TAF and USPAP - great analysis

[Dublin ohio]

I would pay money to see Zoe and Nando unite.

Fernando would end up with terminal culture shock. I could see Zoe cooking dinner for Nando. Squirrel, rabbit, mountain oysters, grits, hush puppies, collard greens, southern bread pudding.

 

[George Hatch]

Don't interrupt them. With any amount of luck they'll keep each other occupied for the next week.

 

[Mejappz]

The reunion would take place in a darkened steak and shake to accommodate Zoe’s clients who prefer a darker venue. I still can’t that one out of my mind.

 

[RCA]

I have heard Bert's testimony. My stance is still same. Garbage in, Garbage out.

California has very good data in most areas. [Some things are missing or hard to get to, regardless. And that is where you spend time collecting that missing data for different market areas.]

IMO, we need our own appraisal methodology. For example, the Appraisal Institute methodology for residential appraisal in areas like the SF Bay Area is useless. -- But I wouldn't be surprised if it isn't the best you can do in the Deep South.

 

[Zoe]

California has very good data in most areas. [Some things are missing or hard to get to, regardless. And that is where you spend time collecting that missing data for different market areas.]

IMO, we need our own appraisal methodology. For example, the Appraisal Institute methodology for residential appraisal in areas like the SF Bay Area is useless. -- But I wouldn't be surprised if it isn't the best you can do in the Deep South.

I knew I would get to you eventually. Let me pick a subject locally and let you do it and let me do it.

Garbage in garbage out.

Don't make me bring in some biases you might have. BTW, do you belong to any organizations? Do you make any donations to any organizations?

 

[Zoe]

California has very good data in most areas. [Some things are missing or hard to get to, regardless. And that is where you spend time collecting that missing data for different market areas.]

IMO, we need our own appraisal methodology. For example, the Appraisal Institute methodology for residential appraisal in areas like the SF Bay Area is useless. -- But I wouldn't be surprised if it isn't the best you can do in the Deep South.

Your statement does not even rhyme with your background.

I don't doubt California has areas where properties are very similar in small geographical areas. If I were you, I would focus on those areas.

But the same principles still apply that you say don't apply.

You contradict yourself.

 

[Zoe]

BTW appraisal institute lost faith from the residential appraisal group a long time ago for different reasons. AMCs being one reason.

 

[George Hatch]

California has very good data in most areas. [Some things are missing or hard to get to, regardless. And that is where you spend time collecting that missing data for different market areas.]

IMO, we need our own appraisal methodology. For example, the Appraisal Institute methodology for residential appraisal in areas like the SF Bay Area is useless. -- But I wouldn't be surprised if it isn't the best you can do in the Deep South.

The traditional methodology (if you want to call it that) has an established track record which provides it's own feedback loop for validation and calibration. There's room for improvement and refinement but that doesn't necessarily invalidate the methodology or the point that virtually all of the users consider it more useful than any of their alternatives in at least some situations.

I will do a GRM when I have the data it takes to run one, but I won't do a GRM when the data is wholly inadequate in quantity and quality (comparability). Pick-n-choose doesn't make me anti-GRM, all it means is that I don't think a GRM is the only valid way to develop an opinion of value.

 

[RCA]

The traditional methodology (if you want to call it that) has an established track record which provides it's own feedback loop for validation and calibration. There's room for improvement and refinement but that doesn't necessarily invalidate the methodology or the point that virtually all of the users consider it more useful than any of their alternatives in at least some situations.

I will do a GRM when I have the data it takes to run one, but I won't do a GRM when the data is wholly inadequate in quantity and quality (comparability). Pick-n-choose doesn't make me anti-GRM, all it means is that I don't think a GRM is the only valid way to develop an opinion of value.

I can only laugh at such statements. I don't think you have really done any difficult appraisals in the SF Bay Area. I would bet you are the sort that could easily be off by $50,000-$100,000+ on a $1M home. There are too many variables to juggle around that are not only not in the MLS - but where you have to go through an entire neighborhood and measure or analyze house by house -- and admittedly I will often use maps to do my measurements - but the accuracy is good enough for the variables in question.

MARS more importantly categorizes and discovers relationships and contributions you could not possible do without it.

Of course, you can fall back to "that much accuracy is not needed." And I would say if you have to fallback to that - you are not in a position to argue the accuracy to someone who thinks you don't like their pictures on the fireplace.

You are not in a very good position.

 

[George Hatch]

I've been appraising difficult properties - non-stop - since long before you ever took your first Appraisal 101 course. I've revised plenty of erroneous public records info on various property types, so you're zooming yourself if you think the Bay area is somehow unique in that regard. I've physically measured certain comparables for their dimensions and have used the overhead mapping to do it. Just yesterday I measured the difference between gross lot area and net usable on an SFR lot by using the County overheads.

Aside from comparing what I do every day against what you do (and don't do) everyday, I would ask you to consider this: When even the principals in some of these transactions are sometimes operating with less-than-reliable information how does any appraiser presume to be more well informed than they are about their own property? And what effect on the resulting outcomes? Because I can guarantee you that I now know more about the usable lot area and the elevations on the topo map than does that property owner or any broker that ever saw that property. Exteriors is something we can look at without gaining access to the property. Not so with a lot of other attributes.

Not to mention the point that data quality across the rest of the nation varies greatly. Regardless of who is doing the analysis or how they do it they will still need to clean some of that data up prior to using it. You wouldn't be making the efforts you say you're making with data qualification process you use if you disagreed with the importance of data qualification.