Welcome to the new 1004

[Tiffany Gibbons]

If you are doing F/F work, you sign a statement that ". I verified, from a disinterested source, all information in this report that was provided by parties who have a financial interest in the sale or financing of the subject property." The little field on the MLS sheet, whch BTW is going away, I don't think is sufficient. Also sometimes the concessins are not $$, they can be weird.

Hre is HUD's take on it. "The appraiser must verify comparable sales. MLS by itself is not considered a verification source. Contacting someone with first-hand knowledge of the transaction (listing or selling agent, buyer, seller, etc.) is the preferred method of verification." Speaking to HUD, I was told if after attempts were made, you can just document your attempts and use your best judgement. But you have to try.

Sales concessions are not that common, even on VA sales, where I am The. builder's offer a set percentage if you use their lender, etc. I just look that up by deed. I don't understand why they aren't going to have that anymore, it seems like could separate the buyer's agent fee. But are the AVM's going to do that as well?

 

[djd09]

12. Using information available in the normal course of business, I researched, verified, analyzed, and reported on any current agreement for
sale for the subject property, any offering for sale of the subject property in the twelve months prior to the effective date of this appraisal, and
the prior sales of the subject property for a minimum of three years prior to the effective date of this appraisal.

hey USPAP guru...define the normal course of business...who is writing this garbage fannie or taf

 

[George Hatch]

Fannie's form; Fannie's interpretation thereof. They may require a bit more than the minimums in USPAP.

There is also a USPAP reference for normal course of business in SR1-5, the footnote for which goes to an Advisory Opinion #24. That AO cites the SOW acceptability test in the SOWR.

 

[Sadie]

Sales concessions are not that common, even on VA sales, where I am The. builder's offer a set percentage if you use their lender, etc. I just look that up by deed. I don't understand why they aren't going to have that anymore, it seems like could separate the buyer's agent fee. But are the AVM's going to do that as well?

Sales concessions are on deeds there?

 

[Tiffany Gibbons]

Sales concessions are on deeds there?

They all offer a % of the sales price, you only adjust the amount over what is typical anyway. It can be the whole amount. That is what your research tells you, especially in Model homes, same agent on all sales,, etc.

 

[Sadie]

They all offer a % of the sales price, you only adjust the amount over what is typical anyway. It can be the whole amount. That is what your research tells you, especially in Model homes, same agent on all sales,, etc.

Umm maybe review guidance on sales concessions again. And double check your data. You know, contact a party to the transaction like one of the realtors. I think if someone decided to review your work, "They all offer a percentage of the sales price." is not going to cut it. And "you only adjust what is typical". Be ready to have the source of this information available, cause that isn't necessarily true.

Are referring to residential appraisals? Cause if you are here is the key verbiage from FNMA "The need to make negative dollar adjustments for sales or financing concessions and the amount of the adjustments to the comparable sales is not based on how typical the concessions might be for a segment of the market area. "
https://selling-guide.fanniemae.com/sel/b4-1.3-09/adjustments-comparable-sales

If you are using a F/F form, part of your SOW is to follow their guidelines.

 

[Elliott]

Of course its a snap for those who will never use it. Forty pages of same old, but if you copy one report CU will be programmed to declare 'boiler plate.' I didn't pursue accounting because it was too boring.....this just makes appraising more boring and if USPAP didn't give GSEs and Boards enough 'gotchas' this just adds to them. I'll pass and stay with real work, not accounting foo foo. Actually, accounting is more interesting and you don't have to explain the theory of addition and subtraction.

 

[Tiffany Gibbons]

I th

Umm maybe review guidance on sales concessions again. And double check your data. You know, contact a party to the transaction like one of the realtors. I think if someone decided to review your work, "They all offer a percentage of the sales price." is not going to cut it. And "you only adjust what is typical". Be ready to have the source of this information available, cause that isn't necessarily true.

Are referring to residential appraisals? Cause if you are here is the key verbiage from FNMA "The need to make negative dollar adjustments for sales or financing concessions and the amount of the adjustments to the comparable sales is not based on how typical the concessions might be for a segment of the market area. "
https://selling-guide.fanniemae.com/sel/b4-1.3-09/adjustments-comparable-sales

If you are using a F/F form, part of your SOW is to follow their guidelines.

Umm maybe review guidance on sales concessions again. And double check your data. You know, contact a party to the transaction like one of the realtors. I think if someone decided to review your work, "They all offer a percentage of the sales price." is not going to cut it. And "you only adjust what is typical". Be ready to have the source of this information available, cause that isn't necessarily true.

Are referring to residential appraisals? Cause if you are here is the key verbiage from FNMA "The need to make negative dollar adjustments for sales or financing concessions and the amount of the adjustments to the comparable sales is not based on how typical the concessions might be for a segment of the market area. "
https://selling-guide.fanniemae.com/sel/b4-1.3-09/adjustments-comparable-sales

If you are using a F/F form, part of your SOW is to follow their guidelines.

I only do VA appraisals as far as residential. Their game, their rules. Lenders Handbook. I think you missed that concessions are not common common here on existing housing, and that one agent or a team is the builder's listing agents there at the model. They they will tell you while you are on site in a new SD. You do stop by the model? I check on pending sales of the same floor plans, see if another builder has a model home within the development, get a plat,, floorplans, options, common area layout, lot premium sites, etc. etc.. I meant you can verify all your sales if want in person while you're there.

 

[Mejappz]

USPAP didn't give GSEs and Boards enough 'gotchas' this just adds to them.

Without a doubt, this is the Board's and GSEs' wet dream. Now with USPAP which could be interpreted 1,000 different ways and the GSEs new house inspection form. The table is set to get rid of most appraisers.

 

[DWiley]

They all offer a % of the sales price, you only adjust the amount over what is typical anyway.

100% not accurate.

Adjustments are based on the effect on price, regardless of what is typical in an area. FHA, VA and the GSEs all have the same guidance on this.