• Welcome to AppraisersForum.com, the premier online  community for the discussion of real estate appraisal. Register a free account to be able to post and unlock additional forums and features.

REO Assignments

Status
Not open for further replies.

wayne forbes

Thread Starter
Freshman Member
Joined
Dec 6, 2005
Professional Status
Certified Residential Appraiser
State
Florida
An appraiser just told me that he delivered an REO assignment as a regular 1004 because the client did not request an REO addendum. I know that most people are going to have wierd stories but is this normal? How is it an REO assignment?
 

Don Clark

Elite Member
Joined
Jan 17, 2002
Professional Status
Certified Residential Appraiser
State
Virginia
An appraiser just told me that he delivered an REO assignment as a regular 1004 because the client did not request an REO addendum. I know that most people are going to have wierd stories but is this normal? How is it an REO assignment?


Depends on whether he/she is doing it as a foreclosure appraisal or as a sale of a foreclosure. It also depends on what the client wants. Some may not want the REO addenda.
 

Dan/Fla

Member
Joined
Jan 15, 2002
Professional Status
Certified Residential Appraiser
State
Florida
Also would depend on condition I have done some with no noted repairs. However most do clients wants at least 2 values. And most want active listings with history of different Asking prices if it has changed and or been relisted. REO addendum makes it easier to put all these items and keep them organized.
 

Thomas Fiehler

Senior Member
Joined
Jun 2, 2003
Professional Status
Certified General Appraiser
State
Ohio
I have clients that order the appraisals with or without the REO addendum.
 

wayne forbes

Thread Starter
Freshman Member
Joined
Dec 6, 2005
Professional Status
Certified Residential Appraiser
State
Florida
If no REO addendum, how is it an REO assignment?
 

tamsch

Sophomore Member
Joined
Mar 12, 2008
Professional Status
Licensed Appraiser
State
Michigan
They may not want the additional data included in the REO addendum, the scope of work is less, your report is less reliable but that's not your problem. It's not a required form, it's just a supplemental form. You can still compare apples to apples on the 1004 form. No biggie.
 

Mr Rex

Elite Member
Joined
Jan 12, 2004
Professional Status
Certified Residential Appraiser
State
North Carolina
If no REO addendum, how is it an REO assignment?

Some clients order a 1004 with 3 arms length sale comps and 3 REO comps. More than 1 way to skin a cat. Even better would be to add 3 arms length listings and 3 REO listings, cuts out the lack of appraiser knowledge of cost to cure and entrepreneurial profit etc. Of course, I might have to charge a pretty penny for 12 comps, but have some private clients (investors) that will pay to play.
 

Ray Miller

Elite Member
Joined
Feb 20, 2002
Professional Status
Licensed Appraiser
State
Wisconsin
Many good answers above. Just because it says REO doesn't mean it got to be on the REO Form. Not all appraisals need to have a form filled out.
 

wayne forbes

Thread Starter
Freshman Member
Joined
Dec 6, 2005
Professional Status
Certified Residential Appraiser
State
Florida
thanks all. he said it was a short sale. what's the effect of that?
 

Mr Rex

Elite Member
Joined
Jan 12, 2004
Professional Status
Certified Residential Appraiser
State
North Carolina
If its a short sale, then its not an REO appraisal. Short sale means that the owner is selling for less than its worth, with the Bank in agreement to let it happen. The difference in the amount owed and the amount of the sale is the "short" amount. The bank may or may not hold the seller responsible for the difference.

REO means the bank already owns it.
 
Status
Not open for further replies.
Find a Real Estate Appraiser - Enter Zip Code

Copyright © 2000-, AppraisersForum.com, All Rights Reserved
AppraisersForum.com is proudly hosted by the folks at
AppraiserSites.com
Top

AdBlock Detected

We get it, advertisements are annoying!

Sure, ad-blocking software does a great job at blocking ads, but it also blocks useful features of our website. For the best site experience please disable your AdBlocker.

I've Disabled AdBlock
No Thanks