Don Clark
Elite Member
- Joined
- Jan 17, 2002
- Professional Status
- Certified Residential Appraiser
- State
- Virginia
Although not specifically required in USPAP, I have a seperate page where I outline my scope of work, USPAP issues, type of report and type of appraisal as well as Departure, if any.
I have found that Scope of work is misunderstood, second only to Departure.
Received a call from a long time client yesterday. Seems they had hired another appraiser to appraise a local property. When the appraisers got to the property he found a ranch being converted to a 2 story. He called lender, they asked him to complete the appraisal as tho the second floor did not exist. He said he could not do that, that to do so would violate USPAP :?:
I said, send me the request, and I will outline in my scope of work that you want only the existing improvements appraised, and treat the scond floor unfinished area as tho it does not exist. That I would note the existence of the second floor but treat it hypothetically as if it was not there. This misunderstanding of USPAP cost an appraiser a fee. No wonder the Foundation wants to carefully select who can teach USPAP.
BTW, I once completed a similar appraisal where a long term tenant(over 12 years) was finally purchasing the home from the owner. The tenant in that 12 years had added 2 rooms. He and the owner had agreed that it would be sold for market value, with the 2 room additions treated as tho they did not exist. The appraisal was performed in that manner, and both went away pleased by the report.
The positive side of forums like this is that perhaps someone will read the many postings here and not lose a fe as the appraiser did who turned down the request .
Don
I have found that Scope of work is misunderstood, second only to Departure.
Received a call from a long time client yesterday. Seems they had hired another appraiser to appraise a local property. When the appraisers got to the property he found a ranch being converted to a 2 story. He called lender, they asked him to complete the appraisal as tho the second floor did not exist. He said he could not do that, that to do so would violate USPAP :?:
I said, send me the request, and I will outline in my scope of work that you want only the existing improvements appraised, and treat the scond floor unfinished area as tho it does not exist. That I would note the existence of the second floor but treat it hypothetically as if it was not there. This misunderstanding of USPAP cost an appraiser a fee. No wonder the Foundation wants to carefully select who can teach USPAP.
BTW, I once completed a similar appraisal where a long term tenant(over 12 years) was finally purchasing the home from the owner. The tenant in that 12 years had added 2 rooms. He and the owner had agreed that it would be sold for market value, with the 2 room additions treated as tho they did not exist. The appraisal was performed in that manner, and both went away pleased by the report.
The positive side of forums like this is that perhaps someone will read the many postings here and not lose a fe as the appraiser did who turned down the request .
Don
