Realtor Ethics

[J Grant]

DC is teaching that it is okay for Realtors to deny entry to appraisers as part of a course?

 

[Bob Ipock]

The Realtor Code of Ethics is simply a code of conduct for a PRIVATE membership organization. It is not law, it is not enforced by any governmental agency and the truth of the mather it is pretty much all show an no go.

Realtor members love to talk and advertise about their "Code of Ethics". Call your board and ask for the number (not names) of members who received ANY disciplinary action concerning an ethics violations over the last 36 months.


Appraisers ethics? Whole different matter. The Ethics Rule as a part of USPAP becomes law when adopeted by a state. Complaints are investigated by the state board and disciplinary action can be taken against violators.

When an appraiser is disciplined...there will be a public record.

A Realtor who interferes with the appraisal and lending process can be in a heap of trouble on both the state and federal level......but it will have nothing to do with NAR.

 

[Bob Ipock]

Scary stuff. Don't be afraid to question the instructor for his sources when comments seem odd.

 

[HF Mudd]

Realtor Ethics - a contradiction if ever I heard one.

 

[glenn walker]

The Realtor has a duty and right to protect the buyer or seller from appraisers who are not competent to appraise a property. I know of situations in my area where AMC's are sending appraisers 100 miles to appraise Multi-Million Dollar properties because the "Skippy" accepted the $250.00 broadcast order. Should a buyer and seller have to accept this type of service. "NO" I have no problem backing the Realtors on these issues and our local attorneys are starting to support the Realtors too. There are many appraisers who have no ethics and are desperate to survive another month.

 

[Terrel L. Shields]

Should a buyer and seller have to accept this type of service.. "NO" I have no problem backing the Realtors on these issues and local attorneys are starting to support the Realtors too

What gives a Real estate agent the authority to cherry pick appraisers? The bank is given that sole responsibility. Therefore, if the bank played by the book, they would inform the borrower that they will not lend on the property. If that was done, watch them let the appraiser in. This appraiser-came-from-a-hundred-miles-away is a red herring. How the **** would the agent ever know? They rarely even know their name. It is only after the appraisal comes in that they go floundering around trying to make an excuse for the low appraisal.

Yeah, there are incompetent appraisers. The agent - if he sees a clear case of it (and few can differentiate since the $ signs cloud their minds) his out would be to complain to the bank examiners that the AMC or bank is choosing the cheapest appraiser and getting lousy results. If he can get a local appraisal to refute the distant one, then I think the Feds also have a responsibility to pressure the board of the bank to change to using local appraisers and fire the AMC....That is an entirely separate issue from denying access to the appraisers. There is only one reason the agent does not want appraiser X - He remembers when he or she "killed their deal"...it's all about revenge.

I remember one local Realtor who swore she'd blackball one after the other of us for the same reason. Pretty soon the bank told her to take it or else. She wanted to use appraisers from 30 miles away because they always came in higher...basically true because they would value the land at $55,000 when a lot next to the property was selling for $22,000. The one she chewed me on, the builder went bankrupt and she sent her son to talk to me and BS'd me as well ... months later Jr. also filed bankruptcy 'cause he was as stupid as Mom was about the value of property in the middle of a market meltdown.

 

[Bob Ipock]

The Realtor has a duty and right to protect the buyer or seller from appraisers who are not competent to appraise a property. I know of situations in my area where AMC's are sending appraisers 100 miles to appraise Multi-Million Dollar properties because the "Skippy" accepted the $250.00 broadcast order. Should a buyer and seller have to accept this type of service. "NO" I have no problem backing the Realtors on these issues and our local attorneys are starting to support the Realtors too. There are many appraisers who have no ethics and are desperate to survive another month.

The appraisal is for the LENDER. The Realtor has no part in the process of selecting, engaging and directing the appraiser. The Realtor, buyer and seller have no part in the appraisal process. If the BUYER is unhappy with the appraiser....they can contact their lender.

 

[glenn walker]

If the Realtors don't let skippies in the property then **these low life's** coming from 100 miles for $250.00 are out of business !!! The lender will start forcing the AMC to employ local appraisers who know the community and it's nuances. The appraisers have lost control and have no ****s to just say no to these low fee's and 24 hour turn times. If it takes the Realtors and NAR to get these people under control then so be it . I am not talking about value pressure. Most of the Realtors are not pressuring for value but when they know 20 local appraisers who have lived in their city for 20 plus years and know the area it's a bit much for the AMC to be sending runners from 75 to 100 miles away . Im sure it's different in rural areas but I am located in Los Angeles County and home prices can change by hundreds of thousands of dollars just by crossing a major street. The appraisers have lost control of everything. Don't blame the Realtor it's the appraisers who got put in a corner and most are now AMC slaves.

 

[Non Sequitur]

If the Realtors don't let skippies in the property then **these low life's** coming from 100 miles for $250.00 are out of business !!! The lender will start forcing the AMC to employ local appraisers who know the community and it's nuances. The appraisers have lost control and have no ****s to just say no to these low fee's and 24 hour turn times. If it takes the Realtors and NAR to get these people under control then so be it . I am not talking about value pressure. Most of the Realtors are not pressuring for value but when they know 20 local appraisers who have lived in their city for 20 plus years and know the area it's a bit much for the AMC to be sending runners from 75 to 100 miles away . Im sure it's different in rural areas but I am located in Los Angeles County and home prices can change by hundreds of thousands of dollars just by crossing a major street. The appraisers have lost control of everything. Don't blame the Realtor it's the appraisers who got put in a corner and most are now AMC slaves.

Oh cry me a river. An appraiser can fly in from Europe and the Realtor is happy as long as the number is hit. That's a fact.

As far our esteemed instructor advising Realtors to break federal law, he should be busy advising Realtors about the damage done to markets by their flat out lies in the MLS. I have one on my desk now, both Realtors are screaming like stuck hogs. Problem is the house was advertised as 1,850 GLA when it measures out at 1,426 GLA. The listing Realtor should face disciplinary action, but that will never happen, poor old Sally High Heels can't be expected to factually represent anything. Good old Sally is just a used house saleswoman, it's the buyer's obligation to verify. So what about the Realtor representing the buyer? She'll shrug her shoulders too, but will show up at every closing looking for a check.

 

[glenn walker]

Question ! No offence but in Louisiana what kind of value difference are we taking about ? In Los Angeles it could be $200,000. In your market area it could be $20,000. What kind of value difference are we talking about. Is it a 5% to 15% difference or 50% difference. Please let me know what kind of numbers you are dealing with.