USPAP actually require appraiser to inspect subject?

[CANative]

I wonder what the ratio is of M&S being cited and M&S actually being used?

 

[Mike Garrett RAA]

Back in the day when I was a cub reporter for a local TV station the classic question was...

"Give me a simple yes or no answer...have you stopped beating your wife?".

 

[Francois K. Gregoire]

I wonder what the ratio is of M&S being cited and M&S actually being used?

Among the more interesting "bonuses" of doing work for a state regulatory board is having access to the investigative report and the appraiser's workfile. Over the years, something close to 1000 have been before my eyes. Nearly every form report has some reference to Marshall & Swift Residential Cost Handbook. Others include a reference to replacement/reproduction costs being derived after consultation with local builders.

In my experience, it is very rare to find ANY calculation of replacement/reproduction cost in the workfile, any reference to a location where the calculations might be, or any notes of conversations with local builders or reference to where local builder costs were actually obtained. Granted, these are appraisal reports that have been submitted along with a complaint against an appraiser, making an allegation of wrongdoing, but it is amazing appraisers appear to be so willing to toss such a casual misstatement into their reports.

 

[CANative]

Others include a reference to replacement/reproduction costs being derived after consultation with local builders.

In the rare cases that I use M&S I'll paste of copy of the 1007 in my report. Usually I use the Craftsman online calculator, make a copy of the final report page and paste that into MS Word and convert it to pdf for inclusion in the report. I also include a spreadsheet of land sales and listings from MLS.

But more often then not my assignments are on the coast and as far as I know the cost services cannot accurately estimate building costs which range from $200 psf on the very low side and can go up to $400 to $500 psf. They can be adjusted to meet those numbers but that seems like cheating. So I normally cite local costs basing it on all my workfiles which contain bids, competing bids, cost estimates, etc, etc.

Do you think it would be a good idea to scan a bid for a similar property into the report? Or does anyone even care?

 

[Francois K. Gregoire]

In the rare cases that I use M&S I'll paste of copy of the 1007 in my report. Usually I use the Craftsman online calculator, make a copy of the final report page and paste that into MS Word and convert it to pdf for inclusion in the report. I also include a spreadsheet of land sales and listings from MLS.

But more often then not my assignments are on the coast and as far as I know the cost services cannot accurately estimate building costs which range from $200 psf on the very low side and can go up to $400 to $500 psf. They can be adjusted to meet those numbers but that seems like cheating. So I normally cite local costs basing it on all my workfiles which contain bids, competing bids, cost estimates, etc, etc.

Do you think it would be a good idea to scan a bid for a similar property into the report? Or does anyone even care?

Greg,

My comments pertain to the workfile. IMHO, if the appraisal report references a source for cost data, the workfile should include the "all other data, information, and documentation to support the appraiser's opinions and conclusions.... or references to the location(s) of such other documentation."

Regulators in Florida are not looking for a copy of the 1007 in most form reports. Finding one in the workfile would be a plus, however. My personal belief is that at 1007 is not required in the workfile. Compliance with the Record Keeping section of the Ethics Rule is (or state record keeping requirements).

 

[Lee Lansford]

Among the more interesting "bonuses" of doing work for a state regulatory board is having access to the investigative report and the appraiser's workfile. Over the years, something close to 1000 have been before my eyes. Nearly every form report has some reference to Marshall & Swift Residential Cost Handbook. Others include a reference to replacement/reproduction costs being derived after consultation with local builders.

In my experience, it is very rare to find ANY calculation of replacement/reproduction cost in the workfile, any reference to a location where the calculations might be, or any notes of conversations with local builders or reference to where local builder costs were actually obtained. Granted, these are appraisal reports that have been submitted along with a complaint against an appraiser, making an allegation of wrongdoing, but it is amazing appraisers appear to be so willing to toss such a casual misstatement into their reports.

Though I have not seen the number of workfiles that you reference, my experience is otherwise the same as yours.

If an appraiser elects to develop and communicate the CA, the CA had best be credible; "credible" includes not pulling numbers from out of the air.

 

[DMZwerg]

Okay smart guy. Which is heavier? 1,000 pounds of feathers or half a ton of solid lead?

The true "joke" is a TON of feathers or a TON of bricks, in which case the TON of bricks is actually heavier. The reason being is that the TON referred to is a freight ton, which is expressed as a weight or volume. Bricks hit the weight cap well before the volume cap and feathers hit the volume cap well before the weight cap, therefore a smart shipper can mix weight and volume loads and thus a freight car that has, say, a 100 ton limit said smart shipper could actually lade it with say 160 tons.

To answer your question the solid lead assuming you are talking half of a long ton (2,240 pounds) rather than the short ton (2,000 pounds) or if the original was spoken and actually referred to the tonne (metric ton; 1000kg or ~ 2,204.6 lb).

Of course you could be referring to a freight ton, or even a displacement ton (which is one of the many diverse types of tonnage as a measurement of a ship).

So, again, depending on the EXACT CONTEXT of the question the answer can vary. Thank you for supporting my point about context!

 

[William K]

The true "joke" is a TON of feathers or a TON of bricks, in which case the TON of bricks is actually heavier. The reason being is that the TON referred to is a freight ton, which is expressed as a weight or volume. Bricks hit the weight cap well before the volume cap and feathers hit the volume cap well before the weight cap, therefore a smart shipper can mix weight and volume loads and thus a freight car that has, say, a 100 ton limit said smart shipper could actually lade it with say 160 tons.

To answer your question the solid lead assuming you are talking half of a long ton (2,240 pounds) rather than the short ton (2,000 pounds) or if the original was spoken and actually referred to the tonne (metric ton; 1000kg or ~ 2,204.6 lb).

Of course you could be referring to a freight ton, or even a displacement ton (which is one of the many diverse types of tonnage as a measurement of a ship).

So, again, depending on the EXACT CONTEXT of the question the answer can vary. Thank you for supporting my point about context!

So again you change the question to suit your answer

 

[residentialguy]

You must be a democrat! Read the question. It asked about USPAP not appraisal report forms such as Fannie Mae 1004.

A woman in a hot air balloon realized she was lost.
She lowered her altitude and spotted a man in a boat below. She
shouted to him, "Excuse me, can you help me? I promised a friend I
would meet him an hour ago, but I don't know where I am."

The man consulted his portable GPS and replied, "You're in a hot air
balloon, approximately 30 feet above a ground elevation of 2,346 feet
above sea level. You are at 31 degrees, 14.97 minutes north latitude
and 100 degrees, 49.09 minutes west longitude.

"She rolled her eyes and said, "You must be a Republican."

"I am," replied the man. "How did you know?"

"Well," answered the balloonist, "everything you told me is technically correct.
But I have no idea what to do with your information, and I'm still lost.
Frankly, you've not been much help to me."

The man smiled and responded, "You must be an Obama Democrat."

"I am," replied the balloonist. "How did you know?"

"Well," said the man, "you don't know where you are or where you are
going. You've risen to where you are due to a large quantity of hot
air. You made a promise you have no idea how to keep, and you expect
me to solve your problem. You're in exactly the same position you were
in before we met, but, somehow, now it's my fault.

:icon_mrgreen:

 

[CANative]

I hate Zwerg.