Will you prepare the 1004desktop?

[Terrel L. Shields]

No appointments or inspection for $25 less?

My problem was finding information on the interior. In much of my coverage area there is ((and even more so then) areas with very little MLS coverage or coverage from Tulsa MLS. I can only belong to so many MLSs...

the inability to measure physical, functional, and external influences.

Sometimes our guess is better than their calculation

furtherance of the public trust in the appraisal profession as a whole.

That in itself, is a hair shirt job. We cannot make our clients happy let alone the "public". Our values are here, now, today. And today, the market is batsh*t crazy. Land has gone insane since the Covid crisis and if interest rates increase to 10%? It will bankrupt half these fools. I know one builder who bit the big wienie back in 2009 and now is buying land like mad - I would say he had bought at least $5 million all over the county in just the last year. Yes, he is making money had over fist. But in the immediate area in a three mile radius, I have at least 4 land sales where the value of the land was $5,000/acre to a max of $7,000/acre closed sales in 2019-2020. This one party alone has purchase 5 parcels totalling 210 acres for an average of $12,000 an acre. There are no $6k sales, no $7 k sale, one fluke at $8k and none at $9k or 10k. He blew through all those straight to $12k. Ranch land, pasture, with a haybarn or 2...and 1 old house, 1 newer house - You cannot grow cows on it so how will it cash flow if you don't develop it and why would you develop land on a narrow dirt road a mile from a pavement? Makes no sense.

Our value is good for one day. So the lender cannot rely upon the value unless market conditions remain constant. The public only sees us as either rubber stamping the bank's wishes or we "don't know what value is." if comes in low. It's not been more than 3 or 4 years since I had someone ask me what their place was "really" worth because they knew I was "doing the bank's bidding." If after 25 years, the "public" cannot understand there is only one "market value" then when do you think they ever will understand? I don't think the "public" is mentally competent on the whole to know "come here" from "siccum". They have their personal suspicion and phobias and everything else goes over their head.

Even my own relatives, children of a banker with 40 years experience (RIP, Ken.) I had lunch with my niece last night. Their house was built by my brother in 1972, about 1,700 SF on 8 acres. One bank a few years ago said it was worth only $85,000 (BECAUSE my brother sold them the place for what he still owed on it.) A comp by the same builder on 11 acres but on a dirt road had sold for $140,000 in the middle of the great recession... 2 miles away. Completely ignored me. Banker got them in an ARM for TEN YEARS. I kept telling them to get the L away from that bank. They were scared that the next appraisal would be worse, so they stayed in the ARM. The appraiser was a known moron and I think left the industry shortly after. One of the appraisal mill wonders from 2008. Nope, they punished themselves thinking a small bank couldn't provide a debit or credit card or all the services and she was loyal in part due to it being the bank her dad had worked for...(Geez...and she had a good education, too) - Finally after all this time a while back they refi'd with a new bank and the appraisal? $250k... but the interest rate is low and they made more progress against the principal in 2 years than they did in 10 with an ARM. They should be debt free in 5-10 years, but should have already been had they refi'd back 2012ish when I told them to.

 

[George Hatch]

The purpose of exposure drafts is to solicit the different opinions.

Sooner or later "inspection by other means" is going to advance to the point that's similar in reliability to a physical inspection. With that said, I do not favor removing the definition of personal inspection from USPAP. That puts me in agreement with the AI.

 

[alebrewer]

Would you agree that an appraiser who does, say 60% of his work in a particular county, is on balance more likely to know that county better than someone coming in from 2 hours away to do a "hit and run" appraisal?

For SOME property types in SOME markets - yes. For a homogenous home in a fairly homogenous market - pretty sure I could produce credible results from space.

 

[Terrel L. Shields]

Would you agree that an appraiser who does, say 60% of his work in a particular county, is on balance more likely to know that county better than someone coming in from 2 hours away to do a "hit and run" appraisal?

Depends. If we are talking residential, perhaps. But do you want to assume a "local" appraiser is more knowledgeable about say a airport hangar? A shopping Mall? A golf course? Hotel? Motel? Truck Terminal? Competence is a two way street and geo-competence is over-sold in my opinion.

OTOH, a desktop only exacerbates the problems if one is not reasonably familiar both with the area or with the type property.

 

[Terrel L. Shields]

The purpose of exposure drafts is to ignore any different opinions but pretend it considers your opinion.

Fixed it for you.

 

[George Hatch]

Not everything they expose makes it into USPAP. That means that what they end up thinking doesn't always match what they started out thinking. Somewhere along the line someone told them something that caused them to change their minds.

 

[Terrel L. Shields]

Somewhere along the line someone told them something that caused them to change their minds.

I bet it wasn't one of peons in the back woods like me. I've commented before, and obviously don't expect them to believe me in any circumstance but it seems rather infrequently that the exposure draft is a lot different than the final product. Certainly they ignored the "misleading" definition argument.

 

[George Hatch]

The tale they told us is that the revised PREAMBLE they adopted was the result of an unsolicited suggestion from an individual. They weren't even considering a revision but the suggestion made enough sense to them they went with it.

The exposure process is not intended to function as a winner-take-all election, but to see what does/doesn't make sense. There are a lot of appraisers who support adding "draft report" to USPAP, but so far that isn't happening despite the financial incentives to many of those advocates.

 

[Terrel L. Shields]

Sooner or later "inspection by other means" is going to advance to the point that's similar in reliability to a physical inspection.

with perhaps the same disclaimers as the MLS or Zillow??

 

[djd09]

could you imagine the judge sentences you to 5 years minimum without a max. your honor, when is the end? shut up, you ignorant incompetent lying maskless superspreader, 'the time is near'. hee haw hee haw