is anyone else getting push back from Wells and UsBank regarding adjustments with Synapse/Spark for appraisers? I have had reports pushed back on because these two banks have reviewers not accepting the reports due to adjustments obtained using Synapse/Spark. What are your experiences ?
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Push back from Wells and UsBank
- Thread starter litchke
- Start date
Dublin ohio
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- Ohio
Are you showing and stating the results are from Synapse/Spark in your report
yes, one reviewer said they are concerned because there wasnt enough support? even though the spark results were attached directly to the report.
Surf Cat
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- California
You were the one who had the problem before right?
Are your adjusted sales out of line with the gross sale prices?
Do the adjusted sales have high net an gross adjustment percentages?
Which methodology did Synapse show had the strongest indicators (paired, sensitivity, linear)?
Was that methodology the same as the initial complaint?
Lastly, have you contacted customer support @ Synapse? Could be a simple tweak.
Tim Hicks (Texas)
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Do the adjustments fall in line with sensitivity analysis for market reaction for this specific market area? I have noticed some Spark adjustment suggestions (specifically pool adjustments too high) don't fall in line with every neighborhood.
Joe Flacco
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That is great news
Surf Cat
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- Apr 21, 2003
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- California
Lol.....why is that great news?
Tom D
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- Pennsylvania
Mostly spark is a good start point to see if your missing something. Spark uses regression, what does the underwriter want to see. I don't know what they are asking. Maybe more minutia details on each adjustment. I will say, i do not put a lot of adjustment charts in my report. Only the ones that with1 look you can immediately see the answer.
It's possible that you are giving too much info, for which they have all the time to not understand properly. More is good for the work file, but don't make it more confusing to the reader. At most i use spark for time and sensitivity analysis. I use the GLA excell worksheet, found here, for a GLA adj chart in the report. Of course, it doesn't always work the right way, so i can adjust for sensitivity. I only want something in the report that the person reading can understand it immediately.
Look at appraisal functionality and how you want the reader to easily understand what you want them too see. If that doesn't work you lender tolerance level is to high. At that point my level of tolerance says goodbye to the annoying lender.
as posted before, maybe it can help you. Please remember i'm big urban little row homes appraiser:
Generally, GLA adjustments are treated as contributory value, not cost to build. The GLA adjustment is the last adjustment made on the market grid. The proper SF (GLA- gross living area) adjustment is that which tightens the range of adjusted values, that results in the smallest range of adjusted values, determined by using simple regression & sensitivity.. I followed the ANSI Z765 standard when I measured the house. However, with obstacles around the house that precludes direct measurements, such as junk, debris, landscaping etc, and set-backs on upper levels or steep inaccessible walls with drop-offs, GLA is estimated and not guaranteed. The ANSI Z765 standard is not intended to supercede any locally imposed system of residential measurement. It may, in many places around the country, challenge longstanding paradigms. The sketch is an approximation, and may not be exact.
Lot adjustments, if any, are based on:
1. usefulness of the lot minus the footprint of the dwelling, differences in site utility & adjusting for, what the market will pay for it. Subject land to value ratio % is typical for the area. Distance from neighbors can affect lot value.
The adjustment for a 1/2 bath was $2,500, locational factor. Larger amount for a full bath. This is because you can basically put a 1/2 bath almost anywhere in a dwelling. Whereas, a full bath cannot just be added anywhere. It requires more cost, more functional space, and has more value when near bedrooms. The full bath, was adjusted on the comps using cost new $15,000 - minus any depreciation, and/or location influence.
The Appraising Residential Properties, 4th Edition, Appraisal Institute, "Other Quantitative Adjustment Techniques”, Page 344 further states: “…In instances where paired sales analysis is not conclusive, the appraiser may apply judgment to resolve the problem." The adjustments resulting from the appraiser's judgment is based on a study and understanding of historic or past buyer preferences. It further suggests that cost and depreciated cost data may be used with the appraiser arriving at the value contribution (not cost new) of certain features. The process of supporting the contribution of individual variables (features) is limited and often difficult to quantify, with adjustment deemed to be qualitatively supported unless otherwise addressed. All methods of supporting adjustments are usually limited by inherent uncertainties within the applications themselves.
Adjustments, in this report, are based on a combination of Paired Analysis with Sensitivity and/or Trend Analysis & on a study and understanding of historic or past buyer preferences. Support for adjustments may be based on multiple applications and rarely do two methods return identical results with a high degree of accuracy. While not always 'strongly' independently supported, collectively, the adjustments serve to narrow the adjusted value range of the comparables in support of the subject's 'most probable selling price' commensurate with the definition of Market Value set forth herein.
It's possible that you are giving too much info, for which they have all the time to not understand properly. More is good for the work file, but don't make it more confusing to the reader. At most i use spark for time and sensitivity analysis. I use the GLA excell worksheet, found here, for a GLA adj chart in the report. Of course, it doesn't always work the right way, so i can adjust for sensitivity. I only want something in the report that the person reading can understand it immediately.
Look at appraisal functionality and how you want the reader to easily understand what you want them too see. If that doesn't work you lender tolerance level is to high. At that point my level of tolerance says goodbye to the annoying lender.
as posted before, maybe it can help you. Please remember i'm big urban little row homes appraiser:
Generally, GLA adjustments are treated as contributory value, not cost to build. The GLA adjustment is the last adjustment made on the market grid. The proper SF (GLA- gross living area) adjustment is that which tightens the range of adjusted values, that results in the smallest range of adjusted values, determined by using simple regression & sensitivity.. I followed the ANSI Z765 standard when I measured the house. However, with obstacles around the house that precludes direct measurements, such as junk, debris, landscaping etc, and set-backs on upper levels or steep inaccessible walls with drop-offs, GLA is estimated and not guaranteed. The ANSI Z765 standard is not intended to supercede any locally imposed system of residential measurement. It may, in many places around the country, challenge longstanding paradigms. The sketch is an approximation, and may not be exact.
Lot adjustments, if any, are based on:
1. usefulness of the lot minus the footprint of the dwelling, differences in site utility & adjusting for, what the market will pay for it. Subject land to value ratio % is typical for the area. Distance from neighbors can affect lot value.
The adjustment for a 1/2 bath was $2,500, locational factor. Larger amount for a full bath. This is because you can basically put a 1/2 bath almost anywhere in a dwelling. Whereas, a full bath cannot just be added anywhere. It requires more cost, more functional space, and has more value when near bedrooms. The full bath, was adjusted on the comps using cost new $15,000 - minus any depreciation, and/or location influence.
The Appraising Residential Properties, 4th Edition, Appraisal Institute, "Other Quantitative Adjustment Techniques”, Page 344 further states: “…In instances where paired sales analysis is not conclusive, the appraiser may apply judgment to resolve the problem." The adjustments resulting from the appraiser's judgment is based on a study and understanding of historic or past buyer preferences. It further suggests that cost and depreciated cost data may be used with the appraiser arriving at the value contribution (not cost new) of certain features. The process of supporting the contribution of individual variables (features) is limited and often difficult to quantify, with adjustment deemed to be qualitatively supported unless otherwise addressed. All methods of supporting adjustments are usually limited by inherent uncertainties within the applications themselves.
Adjustments, in this report, are based on a combination of Paired Analysis with Sensitivity and/or Trend Analysis & on a study and understanding of historic or past buyer preferences. Support for adjustments may be based on multiple applications and rarely do two methods return identical results with a high degree of accuracy. While not always 'strongly' independently supported, collectively, the adjustments serve to narrow the adjusted value range of the comparables in support of the subject's 'most probable selling price' commensurate with the definition of Market Value set forth herein.