Would you change the report or write an addendum?

[residentialguy]

I completed an appraisal for a purchase. Did the inspection on 3/1.

Just got a revision with an PA addendum showing seller agreeing to pay concessions of $900 towards closing. I never got this addendum prior to my completion.

I have my addendum set to show the seller paids...but I wasn't going to change my report since I didn't make a mistake, they did - I was kept in the dark about this. I'm sure I'm going to get grief for not changing the report. Am I being to rigid on this? Doesn't really change anything else on the report and it was agreed upon prior to my effective date.

Would you change the report or write an addendum???

 

[Dan Umstead]

Change it, explain in the addendum and be very clear (not misleading), and move on. No harm, no foul.

 

[sandpiperapp]

When I screw up, I change the report and write an addendum. When they screw up, I just write an addendum.

That is as long as the presence of the concession has no effect on your value reasoning or conclusions

 

[residentialguy]

Why the heck does the buyer need the seller to pay $900 on a $300k house!

 

[Lee Lansford]

I completed an appraisal for a purchase. Did the inspection on 3/1.

Just got a revision with an PA addendum showing seller agreeing to pay concessions of $900 towards closing. I never got this addendum prior to my completion.

I have my addendum set to show the seller paids...but I wasn't going to change my report since I didn't make a mistake, they did - I was kept in the dark about this. I'm sure I'm going to get grief for not changing the report. Am I being to rigid on this? Doesn't really change anything else on the report and it was agreed upon prior to my effective date.

Would you change the report or write an addendum???

As to your question: One is different from the other...how, exactly?

Whatever you do, you are communicating a "new" report of the appraisal...there's no changin' anything (seriously).

Me?

I'd communicate a 2nd report (having a current 'date of signature & report') of the appraisal, being quite specific as to how (why and where) 'this' appraisal report differs from 'that' appraisal report.

This is an easy problem to solve.

 

[residentialguy]

I just called the buyer to find out the answer to that question. It was 1/2 the cost of the Radon Mediation. Now it makes sense.

Next question is should I disclose that tidbit????

 

[residentialguy]

As to your question: One is different from the other...how, exactly?

Whatever you do, you are communicating a "new" report of the appraisal...there's no changin' anything (seriously).

Me?

I'd communicate a 2nd report (having a current 'date of signature & report') of the appraisal, being quite specific as to how (why and where) 'this' appraisal report differs from 'that' appraisal report.

This is an easy problem to solve.

I see what you are saying, but attaching an addendum doesn't change the report. They just have an appraisal dated 3/1 and a note attached to it dating 3/20. Maybe calling it an addendum was not correct. It's just a note of information.

 

[residentialguy]

As to your question: One is different from the other...how, exactly?

Whatever you do, you are communicating a "new" report of the appraisal...there's no changin' anything (seriously).

Me?

I'd communicate a 2nd report (having a current 'date of signature & report') of the appraisal, being quite specific as to how (why and where) 'this' appraisal report differs from 'that' appraisal report.

This is an easy problem to solve.

Yeah, on further thought, I'm going to go that direction. Thanks Lee!


Here is how I am thinking to explain the concession:
"Buyer had radon mitigation done; Seller agreed to pay half of that cost and apply it towards buyers closing costs"

Thoughts about this from my peers?

 

[residentialguy]

By the way, this is where one of those rare instances where the concessions would NOT be adjusted dollar for dollar. The price was unaffected by this. That's why appraisers need to call the agents and VERIFY!

Hope UCbriuns catches this

 

[Peter LeQuire]

Yeah, on further thought, I'm going to go that direction. Thanks Lee!


Here is how I am thinking to explain the concession:
"Buyer had radon mitigation done; Seller agreed to pay half of that cost and apply it towards buyers closing costs"

Thoughts about this from my peers?

Perfect! Add $50 to the bill and go on to the next one.

We'uns did.