What does it Mean to Protect the Public Trust

[George Hatch]

It has nothing to do with acceptable risk, more reliable, credible, margins, etc. it’s not even about quickness. It’s about having the AMC keep 500 on every order and only pay out 200. All the other nonsense is smoke and mirrors. Been clear from day 1 that’s what this is about.

I know why the one guy on here spews his nonsense. What doesn’t make sense is why other supposed working appraisers do.

So you think the AMCs are driving this, not the lenders. Please elaborate.

I can't wait to see what nonsense you come up with for this one.

 

[Joe Flacco]

So you think the AMCs are driving this, not the lenders. Please elaborate.

I can't wait to see what nonsense you come up with for this one.

It starts and ends with the GSE's.

 

[chad hampton]

Of course. They are all friends. Get passed around from an AMC, to a gse, maybe go work on the lender side for a while. Wash Rinse and repeat.

What few of them do is work as an appraiser.

It wasn’t the lenders flying their representatives around the country years ago to threaten appraisal boards, it was people on reevas payroll.

Of course it has to be disguised. Always follow the money. Things become clear.

if it wasnt about that mighty buck, and was really the lenders, What the AMCs could have done is told them they aren’t participating in sending felons and Uber drivers out to do appraisal inspections. Obviously no legitimate appraisal professional would support that.

 

[George Hatch]

Of course. They are all friends. Get passed around from an AMC, to a gse, maybe go work on the lender side for a while. Wash Rinse and repeat.

What few of them do is work as an appraiser.

It wasn’t the lenders flying their representatives around the country years ago to threaten appraisal boards, it was people on reevas payroll.

Of course it has to be disguised. Always follow the money. Things become clear.

if it wasnt about that mighty buck, and was really the lenders, What the AMCs could have done is told them they aren’t participating in sending felons and Uber drivers out to do appraisal inspections. Obviously no legitimate appraisal professional would support that.

As expected, none of that is responsive to the question I actually asked:

So you think the AMCs are driving this, not the lenders. Please elaborate.​

I didn't ask you about motivations; I asked you about who is actually doing what between the AMCs and the Lenders? How can any AMC do anything that their client does not approve of? How can any AMC force their client to do anything they don't want to do?

C'mon now. Even you know what the answers to the above are. It's obvious.

 

[ZZGAMAZZ]

I don't disagree with that. My point was not to lay blame, but rather to (hopefully) present a compelling argument for why that sentence has no place in our current environment.

"Public Trust" is ill-defined, and the concept of one's "Peers" is absolutely meaningless because it isn't defined anywhere that I am aware. I often wonder if either of those critical concepts are ever the basis of legal matters.

 

[ZZGAMAZZ]

Pretty sure it's in the Ethics Rule.

They just amended USPAP Ethics Rule to include a non-discrimination section, even though what they added was never acceptable and appraisers and users knew that. They added the language to clarify it for non-appraisers and non-users. So I think public is used in the broadest sense.

I provide BK appraisals on a for-fee system based upon trust, figuring that individuals pending BK don't need another expense. I lost only $200 in 10 years, and every one of the individuals were extremely appreciative.

 

[Jayjay25]

The appraiser is looking at the pics and can see as much about the subject as they can about any of the comps that they're selecting as being most similar. Either what the appraiser cannot see in the subject pics is so critical to the lender's mortgage decision that missing it poses a threat to safe/sound lending in the macro or it isn't.

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I disagree. A majority of the comparable sales we use have property condition disclosures signed by the seller. If a known deficiency is not disclosed it is fraud and the buyer can sue for remedy. If the unnamed unlicensed property data collector doesn’t disclose deficiencies on the subject there is no legal recourse. Maybe we should have them sign a property condition disclosure and be responsible for the repair of missed inspection items…..oh wait, that sounds an awful lot like a home inspector….

 

[chad hampton]

I disagree. A majority of the comparable sales we use have property condition disclosures signed by the seller. If a known deficiency is not disclosed it is fraud and the buyer can sue for remedy. If the unnamed unlicensed property data collector doesn’t disclose deficiencies on the subject there is no legal recourse. Maybe we should have them sign a property condition disclosure and be responsible for the repair of missed inspection items…..oh wait, that sounds an awful lot like a home inspector….

What the revaa crowd also struggles to come to terms with is that we also have a sales price for the comparable. So if the house looks updated in the MLS and has a sales prices on the higher end, then that would make sense. If the house looks updated, but the sales price seems low, then you might want to take a closer look and see if the photos were taken at a more flattering angle. Your peers would consider that reasonable and acceptable appraisal practice.

For the subject, we are missing that very important piece of the puzzle. It's the piece we are being paid to come up with. And it relies heavily on the appraisal inspection.

I don't really blame them for not understanding this. Many at the higher up levels haven't appraised a home since bush was in the white house. When I go a month without doing an appraisal, i struggle to get back into it and forget things too. I can't imagine taking off 1-2 decades.

 

[djd09]

yep what if the corner of the house is one inch below grade and the appraisal inspector misses it....

 

[George Hatch]

What the revaa crowd also struggles to come to terms with is that we also have a sales price for the comparable. So if the house looks updated in the MLS and has a sales prices on the higher end, then that would make sense. If the house looks updated, but the sales price seems low, then you might want to take a closer look and see if the photos were taken at a more flattering angle. Your peers would consider that reasonable and acceptable appraisal practice.

For the subject, we are missing that very important piece of the puzzle. It's the piece we are being paid to come up with. And it relies heavily on the appraisal inspection.

I don't really blame them for not understanding this. Many at the higher up levels haven't appraised a home since bush was in the white house. When I go a month without doing an appraisal, i struggle to get back into it and forget things too. I can't imagine taking off 1-2 decades.

You know, someone whose job description includes looking at SFR appraisals every day or who is engaged in doing appraisals on non-res properties everyday isn't as isolated from your lived experience as you want so desperately to believe. Not when it comes to the issue of what we do and don't do during an inspection or how we analyze a neighborhood or a market or a set of comps. There's nothing unique about appraising homes everyday. It's like being young - everyone has done it.