Seller is NOT Owner of Public Record

[Ty Lam]

Since the new forms came into effect, I've been have many problems with the UWs wanting the Seller's name in the Owner of Public Record field, even if they differ. In the case of new constructions or foreclosures, the Owner of Public Records may not have been changed to reflect the current Owner/Seller. So, I noted that. Also, I added, "A title policy is recommended for final determination." Some UWs are not excepting these comments. I've been requesting Title Commitments after the facts and resubmitting my appraisal with the requested changes. It has been aggravating. Does anybody have the same problems? Am I doing something wrong? Any suggestions, comments would be greatly appreciated.

 

[Marcia Langley]

Ty,

It is very important for you to stick to your guns on this issue.

The owner of public record field must be populated correctly.

When it differs from the seller's (or borrower's on a refi) name the difference should be explained in factual detail. I add an asterisk or 'see addendum' note at the end of the owner of record name to reference the explanation. It sounds like you are doing this right.

Otherwise your report would clearly be misleading (USPAP violation) and fail to meet Fannie Mae guidelines.

You should never change your original report to reflect a change that occurred after your effective date. This is simply an unnecessary request from the LO. The lender can include the new recorded deed with their loan package and close the loan just fine without you.

 

[Richard Carlsen]

Ty

We've run into it a couple of times but the client has not asked for a change. One way or another we can get the owner's name on the county records up on-line either direct from the county or a special website our MLS has. We SnagIt a copy of that from the screen and post it directly into our Exhibit Addendum. What shows up on this is what we report. Some of this data is up to 8 months old but it is the most recent we can get. If the client can provide me with a more recent copy of title insurance showing the borrower as owner of record, then I would simply attach a signed supplemental addendum to the report noting the document provided and the change. I will not change the original report. I would also want an explanation of the transfer and a copy of any purchase agreements, options, etc. so I can make the required comments for the report. By insisting on the name being the same, the lender may be opening up a can of worms. I would just tell them that I am obligated to report these things and if the information is not forthcoming, I have to state that in the report.

 

[Otis Key]

Stand your ground Ty. When you post that the owner of record is not the same name as the borrower or seller and the UW wants it changed, then tell them to get it changed at the court house and you'll amend the report, as long as it's changed before the effective date of the appraisal. Remember, it's your signature on the line.

 

[Carnivore]

Statement 10 , a catch all

Ty,

You have to answer yes or no to the question and the source on the first page of the URAR. Statement ten requires that you verify all information with a source that does not have a financial interest in the transaction(so to speak).

That means simply you have no choice. Its there dang problem.

I also dont think it is very wise to make changes to a report where the change date post dates your effective date and your orignal signature date.

The UW's can deal with this on there level. To bad for them, its there responsibility, period.

 

[Ty Lam]

Thanks for the advice and comments. I felt like that I've been doing it correctly the first time. I've been doing these appraisals for mortgage brokers which submit them to Countrywide. It seems that Countrywide's UW is the only one that have a problem about this.

 

[xm72mhd]

Stick to your guns. Increasingly we are dealing with people who have no idea what they are doing and they do it with an attitude. We need courses in dealing with the difficult, ignorant people who hire us.

 

[BOB PADRICK]

If it ain't right

it ain't right!

I just won a battle like this by going back to the original purchase deed (from 10 years ago) and noting that they had the correct legal description, but the wrong parcel id number, on the original deed. I noted the discrepancy, and spent around a half hour on the phone with the client. I had her pull up their own title report, and had her look at the deed-the title company had missed it.

Further, when I worked for the county assessor's office, mis-labeled deeds like this got put into a trouble file until someone complained-rarely as long as ten years though. The taxes were even in arrears-it showed the original developer's name and address as owners-you get the idea.

Eventually, they were very complimentary, especially when they realized I had caught what their title company had not...

Oh well...

 

[Otis Key]

it ain't right!

I just won a battle like this by going back to the original purchase deed (from 10 years ago) and noting that they had the correct legal description, but the wrong parcel id number, on the original deed. I noted the discrepancy, and spent around a half hour on the phone with the client. I had her pull up their own title report, and had her look at the deed-the title company had missed it.

Further, when I worked for the county assessor's office, mis-labeled deeds like this got put into a trouble file until someone complained-rarely as long as ten years though. The taxes were even in arrears-it showed the original developer's name and address as owners-you get the idea.

Eventually, they were very complimentary, especially when they realized I had caught what their title company had not...

Oh well...

I'm sorry, but I'm not in the title business. I'll research, probably more than my "peers", but I'm not in the title business and if fannie or anyone else wants more, then they can go to the title policy. It is beyond the scope of work that is typical for appraisers.

 

[BOB PADRICK]

I'd agree with you Otis-but

the deeds are available online, and it only took about 5 minutes of work for me to run it down. Made me look good to the client, and got more work out of them to boot. For five minutes work-easy. And I recommended a title search!

BTW-no, not if I had to go to the courthouse and pay good money. Uh-Uh!!!