Reconsideration of Value - Comp photos

[Zoe]

If that comp changed the value opinion, that is fine. but they already included it. Don't worry about it. Just try to get the comp in new appraisal when you go the first time.

Client is fine if you change value on ROV. Not an issue.

No USPAP violations or any violations as long as you report it all in final appraisal report. Just mark the report revision or revised report and explain in the report. New signature date.

 

[Sadie]

Update: AMC states due to FHA they must have original photos. But still curious if anyone has any additional information.

I do, if I use them.

 

[Zoe]

I do, if I use them.

Good point. Very important and you still have to explain in ROV why. But that is okay. Not a big deal usually.

Them using the comp in ROV is what complicated it.

 

[Zoe]

I picture it like they included it in the grid and did whatever else they needed to in the ROV. That is where it gets complicated.

This comp was considered and not included and this is why? That is fine. No picture required.

The comps in sales comparison are more similar to the subject property for these reasons. ..................

 

[Zoe]

I think them putting it in the grid is where it got sticky and maybe they just missed the comp on initial appraisal. I don't have a problem with rovs.

The ROV is pretty much geared towards the borrower and buyer or seller from a client perspective.

 

[residentialguy]

Does anyone know if on a Reconsideration of Value request, do I have to go out and get photos of the comparables that are requested for review or are MLS photos for these acceptable? The comparables I supplied originally obviosuly have original images, but I'm slammed with inspections today and this property is 45 min away. I'm just curious if anyone knows the rules for this?

Yes. And if you use them in the report, that means they're better and the comps you used... you should have used them in the first place. If you don't use them in the report then don't feel bad, charge them for that unnecessary extra service.

 

[residentialguy]

Them using the comp in ROV is what complicated it.

The appraiser, not using the better comp, complicated it.

 

[residentialguy]

This is why you should, in the general course of business, supply the client with a 'list of comparable sales' that were used to generate the MC Form. 20-50 sales that were considered in a line format that should (most likely) include the reconsideration sales. "Yes, this sale was considered, see line 27 of the MLS Raw Data Search Results, but was not deemed comparable for -insert reasons here-".

Nah... ALL sales were considered. The best ones were used in the report.

 

[residentialguy]

Put something like this in all of your reports:
FEE FOR RECONSIDERATION OF VALUE/REVIEW OF ADDITIONAL COMPARABLE SALES
If the appraiser has erred and the submitted additional sales are are found by the appraiser to be superior to the sales used in this report and their use results in a material change to the appraisal report, no additional fee will be charged. If the appraiser finds that these sales are not as comparable as the sales used in the original appraisal report and the appraiser finds them inappropriate, the client shall pay a fee of $100 for each sale that was submitted to review, plus a minimal $75 inspection trip fee, which may be greater depending on mileage and drive time incurred.

 

[sputnam]

It's a ROV, YOU do not have to go take ANY photos of the sales they sent you, simply review them and comment, even if one of the sales they sent you is a good comparable sale, you do NOT have to add it to the original report, just state that even though it's a good comparable sale that supports your opinion of value, the comparable sales already utilized in the appraisal report are fine, if they insist that you use their sale in the report, since it's FHA and you would have to go take the photo 45 minutes away, explain to them there will be a fee, then see how FAST they say, it's okay, no need to add their sale.

Yes... when the appraiser still thinks he got it right the first time. I have seen... too many... appraisals get revised based on Client provided data that the appraiser either missed or had no access to. I suspect more often it's an appraiser who was not thorough. When that happens... and the appraiser revises the report to add additional comparables to the grid... then photos of those are required. Not by USPAP... because of Client requirements.