Bobby Bucks
Elite Member
- Joined
- Jan 27, 2002
- Professional Status
- Real Estate Agent or Broker
- State
- North Dakota
Lately I’ve been getting some rather unusual requests. I’ve had 3
instances where I completed REO assignments and a few weeks later
after the properties went under contract I get a request to “use” my
report for the purchase. What happens is that the listing agent knows I
completed the REO report and suggests to the selling agent that they
call me. Of course this brings up several issues which never fails to
anger the commission obsessed, room temperature IQ agents
involved......naturally they want a fast, cheap (or free) appraisal for their
buyer so they can brag about it. If you folks think a
“recert/update/nightmare” demand from a mortgage broker is a pain,
wait until you have an REO “free appraisal” demand. Your blood
pressure is guaranteed to rise.
The other area is in short sales. I had one last month for one of those
gung ho Carlton Sheets types who was convinced he was stealing the
property. Actually he was getting the home for what it was worth, but
who am I to rain on his parade? Anyway, this guy now wants to use my
report for financing the property involved in the short sale. Of course if
the initial assignment is complete, it is normally permissible to complete
a second separate assignment on the same property. Now, my concern is
this. If you’re doing a report on a property where the owner, (the bank)
will in all likelihood be thoroughly reviewing your report while making
the decision on what price to sell, wouldn’t it by highly irregular to have
the person buying the property using the services of the same appraiser
for the purchase? Would you want to be on the witness stand explaining
yourself in a situation like that? Even if you did everything proper would it be worth the risk
and hassle? I’ve been refusing these types of requests when I have even
an ounce of concern. It’s much easier for them to get a new report from
someone else. I’ve made more than one agent furious over this, but
that’s nothing new for the ranch.
Naturally if the buyer paid cash for
the property, did repairs and then wanted financing later I would have
no issue.....is anyone else running into these situations? If you do REO work, it's going to happen.
instances where I completed REO assignments and a few weeks later
after the properties went under contract I get a request to “use” my
report for the purchase. What happens is that the listing agent knows I
completed the REO report and suggests to the selling agent that they
call me. Of course this brings up several issues which never fails to
anger the commission obsessed, room temperature IQ agents
involved......naturally they want a fast, cheap (or free) appraisal for their
buyer so they can brag about it. If you folks think a
“recert/update/nightmare” demand from a mortgage broker is a pain,
wait until you have an REO “free appraisal” demand. Your blood
pressure is guaranteed to rise.
The other area is in short sales. I had one last month for one of those
gung ho Carlton Sheets types who was convinced he was stealing the
property. Actually he was getting the home for what it was worth, but
who am I to rain on his parade? Anyway, this guy now wants to use my
report for financing the property involved in the short sale. Of course if
the initial assignment is complete, it is normally permissible to complete
a second separate assignment on the same property. Now, my concern is
this. If you’re doing a report on a property where the owner, (the bank)
will in all likelihood be thoroughly reviewing your report while making
the decision on what price to sell, wouldn’t it by highly irregular to have
the person buying the property using the services of the same appraiser
for the purchase? Would you want to be on the witness stand explaining
yourself in a situation like that? Even if you did everything proper would it be worth the risk
and hassle? I’ve been refusing these types of requests when I have even
an ounce of concern. It’s much easier for them to get a new report from
someone else. I’ve made more than one agent furious over this, but
that’s nothing new for the ranch.

the property, did repairs and then wanted financing later I would have
no issue.....is anyone else running into these situations? If you do REO work, it's going to happen.