What to do when you KNOW something is wrong

[Karl]

The Comp search thing I don't believe would be of any concern to QC's.

I'd think a Appraiser & sometimes more than one As in the following example have Appraised a home & none of the 4 could get 235,000 for the home on Tinjas, Then WOW it is sold & Documented at 235,000 Call the REALTOR & the answer is "We finally found an Appraiser that could get it done!! Now thats a File that I personnally think needs to be looked at. 100% Financed on a 80-20.

Multi Family's that the income approach does not come close to supporting, the Sales price.

ALL many QC's need to do is call the Realtors involved They'd be Amazed at what they'll tell you.

Example from this morning a 4 plex for sale called forwarded to RE Agent listing sale. When I gave address, and nothing more, this was her ACTUAL Reply "We have it listed for 440,000 there is a contract for 375,000 IF your willing to pay more we'll cancel this contract."

 

[Larboard]

If you see someone in danger of being harmed by something isn’t it the moral, ethical, and civilized thing to warn them that they might be in danger?

Isn’t this all that Pam is doing?

 

[Scott Kibler]

COMP CHECKS!?! Good grief not THAT again???:Eyecrazy:

I think if we could start a secret database that promised to jail comp check doers (evil doers?) we'd get 100% forum participation.

 

[Bob Ipock]

It may also be in some cases an Ethics obligation from USPAP. Why should we allow others to communicate a misleading or fraudulent report?


"An appraiser must not use or communicate a misleading or fraudulent report or knowingly permit an employee or other person to communicate a misleading or fraudulent report."



Conduct (ETHICS RULE)
An appraiser must perform assignments ethically and competently, in accordance with USPAP and any supplemental standards agreed to by the appraiser in accepting the assignment. An appraiser must not engage in criminal conduct. An appraiser must perform assignments with impartiality, objectivity, and independence, and without accommodation of personal interests.

In appraisal practice, an appraiser must not perform as an advocate for any party or issue.

Comment: An appraiser may be an advocate only in support of his or her assignment results. Advocacy in any other form in appraisal practice is a violation of the ETHICS RULE.

An appraiser must not accept an assignment that includes the reporting of predetermined opinions and conclusions.

An appraiser must not communicate assignment results in a misleading or fraudulent manner. An appraiser must not use or communicate a misleading or fraudulent report or knowingly permit an employee or other person to communicate a misleading or fraudulent report.

 

[DTB]

Comp check requests where the value wanted in way out of line is a very good address to send!!!!!

These addresses will have the loan application files and appraisals double and/or triple checked by the funding lenders and others that might be lined up to purchase the loan after closing. They would like to catch these prior to closing them, but are just as happy to find one that needs to be audited after closing.

If you send me an address where it's from an inflated comp check request, please let me know. A brief explanation of what kicked up the red flag to you would be nice, but is not necessary. Your name will not be included in what I send to my list.

I met some at the HUD mortgage fraud conference that have been getting my lists of address and they are thrilled to be able to catch these. I met more that want to be added to my list. The response is positive because I'm now reaching those that want this stopped as much as we do and are in positions to do something about it.

Wouldn't one need an appraisal to determine if a comp check is way out of line?

Someone might be stepping into something that is difficult to remove from one's shoes.

 

[Pamela Crowley (Florida)]

I'm passing along an address only, not an appraisal.

 

[Bob Ipock]

Will all appraiser's raise their hand if:


They have ever been sued for filing a complaint with the state board.

Have ever been sued by another appraiser for a truthful comment, review or
accusation.

Have ever been sued for seeing a "red flag issue" and then sugessting a lender, broker, investigator or ANY other real estate professional look into the matter to see if a problem or issue exists.

Have ever had to face any disciplinary or legal action for any truthful comment, review, complaint or accusation.

I don't see any hands.

People pick up the phone every day and suggest that matters be looked into. People call the police, insurance companies, wrkmabn comp agencies, divorce lawyers, elected officials, NAR, loacl Realtor Boards, better Business Bureaus.....and the list goes on.

Those who want to scare people into doing nothing must have some unknown reasons. I understand why some people refuse to make a call...but I am unsure why they object to others doing so with good intentions and a sense of protecting the public.

 

[Stone]

Wouldn't one need an appraisal to determine if a comp check is way out of line?

Someone might be stepping into something that is difficult to remove from one's shoes.

Stepping in What?????? Passing along an address that might be worth a second look is not the same as accusing anyone of anything.

I find myself wondering if some of you have actually read what Pamela is doing. No appraiser names are being sent. Reports are not being sent. The only thing being sent is an address and possibly a description of what to look for. She isn't stopping loans or putting appraisers on the spot. This is basically an extra QC check. That is all. This isn't Phil Rice hanging appraisers in public.

This seems like one of the best ideas I've seen. It is easy, doesn't require any break of confidentiality, and doesn't involve any actual accusations. For all the complaining done on this board, Pamela seems to have found a relatively simple way to at least pass along concerns and maybe have one or two "deals" looked into.

I have yet to see any legitimate argument against this.

Great job Pam! It never would have crossed my mind that some here would have a problem with this. I cannot figure it out.

 

[JSmith43]

It is so difficult sometimes to draw the line between good and bad.

Hard to bracket the argument.

Example: What is the difference between Santa Claus and Joe McCarthy?

Answer: I'm not sure....they were both


Making a list
Checking it twice
Going to find out
Who's naughty and nice

 

[Karl]

Great job Pam! It never would have crossed my mind that some here would have a problem with this. I cannot figure it out

DITTO

I THINK the problem is; SOME may be reading to far into it. Pam's idea & the work she's putting into it . The WORST possible thing I can see happening is in the event no one does anything with the addresses, in the event that the market declines & foreclosures go on the rise, everyone starts saying it was the APPRAISERS FAULT. Pam can simply post the E-Mailed addresses & say WE TOLD YOU. I personally do NOT see that as a BAD thing.

Start watching Mortgage Brokers Associations meetings & see what some of them are doing in TRYING to clean up thier proffession.

Notice the NON Appraisers that have started visiting this Forum. HOW you think they found it. I'm betting by E-Mail inviting them to see our side.