguided and uninformed you were today!

 

[djd09]

the only appraisal bias i see...is bankster bias...roll over lap dogs

 

[djd09]

so if the so called 'client' asks you to stop and call them if you cannot hit the number...isn't that the same thing