7/26/18// Newz .Funny Appraisal Ad, IL C/R Survey, Basements and GLA

The best appraisal ad I have ever seen – cats playing instruments, song appraisal re-title contest, etc.

 Just For Fun!

Short Excerpt: … submit a favorite song title– be it classical, jazz, rock, religious, country, or whatever- adapted to the appraisal business. Here are a few examples for starters (with a little literary license):
  • Appraising Pink Houses (John Cougar Mellencamp)
  • Measuring the House that Built Me (Miranda Lambert)
  • What Goes Up, Must Come Down (Spinning Wheel by Blood Sweat & Tears, describing the housing market)
  • Everything Happens to Me (Frank Sinatra)
Subject  line: Wednesday Wild Ideas from Intercorp
If you didn’t open it, or “opted out” of getting ads, Click here to read the full “ad” and see the cats!!

My comments: I have been doing ads for my newsletters since 1992. Boring. Boring. Boring. Yesterday’s Intercorp ad was the best I have ever seen!! Of course, my favorite is the cat playing cello. I play electric cello so I can amplify and use effects in my experimental music band, playing together for 8 years ;> Here’s link to a gig:  https://www.youtube.com/watch?v=Dk8zXPJ6hVA

AI Education

Great Spaces: Lakefront Living Goes Luxe

Just For More Fun!

Excerpt: To celebrate summer, in this month’s edition of Great Spaces, we’re highlighting some seriously serene lakefront properties, from Minnesota all the way to sunny Florida.
Click here to see the fotos:

Read more!!

Reconciliation for appraisers

Reconciliation – Paint a Picture with Words

By Rachel Massey, SRA
Excerpts: The reconciliation is precisely the place we want to avoid any boilerplate…Appraisers relationships with their clients has similarity with other relationships, but mainly in that we have to really communicate with each other to avoid misunderstanding. This goes for the engagement of services and why we are being hired in the first place, and also goes for communicating our assignment results. In this article, the focus is on the reconciliation section of a written report. Reconciliation for appraisers is very important.

Read the article, and the comments at:

My comment: Excellent, well written article, as usual, from Rachel Massey. FYI, Rachel is a regular contributor to the paid Appraisal Today.

Appraisal Business Tips 

Humor for Appraisers

Covid-19 Residential Appraisers Tips on Staying Safe

For Covid Updates, go to my Covid Science blog at covidscienceblog.com

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To read more of this 7-19-20 long blog post with many topics, click Read More Below!!

NOTE: Please scroll down to read the other topics in this long blog post on history of appraising, price declines, dining rooms, mortgage origination stats, etc.

Read more!!

7-12-18 Newz// 3 Story Homes, Auction Prices, Portable Architecture

The Most Popular Article From Last Week’s Newsletter: Former Appraiser’s Hot Dog Stand!! FYI, unusual and weird stuff is very popular with appraisers ;>

Three-story Single-family Homes and Townhomes

Excerpt: Of the 729,000 single-family detached homes started in 2017, a little over 18,000 (2.5 percent) had three or more stories, according to National Association of Home Builder tabulation of recently released Census data.

In contrast, the 23,000 3-plus story townhomes represent 22.0 percent of single-family townhome starts.

More info here:

My comment: 3 story detached homes are not popular in very many areas. It is a long walk up to the 3rd floor. I have appraised them (attic conversions of a classic older home to a master bedroom, for example). I always look to see if an elevator can be added – usually has to be on the exterior of the home. Definitely a functional problem. I rarely see them on existing homes, except for attic conversions. Some newer detached homes have a small room on the 3rd story – family room, extra bedroom, etc.

For townhomes, I have seen a significant increase in 3 story new construction townhomes in my city (within the past few years) and other Bay Area cities. The first floor is a garage plus entry, second floor living room and kitchen, bedrooms on 3rd floor. Very profitable for home builders, especially in areas with high land prices and infill tracts. I have appraised them and the owners did not object to the 3 floors. There are sometimes a few townhomes that are 2 story.

My first apartment when I moved to San Francisco in my 20s was a third floor walkup. I vowed Never Again ;>

Read more!!

7-5-18 Newz//Busy or Not?, Prices Dropping, Appraiser Hot Dog Stand

Who’s busy and who’s not?

Varies widely around the country. Maybe it depends on housing affordability? See articles below. But, it is really hard to say what causes the geographic variation for appraisers.

Many areas have seasonal variations, but now we are in the traditionally strong summer months, so it is clearer that some areas have less appraiser work.

How do you tell if it is down? AMCs dropping fees. Fewer emails, phone calls, etc.  Other appraisers complaining.
What about steady to increasing biz? Decent fees, turning down work, etc.

Changes in turn times and fees when biz slows down

Appraisers just don’t seem to understand that AMCs work for lenders and try to do what they want.

Why do AMCs/lenders want faster turn times?
AMCs work for lenders. They are competing on turn times primarily, like they always have. Business is very competitive and is declining.

Value pressure?
Is there more value pressure from some of your AMC clients?
Some lenders want to close as many loans as possible and keep profits from dropping.

Why do AMCs drop fees?
Direct lenders have their own fee panels don’t send out bid request to lots and lots of appraisers. Their fees don’t change dramatically. They have never focused on changing appraisal fees frequently. AMCs need lower appraisal fees to keep their profits up, just like you do. I have always thought of AMCs as very large appraisal companies that mostly fee out all their appraisals.

Read more!!