Reconsideration Of Value, How Do You Handle It?

[TRESinc]

yep, so by charging the review fee, at least in my case, the lender makes the borrower limit it to 3 sales or they can pay the extra fee out of pocket as it is above and beyond the original scope of work. since i have good relationships with my clients i made a business decision to respond to the ROV request but set limits.

 

[J Grant]

My clients when send self limit to 3 sales. I just won't work with clients who send these too often or send reams of sales, I hate the ROV and think it's a travesty on the profession.

 

[Mr Rex]

 

[Eli]

I am so sorry. I don't know how that happened.

 

[Eli]

I am not perfect but I can change my mind with NEW information that is applicable to the appraisal problem.

The problem with many market people is they don't even know what is applicable. They look at the little picture and don't have a clue. It is a process that takes trained professionals.

 

[Mike Garrett RAA]

The VA says sales submitted for reconsideration of value MUST be placed on a grid and ADJUSTED appropriately. That usually slows down the requests. If there is a sale I missed then I don't charge but if they just want to throw some sales data at me I do.

I also let the agent know the criteria, ie, time, location, style, size limitations. Makes me smile when I have just appraised a 1,200 sf rancher and the agent submits 2,400 sf two story that sold a year ago in a different neighborhood.

I would say about 95% of the time I right; however, there are cases where a sale is missed that would cause me to change my opinion of value. Almost always that is due to an agent not entering the right neighborhood or marketing area. Had one case where there as a very current sale across the street from the subject and the agent didn't report the sale to MLS. It made all the difference in the world in my value conclusion.

 

[JoeB]

After replying to the comparables submitted and maintaining my original position, yet another email has been sent to me asking for an adjustment to be made because of a superior school district. To me, this is fishing for value since i had already addressed the borrowers(real estate agents) previously submitted comparables. When does it stop? Have the appraisal reviewed. Let the reviewer use the hand picked comparables, not comparable with the subject, to make their desired value. How many times can they question my opinion of value?

 

[miktay]

I charge $25 per comparable reviewed if they are not used because they are not comparable or were already considered as listed in my appraisal report.

Do you actually bill the client, and get paid for this? Just curious how it works out.

 

[J Grant]

The subject has a superior school district? Not quite getting what is going on...who is sending the emails asking for adjustment, the client or the RE agent?

 

[JoeB]

The underwriter i would suspect, relaying the information from the borrower. The school district has a national ranking and was mentioned in the report. This does not warrant an adjustment, This may offer additional appeal to a prospective buyer who has children who will attend school. This has no additional appeal for someone who does not have children school bound, There is no data expressing additional property value for a home within the school district. The appraiser has used better comparables than those submitted by the borrower, and has used the best comparables available as of the effective date of the appraisal. The appraiser is confident in his opinion of value. PERIOD

Does the appraiser need to say more?