Welcome to the new 1004

[djd09]

You seem very disatisfied. Why don't you find a different line of work? You might be happier.

what a fraud...you worried about my happiness sounds like a GH line...not an independent thought in there, eh?

 

[Sadie]

Over the amount that is typical, you read that incorrectly. We have an undersupply at present (the areas I work). I am using a Fannie Mae (or Freddie Mac) form, but I follow VA's instructions on concessions. I put lots of data about the market area, including statistics, charts, trends, etc. If I make an adjustment, I can back it up. Believe me, it has been different circumstances in every more rural county I do. I have to start from scratch every time to track market trends with these internet rates. It has been a roller coaster. I'm not doing the same house or market every assignment. You have to realize that if I have a question, I can ask VA, I don't have to ask some AMC person. Different RLC's are different. I still don't understand how AVMs will do this better than an appraiser.

Sorry, didn't read incorrectly, copy/paste from the horse's mouth. You do need to review the guidelines. I provided a link. Doesn't matter what is typical as I stated in my post. Here it is again. 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. If you are using a F/F form, following their guidelines in implicit in the SOW. By adjusting what is "typical" is a USPAP violaton of the SOW rule.

"Sales concessions typically include financing incentives or non-realty items. As all adjustments must be market-derived, the adjustment should reflect the difference between the sales price with the sales concessions, and what the property would have sold for without the concessions under typical market conditions. The sales concessions on the comparable properties are adjusted to typical market expectations, not to the specific terms or conditions of the sale of the subject. Any concession adjustments must be downward adjustments as positive adjustments for sales concessions are not acceptable." Quote from the VA pamphlet.

As to the AVMs doing it better than us. The only thing they do better (?) is that they are cheap and quick, Really cheap and really quick. Thats it.

 

[alebrewer]

Concessions adjustments are so easy to do - work through all your other adjustments/analysis. Then, if the sales with concessions have higher adjusted values - adjust for concessions. If they don't have higher adjusted values - don't adjust. That is what is meant by this F/F requirement:
"Any adjustment should not be calculated on a mechanical dollar for dollar cost of the financing or concession but the dollar amount of any adjustment should approximate the market’s reaction to the financing or concessions based on the appraiser’s judgment."

 

[Sadie]

The thing is, TBH, I don't think any of our clients care 2 cents about concessions, as long as something is there. The ones who care are us, forensic reviewers, and state review boards, who are also apppraisers. And the chances of anything adverse occurring because of how we adjust for consessions is pretty slim. Although sometimes you get a well informed reviewer.

 

[DWiley]

You have to realize that if I have a question, I can ask VA, I don't have to ask some AMC person. Different RLC's are different. I still don't understand how AVMs will do this better than an appraiser.

Since you have that option, I suggest you reach out to them an ask if one should adjust for concessions based on the amount of concessions that are common in the area. I know what their guidance says, and I know what they told me when I met with them. Cheers.

 

[George Hatch]

lap dogs giving me lessons...public trust trumps all the clients whims and wants

Why don't you explain what you mean by that? Do you think blowing off a client's policies somehow contributes to the public's trust in the appraisal profession?

"I don't care what your institutions guidelines are or what level of development and reporting you think is meaningful to your decision making. I don't answer to you. I'm on a mission from God". ​

 

[Dublin ohio]

what a fraud...you worried about my happiness sounds like a GH line...not an independent thought in there, eh?

I doubt anybody really cares about your feelz. That being said. It does seem to be a bit masochistic at the least

 

[George Hatch]

Trying to mischaracterize it as somehow being an either-or choice is a completely braindead zombie-walk to begin with. It's never a choice of either-or; the only acceptable choice in an assignment is BOTH. (USPAP minimums + user driven extras)

 

[djd09]

i guess only a perv would have known what masochistic meant...

 

[djd09]

sputterman rolls over to the inch...but not the markets