Report states not USPAP compliant

[Wendy]

Suppose the person takes out the sentence saying the work is not in compliance with USPAP and replaces it with a cert page. Problem solved?

That and a touch more broiler plate would most likely do the trick. The not compliant with USPAP is the statement that surprised me.

 

[Terrel L. Shields]

I wrote to the Appraisal Foundation

The appraisal foundation doesn't dictate state law. And USPAP doesn't require you to be an appraiser only....otherwise you have appraisers and real estate agents with licenses in direct conflict.

And USPAP states explicitly "USPAP does not establish who or which assignments must comply." (page 6, Line 176)...Janet, you might want to read the rest of that paragraph.

 

[Wendy]

I don't know Terrell...
I wrote to the Appraisal Foundation several months ago when Citizens Insurance started asking for these appraisals. Their response was that the type of value is not an issue. If you are an appraiser, you must be competent to complete the assignment and in compliance with USPAP.

If you are comfortable with the type of work, they look like a good gig money wise. This could not have taken more than 1.5 hours for the whole ball of wax. $300+/- per hour is good cake in my book!

According to my friend, his insurance company told him that all non-homesteaded properties in Florida will need this type of appraisal prior to renewal. Have you heard the same?

 

[Francois K. Gregoire]

Suppose the person takes out the sentence saying the work is not in compliance with USPAP and replaces it with a cert page. Problem solved?

Steve,

Who knows? It depends upon what else is/is not in the report. We could always ask him that knows all:icon_wink:

 

[DH Wilson]

I have seen one page commercial appraisals that had a basic sow/interest valued and value of the interest appraised. Theyre about 3 to 4 paragraphs. They do state that the supporting documentation is located in the appraisers work file for review by the client until the retention time expires on the file. These were for private mortgage transactions.

 

[Terrel L. Shields]

Sounds like a restricted report. Maybe the file is there...if it is its compliant, right? If it isn't, then he lied. But that's not the issue. Is there anything an appraiser can do as a valuer which can bypass USPAP. Some (perhaps most) say, no. I say 'yes', you can value without complying with USPAP and without evoking it in many states...and USPAP explicitly allows it in the Preamble.

 

[sos]

Wendy:

Effective July 1, 2006, Citizens introduced a new rule to require that all applications must include a current appraisal(not older than 18 months) for each separately scheduled building to be insured.

That was stated verbatim from a Citizens Bulletin dated April 24, 2006 for commercial residential. This would also appear that a new appraisal would be needed every 18 months.

I smell a nice income stream.

 

[Mike McCool]

There were a few companies in my area hiring the past few months for an insurance appraiser. Being a licensed/certified appraiser was not a requirement. It paid about $150 per assignment which was said to take no more than 2-3 hours.

 

[Wendy]

Wendy:

Effective July 1, 2006, Citizens introduced a new rule to require that all applications must include a current appraisal(not older than 18 months) for each separately scheduled building to be insured.

That was stated verbatim from a Citizens Bulletin dated April 24, 2006 for commercial residential. This would also appear that a new appraisal would be needed every 18 months.

I smell a nice income stream.

That could be a real sweet deal for you commercial guys.

 

[Verne Hebert]

"According to my friend, his insurance company told him that all non-homesteaded properties in Florida will need this type of appraisal prior to renewal. Have you heard the same?"

Call the insurance company and find out what the scope of the assignment is.

You may have hit the nail on the head..............estimated replacement cost of the improvements.

Not market value...........not any type of value by definition.