Rental Agreements.

[Scott R Marshall]

To add a thought, if you client is requesting an opertaing income statement and/or an income approach for the subject is valid, I would only consider market rents in this instance, not actual rents, as not enough credible information was provided to you by which to determine actual rent.

Let the owner/landlord chew on that once they get the appraisal, especially if market rent is much lower than what the landlord/owner is claiming they are getting.

 

[Smokey Bear]

What Scott said, and I would also state, in all CAPS that the owner REFUSED to supply you with the rental agreement. Then just use market rents. They owner isn't to be trusted. BTW, I always ask the owner AND the tenant, separately, what the rent is and what it includes.

 

[Mike Garrett RAA]

I prefer to see leases; however, I have seen some which are obvious fraudulent. Typically, I say..."information provided by the applicant is believed to be reliable...but not guaranteed.

No excuse for not reading USPAP, especially since you can have an electronic copy on your desk top.

 

[mutigerfan]

Canative-
Agreed. However the OP only has 25 post on this forum - maybe we should help them with their concern instead of being jerks to them.

There are very few moments in life were I have found that being a jerk is the right path. Its all about the Ethos in our profession - including peer-to-peer.

 

[CANative]

C'mon!

Is there any thing in USPAP that says we have to have the rental agreements.

What does this say to you?

 

[mutigerfan]

An easy target.

 

[CANative]

In California a working knowledge of USPAP is a condition of licensure. I'm sure it's the same in the other states.

 

[mutigerfan]

Correct Canative.
But hitting flys with a hammer is considered overkill here in the midwest.
The original poster maybe uninformed - but is that really a reason to pound him into submission? I say help the dude out - don't publicly whip him. Otherwise you look like a bully.

 

[CANative]

I used to get beat up on the forum when it was not the Kinder/Gentler forum. I made it out alive. Learned something too.

 

[mutigerfan]

I have to agree with you on one thing, the original poster was just asking for it when they asked such a basic USPAP question. Maybe he was having a bad day - we are allowed to have those every now and then - right? I sincerely hope he invest some time in the USPAP handbook - he would be better for it thats for sure.

He did not state he was licensed appraiser or trainee. Either way, I hope he keeps asking questions so we can help him on matters as important as USPAP understanding. I would rather him ask questions on here than making mistakes in the field - I think we can agree upon that.
Ok the horse is offically dead.
Time to strighten out those pesky UW's....