Question About Restricted Appraisal Report Under Std 2-2b

[Sid Holderly]

There is one form that looks very similar to a 1004 and there are 3 GP forms I use depending on subject, user, use to get the best fit. For a listing appraisal at least a GP residential short form. GP Consumer if they want more detail. GP residential looks a lot like a URAR, a GP Restricted is also a possibility. Remember any one format may not have all the needed addenda and other addenda pages are likely to be needed.

 

[DWiley]

I used to do a lot of Restricted Reports for non-lending work (pre-listing appraisals for agents, investors, etc.). I used a simple template that I created in Word. That was much easier than trying to force it onto a form that was designed for some other purpose. Using the report content chart in AO-11, it only takes a few minutes to create a good template.

 

[Terrel L. Shields]

it only takes a few minutes to create a good template.

But how long does it take to create a good workfile to support the conclusions and detail enough sufficient to write a summary report? (not that they exist anymore..)

 

[DWiley]

But how long does it take to create a good workfile to support the conclusions and detail enough sufficient to write a summary report? (not that they exist anymore..)

It takes the same time that it would take for an Appraisal Report The time savings is not in the workfile, it is in the SOW that you don't have to do for a non-Fannie assignment.

 

[Terrel L. Shields]

The time savings is not in the workfile, it is in the SOW that you don't have to do for a non-Fannie assignment.

Which begs the question of when is too little really too little? Where is the cut off to being insufficient SOW to be credible and who determines that? How do you know if the line is not clearly drawn? That really is the question I have regarding restricted and why I avoid them. I really don't know when you get to the point that there is simply "too little" to say or who gets to say short of being tested before a state board.

 

[DWiley]

Which begs the question of when is too little really too little? Where is the cut off to being insufficient SOW to be credible and who determines that? How do you know if the line is not clearly drawn? That really is the question I have regarding restricted and why I avoid them. I really don't know when you get to the point that there is simply "too little" to say or who gets to say short of being tested before a state board.

Easy solution - don't diminish SOW at all, just cut back on report content. Honestly, my fees for those short Restricted Reports was almost the same as my 1004 fee. The clients just didn't want a bunch of extra crap (e.g. no maps, minimal photos, etc) Owners know where they live and they know what their home looks like.

 

[Peter LeQuire]

Easy solution - don't diminish SOW at all, just cut back on report content. Honestly, my fees for those short Restricted Reports was almost the same as my 1004 fee. The clients just didn't want a bunch of extra crap (e.g. no maps, minimal photos, etc) Owners know where they live and they know what their home looks like.

They generally only want to know what it's worth.

 

[DWiley]

They generally only want to know what it's worth.

Yep. And sometimes they want a sketch/GLA calculation if it is pre-listing.

 

[George Hatch]

Credibility is judged within the context of the intended use, not based on a fixed external benchmark.

My state appraisal regulator is sufficiently USPAP savvy that I'm not paranoid about them moving the goalpost after the fact. If you're unsure about what your state board will do then that sounds like a local problem.

Maybe it would be simpler for you if your state just outlawed reports under SR2-2.b.

 

[DonRico]

I downloaded those GP forms in alamode,.they are pretty good for this sort of thing. The ones I saw looked like the old 1004 form.

alamode has a GP Residential and a GP Restricted......what are the differences ?? I didn't find any differences at first glance.

Sid -- thanks for the pointer to those. I may have a need for them down here.