Bob Hope’s UFO Home Sells for $13 Million

Excerpt: At long last, Bob Hope’s UFO house has sold for $13 million, after first being listed in early 2013 with a price tag of $50 million.  Having gone through a couple of price cuts over the last three years, the most recent cut lowered the ask to $25 million. But with no comps available, how does one actually price a concrete space ship?  Seems that when $25 million was thrown at the wall, $13 million stuck.

My comment: Tough appraisal including measuring and the listing history ;>

Top 10 cities with homes most threatened by heavy winds
CoreLogic gives its Windy City index


In its latest report, CoreLogic rated the top cities at risk of hazardous wind conditions in its Windy City Index. The ranking among the nation’s largest 279 metros incorporates both the number of wind events, measured at the city center plus a 10-mile radius, as well as the total force caused by any severe wind gusts of 60 mph or more.
“Wind can cause significant damage whether associated with an actual hurricane or not,” CoreLogic Product Manager Curtis McDonald said. “Wind speeds of 92 mph, even without a hurricane – as seen in Tallahassee – can be a significant threat to life and property.”
Two of the top 10 cities
10. Charleston, South Carolina
Number of wind events: 12
Max wind speed: 86 mph
4. Cincinnati, Ohio
Number of wind events: 16
Max wind speed: 79 mph

My comment: Wow!! I had no ideas these cities had high winds, especially those not in hurricane areas.

The True Price of History: What a Historic Home Will Cost You 
Excerpt: There’s something so inspiring about the idea of living in a historic home. Imagine puzzling over “Westworld” on your 4K TV in the same room where Founding Father James Madison once scribbled notes for the Constitution. Consider bragging to the BFFs at your next Botox party that the parlor they’re relaxing in survived the Civil War. Or contemplate recovering from a sloe gin fizz hangover in the life-affirming final design of famed architect Frank Lloyd Wright.
Very interesting article at:

My comment: There are a lot of historic homes in my small city with restrictions on what you can do. For example, new windows must look the same as the original windows. I recently read an article about a small town wanting to have a lot of its old homes declared historic. I don’t think they really understood what it means. Does it affect value, negative or positive?

Free Webinar and Q&A: Housing Outlook 2017: Trump’s Mortgage Nation – Jan. 26, 2017
Housing experts will answer your Trump questions
Here are some of the hottest topics at the webinar:
– What’s next for mortgage rates? They’re rising, but how high?
– FHA reduced premiums, again. What’s the outlook on PMI vs. FHA?
– Will Trump really repeal Dodd-Frank? What will that mean for the CFPB?
– What is the future of the mortgage-interest deduction?

My comment: no one really knows what will happen after Friday’s Trump inauguration, but there is lots of speculation… I registered for the webinar. If you register, but don’t listen to it live, you will get a link for the recording. Don’t wait to register as it may fill up.


Meet the New Boss….CU. 

Practical advice from a lender reviewer
By Jared Mickel, SRA, RG

In the January paid Appraisal Today

CU Comparable Warnings from mis-representing the subject

The other way appraisers needlessly generate comparable warnings occurs when they misrepresent the subject.

CU is actually very trusting. It believes what you tell it about the subject and so the sales it presents will be selected and ranked to match your representation of the subject.

When you call the subject a C3 it expects that it *is* actually C3, and that you will compare the home to other properties that have been identified as C3 by the other appraisers in your market.

Consensus C3 properties will be ranked high by CU; all the C2 and C4 properties will be ranked low. If the actual condition of your property is most consistent with C4, and you bring in competitive C4 properties, those will be low rank sales.
Warnings will be generated because it looks like you’re overlooking more comparable properties. As with the discrepancy messages discussed above, make sure you know the UAD definitions inside and
out and use them as faithfully as possible. 
To read the full article, plus 2+ years of previous issues, subscribe to the paid Appraisal Today.
If this article gave you good ideas for handling, 
or avoiding, CU warnings, 
it is worth the subscription price!! 
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If you are a paid subscriber and did not get the January 2017 issue, emailed January 3, 2017, please send an email to  and we will send it to you!! Or, hit the reply button. Be sure to put in a comment requesting it
The Appraisal Standards Board 2018-2019 Proposed USPAP Changes
Comments due by 1/27/17
Excerpt: two of the changes:
– Definition of Assignment, Assignment Conditions, Intended Use, and Intended User, and related edits to the Competency Rule. The purpose of the proposed edits is to clarify the time frame referred to by “at the time of assignment” within the current definition, which has caused confusion in the industry. To clarify, the proposed edit would revise the USPAP definition of assignment to only refer to the valuation service, not the agreement.
– Definition of Assumption and Extraordinary Assumption. After recommending in earlier Exposure Drafts the introduction of new terms – Specific Assumption and General Assumption, the ASB is now proposing to delete the definition of Assumption and revise the definition of Extraordinary Assumption.
My comment: Thanks to Greg Stephens for writing up this summary!!
The ASB  reads all comments. Be sure to send yours to them. I don’t ever use the terms extraordinary assumption, etc. I just say what I am assuming. Too confusing for almost all readers, including many appraisers ;> I use assumptions a lot in my non-lender appraisals.
Click here to read the full list and analysis

Click here to download the Draft: 

Appraiserville – AI and money, Zillow
By Jonathan Miller
The Appraisal Institute “Taking” policy debacle” on hold
…Tuesday, the AI National Board voted to put the controversial financial policy (the “taking”) on hold for membership feedback.
…the FNC deal which is now much more relevant to CoreLogic’s recent purchase of FNC for $475 million (from 2004)
…Re-addressing the inaccuracy of the Zestimate and the trend it started
 There was a great Ken Harney column on Zillow’s “Zestimate” from 2 years ago that was making the rounds among the appraisal community this week.
Scroll down the page past all the graphs, etc. to read the full Appraiserville commentary.

More info on AI issue at matrix blog:

HOW TO USE THE NUMBERS BELOW. Appraisals are ordered after the loan application. These numbers tell you the future for the next few weeks. For more information on how they are compiled, go to 
Note: I publish a graph of this data every month in my printed newsletter, Appraisal Today. For more information or get a FREE sample issue go to or send an email to . Or call 800-839-0227, MTW 8AM to noon, Pacific time.
Mortgage applications increased 0.8 percent from one week earlier

WASHINGTON, D.C. (January 18, 2017) – WASHINGTON, D.C. (January 18, 2017) – Mortgage applications increased 0.8 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending January 13, 2017. The previous week’s results included an adjustment for the New Year’s holiday.

The Market Composite Index, a measure of mortgage loan application volume, increased 0.8 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 29 percent compared with the previous week. The Refinance Index increased 7 percent from the previous week. The seasonally adjusted Purchase Index decreased 5 percent from one week earlier. The unadjusted Purchase Index increased 25 percent compared with the previous week and was 1 percent lower than the same week one year ago.

The refinance share of mortgage activity increased to 53.0 percent of total applications from 51.2 percent the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 5.7 percent of total applications.

The FHA share of total applications increased to 13.1 percent from 11.7 percent the week prior. The VA share of total applications decreased to 12.1 percent from 12.8 percent the week prior. The USDA share of total applications remained unchanged at 0.9 percent from the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,000 or less) decreased to its lowest level since December 2016, 4.27 percent, from 4.32 percent, with points decreasing to 0.39 from 0.41 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans. The effective rate decreased from last week.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $424,000) decreased to 4.22 percent from 4.27 percent, with points increasing to 0.36 from 0.31 (including the origination fee) for 80 percent LTV loans. The effective rate decreased from last week.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 4.10 percent from 4.08 percent, with points decreasing to 0.28 from 0.35 (including the origination fee) for 80 percent LTV loans. The effective rate remained unchanged from last week.

The average contract interest rate for 15-year fixed-rate mortgages decreased to 3.51 percent from 3.56 percent, with points decreasing to 0.34 from 0.42 (including the origination fee) for 80 percent LTV loans. The effective rate decreased from last week.

The average contract interest rate for 5/1 ARMs increased to 3.44 percent from 3.32 percent, with points decreasing to 0.21 from 0.46 (including the origination fee) for 80 percent LTV loans. The effective rate increased from last week.

If you would like to purchase a subscription of MBA’s Weekly Applications Survey, please, contact

The survey covers over 75 percent of all U.S. retail residential mortgage applications, and has been conducted weekly since 1990.  Respondents include mortgage bankers, commercial banks and thrifts.  Base period and value for all indexes is March 16, 1990=100.

1 Comment
  1. If I had that kind of money, I would have picked up Bob Hope’s house three years ago! Whoever bought it got it for a steal!

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