The Culling Process

[Blue1]

Dee Dee,

If it were me, I'd tell the LO that I am willing to do a "comp verification" of those AVM sales. If these "supplemental" sales are not comparable to the subject, then a fee will apply for my research. If they are better than the ones I used in the report then my reasearch is free and I want access to their data source. Seems fair to me........

 

[Dee Dee]

Blue1,
That's perfect. And exactly what I'll say to the LO when send him all of this research tomorrow. What a wasted evening!

 

[Anonymous]

Dee Dee,

I would ask what verification source the AVM used to determine that these "comps " are acutally comparable to the subject and not simply sales that happened to occur in the general area. I find myself explaining to alot of people that a "sale" does not mean it is a "comparable sale". Especially in areas that are not cookie cutter subdivisions.

 

[Dee Dee]

Bill,
In the both of the appraisals, it was obvious that the UW chose AVM 'comps' from the area that were on the low end of the market in a larger subdivision in Denver. They were all sales that were smaller than the subject and in most of the MLS descriptions they were shown as either 'fixer-uppers' or lacked any indications of significant improvements. I'm sure you all are familiar with the standard comments that realtors use to avoid saying that a home is a dump...like 'has potential', 'create your own sweat equity', 'clean, original owners' (in other words, green shag carpet), instead of 'complete remodel', new cabinetry, carpet, etc...'. Considering that both of the subject homes had numerous improvements it was a no brainer to throw those low-end comps out the window and go straight to comps that were within blocks away, touted improvments, were more similar in square footage, as well as being recent sales.
They were bottom fishing. For every 'comp' they came up with I could show a similar true comp that could further justify the value I came in at.

 

[Anonymous]

Dee Dee:

Yes I am familiar with broker terms. I will list a few here, and their meaning. Feel free to continue the post.


A real fixer upper: Wont pass a CO inspection
Compeltely Remodeled: In 1959, they repainted the house
Lovingly cared for: Vacuumed the green shag carpet weekly
Manicured lawn: Has some grass
Wooded Lot: Has a tree
Park LIke setting: Has a bench under the tree

 

[Dee Dee]

Commune with Nature! - bring mousetraps, bear traps and shotgun
Rustic Charmer! - built by stoned hippie and friends in the 60's
A Doll house! - if you're over 5 ft. tall you can't fit into it
Custom Contemporary Design! - Dome or Rustic Charmer (see above)
Dramatic Views! - Continuous 60mph winds
Natural Accents - home built around tree that died 20 years ago
Peace and Seclusion - bring 4WD
Handyman's Special! - Buy stock in Home Depot