Revision After Revision After Revision After Revision

[Tru Red]

Can anyone offer their personal history with this scenario (or something similar):

I completed a standard appraisal report for an AMC. Submitted and it was approved.

A week later they emailed stating a revision was required suggesting I remove the value of a boat slip that goes with the house. A VERY unusual request but not worth trying to explain or argue over.
OK. Done. Report was approved and accepted.

Another week goes by. They want another revision. Minor in nature but annoying as all hell.
OK. Done. Report was again approved and accepted.

Another week goes by. I receive full payment for the appraisal report. Filed away.

Two days go by. They want YET another revision regarding an easement that I knew nothing about. And NOW, they supplied a preliminary title report.

I said $100 if you want another revision.

I want to keep them as a client...... but its been 3 weeks and it's revision after revision.

Any thoughts?

 

[Michigan CG]

My New Year's Resolution is to get rid of any client that regularly asks for more than two revisions. I have 2 or 3 that are on my radar right now. I know the naysayers will say it only takes five or ten minutes but it is the annoyance of it all. I bet I have 10 or so clients where the number of requested revisions is under one per report.

I also find it humorous that I can write 30-75 page narrative appraisals for obviously complex residential properties and get no revision requests yet a cookie cutter home gets four revision requests from only certain AMCs.

 

[Tru Red]

My New Year's Resolution is to get rid of any client that regularly asks for more than two revisions. I have 2 or 3 that are on my radar right now. I know the naysayers will say it only takes five or ten minutes but it is the annoyance of it all. I bet I have 10 or so clients where the number of requested revisions is under one per report.

I also find it humorous that I can write 30-75 page narrative appraisals for obviously complex residential properties and get no revision requests yet a cookie cutter home gets four revision requests from only certain AMCs.

You are exactly right. The nit picking on these cookie cutter forms is absurd. I get almost nothing/zipo/nada returned when I do VA appraisals. Only when I do them for AMC's. Uggggggggggggggggg.
Nothing is going to change until appraisers all start working together.

 

[Tim The Enchanter]

If they are a good client, I guess they don't usually do this.
If they are a good client they will say OK to your $100 fee.
If they suck eggs, they''ll come back and say your report is deficient.

 

[bnmappraisal]

I want to keep them as a client...... but its been 3 weeks and it's revision after revision.

Any thoughts?

Is there a contact you have there you can speak with about this? Maybe someone in the "review" dept at the AMC?

I do run into this now & then (I have 2 main AMC's I work with along with a few others and some direct lenders). The 2 main AMC's, though, I have "learned" who I can speak to rationally. I can either talk to them and they can make a more rational decision or at least let me know what "clarification" they are looking for via additional narrative.

I will say, all in all, I agree it's a PITA and (I paraphrase) as MCG says the 5-10 mins to revise the report ... YES! It's a PITA and NONSENSE!

 

[JTip]

An easement could be an important factor; it depends on the easement.

 

[CANative]

I just skimmed this thread and didn't notice if it was made clear who did this appraisal.

 

[Terrel L. Shields]

suggesting I remove the value of a boat slip that goes with the house

Where I am these are oft treated as personal property and the bank takes a UCC. Otherwise, the slip is labeled as part of the RE. So I would segregate the slip so it is clear what its separate value is. Normally I would ask them how they want it treated (as pers. prop. or real).

An easement could be an important factor

If that information was not available in the normal course of business prior to completing the report, then it is addressed as a caveat.... And to modify the report after the fact would mean an updated report. Charge for it or not...you cannot be a mind reader.

It seems it would behoove the client to do their title work first, then order the appraisal. Likely they are trying to compress the loan time due to loan locks and sent it all out at once. Anticipate same and price this into the bid.... "additional changes not available in the normal course of business shall be billed at $x per hour..."

 

[Deleted member 128537]

I'm guessing the easement adds no value to the property and that you won't have to change the value. Otherwise if it was adverse you would have at least noticed something weird at inspection. If that is the case I would just add it into the report and be done with it. If it changes the value then that would be different. I'm surprised they made you take the boat slip out. Is it on a separate Parcel ID? In my area they often are separate from the house and that may be why they wanted it out. But if this became a habit of the AMC or Lender I would talk to someone and tell them it has to stop or I'm dropping you as a client.

 

[Meandering]

If the appraisal is for secondary res lending, ask for the Fannie Mae "must disclose" information up front, that way they're not chasing behind you to follow their paperwork, you are chasing behind them to do theirs first.