Reporting USPAP violation

[CANative]

Appraisers don't get to call out "USPAP violations." The State agency determines this.

In this case, there is a very difficult assignment and it's your opinion vs. the opinion stated in the work under review. You're going to have to do better than just criticizing based on your opinion as to the competency of the author of the work. Did the report just fly over the other earth homes that were within 1 mile and sold in the last 3 months?

On an assignment like this, I would just do my due diligence on behalf of my client.

 

[Mr Rex]

I recently did a review on the worst appraisal I have seen in a long time. I did not see the need to report it to the state Appraisal Board as it is my understanding that it is a requirement of AMCs/Lenders to report USPAP violations.

 

[MMing5000]

We understand your rage as the OA probably low-balled the fee to get the assignment which hurts not only the quality appraisers from getting work but huts the profession as a whole as a few bad apples will spoil the bunch. If you checked and double-checked that it is undoubtedly a bad appraisal due to negligence or incompetence, sent a copy of the report to the state board (anonymously) and let them deal with it.

 

[CANative]

I doubt if a state agency will open an investigation based on an anonymous submission.

 

[George Hatch]

If the OP really thinks this is a serious error in competency then the first step is to get the appraiser to fix the appraisal. The client has paid for or is prepared to pay for a competent appraisal and they deserve their money's worth. It is more expedient to get the appraiser to finish the job properly than to force the client to go get another appraisal.

Competency issues can usually be cured when the appraiser is operating in good faith. If a reviewer actually has the better solution then sharing that solution with the appraiser helps that appraiser to avoid that mistake in the future, thus advancing the interests of all their clients and users.

If the reason for the error involves lying cheating and stealing, or if the appraiser is resistant to fixing their problems then that's the time to ramp things up.

In my view, a reviewer who is putting their clients' interests first should adopt the default of cleaning those appraisals up and helping those appraisers who are amenable to doing so to advance their level of play. More collaborative and less adversarial. Save the "I am King Kong and I Will Wreck You" routine for those appraisers who really are acting in bad faith - which IMO is not most of them.

Sending people into the state should be a last resort, reserved for the worst of the worst.

 

[Mr Rex]

I doubt if a state agency will open an investigation based on an anonymous submission.

FWIW, NC does not accept anonymous complaints.

 

[PerseverancePLUS]

The Appraiser did not review sales in the neighborhood that were earth contact, or possibly believed they were irrelevant. The report is full of boiler plate, and refers to the subject as being a ranch home with a basement in the Addendum and reconciliation. There are no conclusions for the opinion of value.
Perhaps someone can comment on the following. Of course I would rather just state the facts and not be the PERSON noted below. This is from the Appraisal Foundation below.

 

[Renee Healion]

Are you saying you fit one of the categories of mandated reporter?

 

[PerseverancePLUS]

I recently did a review on the worst appraisal I have seen in a long time. I did not see the need to report it to the state Appraisal Board as it is my understanding that it is a requirement of AMCs/Lenders to report USPAP violations.

Can you take a look at my post below. I had this sent to me via another appraiser. It's from the Vice President of Appraisal Issues, The Appraisal Foundation. I'd like to dump it right back at the Lender and say, you do what's required, but I'm not sure at this point.

 

[PerseverancePLUS]

Are you saying you fit one of the categories of mandated reporter?

that is what I'm wondering PERSON