Blog - Appraisal Today

Creative Appraisal Definitions – Humor

By Ann O'Rourke on June 5, 2026 / Leave a comment

Newz: Creative Appraisal Definitions – Humor, FHA Modernization Minimum Property Requirements

June 5, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Subpoena Threat Over a 10-Year-Old Appraisal
Creative Appraisal Definitions Humor
Foam Dome Home With ‘Not a Single Straight Line’ Hits the Market in Florida for $249K: ‘A Genuine Original’
My ad: How to decide which UAD 3.6 software to use
USPAP’s Typical Buyer Standard in the Fair Housing Era, By Edwin Farr, MAI
FHA Seeks Public Comment Regarding Modernizing Its Single Family Housing Minimum Property Requirements
Upcoming UAD 3.6 Bootcamp in Irving, Texas
MBA: Mortgage applications decreased 2.5 percent from one week earlier

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Creative Appraisal Definitions – Humor

Excerpts:

Purpose of the Appraisal – To make a living in the appraisal business.
Functional Obsolescence – That state of many older appraisers.
The Subject – A term police use to identify the victim of a crime.

To read more, Click Here

My comments: We can all use some appraiser humor !!

For commercial and residential appraisers.

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Foam Dome Home With ‘Not a Single Straight Line’ Hits the Market in Florida for $249K: ‘A Genuine Original’

Read more!! →

Posted in: bias, FHA, UAD 3.6

Tags: bias, FHA, humor, UAD 3.6

Adapt or Step Back? How UAD 3.6 Is Forcing a Career Decision for Appraiser

By Ann O'Rourke on May 29, 2026 / Leave a comment

Newz: UAD 3.6 Adapt or Step Back,

Getting Started With AI

May 29, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Too Late for a Reconsideration of Value
Adapt or Step Back? How UAD 3.6 Is Forcing a Career Decision for Appraisers, By Rachel Mann
109-Year-Old ‘Boathouse’ That Appears To Float on Washington Canal at High Tide Hits the Market for $2.1 Million
Getting Started with AI for Appraisers
MY AD: Loose Lips Cause Claims (Loose Lips Lead to Lawsuits) By Claudia Gaglione, Esq.
Wells Fargo Settles Mortgage Discrimination Suit With $100M Fund To Help Low-Income Homebuyers
HB 355 and What Every Appraiser Should Learn from Kentucky’s Legislative Win, By Bryan S. Reynolds, MNAA
MBA: Mortgage applications decreased 8.5 percent from one week earlier

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Adapt or Step Back? How UAD 3.6 Is Forcing a Career Decision for Appraisers

By Rachel Mann

Behind the technical transition lies a more personal question: Is it worth starting over at this stage of a career?

Excerpts: A Profession Split in Real Time

While there’s plenty of buzz around UAD 3.6 itself, it’s worth taking a boots-on-the-ground look at what active appraisers are actually feeling. In a recent industry poll conducted on Facebook, the findings were telling.

Out of 233 responses from active appraisers, 36.5% reported they are actively preparing, while 36.1% are taking a “wait and see” approach. The remaining responses, which we’ll get into below, reveal the deeper undercurrents.

The clear takeaway is that the industry isn’t aligned. There’s real uncertainty in how appraisers are responding to the shift, and a large unknown hanging over the profession.

And it raises a question: Is the uncertainty driven by the change itself, or by the lack of clear options for what happens next?

Appraiser Voices: Real Reactions to UAD 3.6

Beyond the “actively preparing” and “wait and see” camps, smaller groups of respondents revealed the deeper anxieties at play.

About 8.2% cited concerns about the learning curve, 4.7% said they’re considering stepping back from volume, and 2.6% plan to retreat into private work only.

Another 12% fell into smaller categories ranging from software testing readiness and hardware concerns to skepticism about implementation timelines.

The overall picture is a mix of readiness, hesitation, and resistance — revealing capacity limits and decision fatigue at a critical moment: adapt or step back? The underlying question for those nearing retirement is: Is it worth the time, cost, and effort to adapt at this stage in my career?

When a Workflow Change Becomes a Career….

A sudden decline in active appraisers could carry real consequences:

Loss of experienced appraisers who currently make up the majority of the workforce
2. Disruption of long-standing client relationships, leaving lenders, AMCs, and homeowners scrambling
A thinning mentorship pipeline for new appraisers, weakening the path forward for the next generation
These changes, paired with the lack of exit planning, have broader implications. This isn’t an individual issue; it impacts industry stability and continuity.

To read more, Click Here

My comments: Worth reading the entire post for the details and interesting comments.

Read more!! →

Posted in: AI, bias, state appraiser regulators, UAD 3.6

Tags: AI, bias, state appraiser regulators, UAD 3.6

Appraisers – The Clipboard Has to Go!

By Ann O'Rourke on May 22, 2026 / Leave a comment

Newz: The Clipboard Has to Go, Systemic Failures in FHA Appraisal and Loan Review

May 22, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Am I Still on the ‘Do Not Use’ List?
Joe the Appraiser: Calling It Like It Is. The Clipboard Has to Go
Florida Megamansion That Starred in ‘Scarface’ and Was Used as President Nixon’s Winter White House Hits the Market for $237 Million
Systemic Failures in FHA Appraisal and Loan Review by Desiree Mehbod
MY AD: List of my articles about UAD 3.6
America’s Homes Are Older Than Ever—and Local Red Tape Could Make Them Harder To Fix
Survey: While Some Brokers Push Private Listing Networks, Most Soon-to-Be Sellers Want their Homes Seen By Every Buyer
MBA: Mortgage applications decreased 2.3 percent from one week earlier

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Joe the Appraiser: Calling It Like It Is.

The Clipboard Has to Go

By Joe Pravettone

Excerpts: I’m Joe. I’ve been doing this a long time. Long enough to remember when “cutting-edge technology” meant a pager, microfiche, and a Thomas Guide rattling around in the glove box. (If you know, you know.)

I’ve spent nearly 30 years in this profession — 15 years in the mortgage world doing processing, underwriting, and operations, and another 15 deep in appraisals, wearing just about every hat there is, from fee appraiser and AMC staff to QC.

Let’s start with the UAD.

If you’ve been in this business longer than five minutes, you’ve felt it. That low-grade tension humming in the background. The new Uniform Appraisal Dataset is here. The forms are changing, the workflow is changing, and a lot of appraisers are somewhere between uneasy and ready to stress-eat.

I get it. I really do.

But here’s the other reality: We’re also heading toward a volume surge. Rates are easing. Refinances are starting to creep back. And when you combine industry-wide change with rising volume, things can get messy.

So let’s be honest about something. The clipboard has to go. I know, I know, you’ve got a system. Your scratch paper has a system. Your clipboard definitely has a system. You’ve been doing it your way for years, and your way works. I’m not saying it doesn’t. But the road has curved, and it’s time to turn the wheel.

To read more, Click Here

My comments:

This article was written by a long time lender appraisal “insider”. Worth reading.

As the November 2, 2026 UAD 3.6 deadline approaches more lenders and appraisers are getting ready. But, many appraisers don’t like the changes. Those that get ready will have lots of work from AMCs, who are looking all over the country now for appraisers who will do UAD 3.6 appraisals for them. GSEs do about 50% of mortgage loans. Lenders who don’t sell their loans to GSEs will be using the forms software you have been using. I am working on an article on how to get business from them.

I remember the “old days” of microfiche, Thomas Brothers Maps. When I first started appraising 50 years ago, I remember filling up my car by peeling off the back of polaroid photos. I still have old Thomas Bros. maps in my car “just in case” my electronic maps don’t work or are inaccurate. I also have some very old microfiche files but don’t have anything to see them on.

I definitely prefer using an inspection app. I will be writing an article on which tablets are required. I will also have an article with paper checklist instructions that go through SFR, condo and 2-4 units UAD 3.6 appraisals.

Read more!! →

Posted in: FHA, real estate market, UAD 3.6

Tags: FHA, real estate market, UAD 3.6

24 Hour Appraisals

By Ann O'Rourke on May 14, 2026 / Leave a comment

Newz: 24 Hour Appraisals, Bias Accusation Collapses, Easements and Appraiser Liability

May 15, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Easements and Appraiser Liability
24-Hour Appraisals: The Future or a Gimmick? By Shawn Telford , Chief Appraiser and Valuation Officer at Cotality
$28 Million ‘Pavilion’ House in Los Angeles Boasts ‘Once-in-a-Generation’ Design—and a Sunken Conversation Pit
Freddie/Fannie UAD and Forms Redesign: Enhanced Timeline and Updated FAQs
MY AD: Appraisal forms software in September, 1993 – a glance at the past
AQB Releases White Paper on Experience Requirements
Bias Accusation Collapses as HUD Clears the Appraiser by Desiree Mehbod
MBA: Mortgage applications increased 1.7 percent from one week earlier

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24-Hour Appraisals: The Future or a Gimmick?

By Shawn Telford , Chief Appraiser and Valuation Officer at Cotality,

Rethinking Quality and Risk in Modern Valuations: Why Faster Can be Risky

Excerpts: side from the opinion of value, speed is often the next loudest talking point in any conversation about appraisals—but it’s also one of the most misleading. While accelerated appraisal procurement models promise faster turn times, they do little to address the concerns that matter most to lenders: inaccurate valuations, which lead to appraisal defects that create buyback exposure and margin pressures for lenders, ultimately contributing to delays and additional costs.

This isn’t to say that the prospect of 24-hour appraisals is not appealing: after all, who doesn’t like faster? But is it a game-changer or merely a gimmick?

Today, lenders are facing greater scrutiny from the GSEs and investors over loan quality, in general, and collateral valuations in particular. Recently, Fannie Mae reported that collateral defects – like property damage, appraisal condition & quality rating inflation, and inappropriate comparable sale selection—are now accounting for nearly half of discretionary loan review defects. Solving for the Right Problems

Pressuring appraisers to work faster is hardly going to address these issues.

The Economic Impact of Quality

Getting an appraisal quickly can be a plus. But if the valuation requires extensive rework, it can create friction and delays and add operational costs to the underwriting process. One of the biggest slowdowns in the appraisal process is the back-and-forth between the appraiser and an AMC’s lender over administrative “corrections” that often don’t affect the opinion of value. In fact, recent Cotality data shows that nearly half of all appraisals are returned for some type of correction, and the vast majority of those returned do not have their value changed when resubmitted.

To read more, Click Here

My comments: very good analysis with many excellent comments. Very knowledgeable author. Worth reading.

Read more!! →

Posted in: appraisal business, appraisal forms, bias

Tags: appraisal business, AQB, bias, UAD 3.6

The Appraiser Exodus and How to Fix It

By Ann O'Rourke on May 8, 2026 / Leave a comment

Newz: Expanded Intended Users?

The Appraiser Exodus and How to Fix It.

May 8, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Expanding Intended Users? Not So Fast
Under Pressure: What’s Driving the Appraiser Exodus and How to Fix It, By David Massey
Historic Tudor Estate With English Gardens and Prairie Views Is Listed for $4.7 Million Near Chicago
What is a Pre-listing appraisal? Written for Home Owners But Has Good Tips for Appraisers, By Tom Horn
MY AD: What Happened When Government Decided That Appraisers Needed Protection, By Cindy Chance, PhD
How to See the Potential in Homes That Don’t Look Perfect. Written for Home Owners But Has Good Tips for appraisers
More Than 60% of America Is Covered by Drought and Millions of Homes Are at Risk
UAD 3.6 Bootcamp, LIVE in Chicago, IL and on Zoom, Wednesday – Friday, May 13th-15th
MBA STATS: Mortgage applications decreased 4.4 percent from one week earlier

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Under Pressure: What’s Driving the Appraiser Exodus and How to Fix It,

By David Massey

Ask any veteran appraiser or physician what has changed most over the past twenty years, and the answer is usually the same: paperwork.

Professions once centered on skill, judgment, and service are now dominated by portals, compliance layers, and third-party control. Burnout rises, independence falls, and a quiet exodus follows.

The American Medical Association reports that physicians now spend nearly two hours on documentation for every hour of patient care.

The appraisal profession is now well into that cycle.

According to the Appraisal Institute’s 2023 Fact Sheet, the number of practicing appraisers in the United States has declined by roughly 8,000 in recent years. The Conference of State Bank Supervisors shows a longer-term drop from about 120,000 appraisers in 2008 to fewer than 96,000 by 2017, a 21 percent decline in less than a decade. IBISWorld reports another six percent employment drop between 2018 and 2023. The U.S. Bureau of Labor Statistics projects only modest growth through 2034, far short of what is needed to replace retirees.

The pipeline is shrinking while demand remains steady.

The National Association of Realtors ® 2023 Appraisal Survey found that more than half of appraisers are now asked monthly, or more often, to complete assignments outside their normal geographic or property-type expertise. More telling, 54 percent cited Appraisal Management Companies as the single greatest challenge to their business. That statistic alone explains much of what has gone wrong.

When I started in this profession, appraisal centered on analysis, interpretation, and professional opinion. I studied neighborhoods, walked properties, and applied experience to market behavior. Today, much of the job revolves around compliance portals, redundant uploads, and layers of review by people who have never inspected a property.

AMCs were created after the 2008 crisis to protect appraiser independence. The idea made sense. The execution has failed. Today, borrowers commonly pay $600 to $700 for an appraisal, while the appraiser often receives about half of that after AMC fees. Turn times lengthen. Panel depth shrinks. Geographic competency erodes. And experienced appraisers quietly step away.

What was meant to reduce pressure has become a system of control. Communication between lenders and appraisers is filtered. Pricing is dictated by algorithms. Scope interpretations are issued by third parties removed from the field. Judgment is slowly replaced by checklist compliance.

Healthcare has already traveled this road.

A 2025 Annals of Internal Medicine study showed nearly five percent of U.S. physicians left clinical practice in a single year, driven largely by burnout and administrative burden. The American Medical Association reports that physicians now spend nearly two hours on documentation for every hour of patient care.

Appraisers now operate inside the same imbalance. More time formatting reports than analyzing markets. More time satisfying review protocols than developing defensible opinions. Judgment yields to process.

This is not a workforce inconvenience. It is a structural market risk.

The fix is not complicated, but it does require courage.

First, appraisal fee transparency must be mandatory. If a borrower pays $650 and the appraiser receives $325, both parties deserve to know. Transparency restores accountability and allows market forces to function.

To read more, Click Here

My comments: Worth reading, especially how to fix it. We all know what is happening to residential lender appraisers.

For doctors, corporate medicine has taken over. For example, primary care physicians are allowed only 15 minute visits with patients. Large insurance companies make it very difficult for patients to get the care they need by denying what the patient needs. Doctors don’t like it, plus the excessive paperwork.

I play pickleball with a retired doctor. He had to sell his medical practice as he was underbid on fees by large health insurance companies.

Read more!! →

Posted in: appraisal business, appraisal how to, Appraisal Institute, UAD 3.6

Tags: appraisal business, appraisal how to, UAD 3.6

Avoiding Court: A Common Sentiment Among Appraisers

By Ann O'Rourke on May 1, 2026 / Leave a comment

Newz: Cyber Attack Risk for Appraisers,

Avoiding Court: A Common Sentiment Among Appraisers

May 1, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Avoiding Court: A Common Sentiment Among Appraisers
Cyber Insurance: Why It’s Time for Appraisers to Protect Themselves By Isaac Peck, Senior Broker at OREP.org
Electrochemist’s Exclusive Private Island Escape With 9-Hole Golf Course and Helipad Hits the Market in Florida for $89 Million
Hype Heretics – Twisting the narrative to create hype. By JoAnn Apostol
MY AD: What is a Good Appraiser?
April 2026 Housing Insights: A Market Searching for Stability, By Kevin Hecht, Appraiser and Economist
A new Scope of Work, By George Dell, MAI
MBA: Mortgage applications decreased 1.6 percent from one week earlier

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Cyber Insurance: Why It’s Time for Appraisers to Protect Themselves

By Isaac Peck, Senior Broker at OREP.org

Excerpts: You log in, expecting to send a report or check your schedule for the coming week, only to find your system locked, client files gone, and a message blinking on the screen:

“YOUR FILES ARE ENCRYPTED

To regain access, you must pay a ransom. Do not attempt to decrypt or modify the files yourself.

Any unauthorized action will result in permanent data loss.

Payment instructions are below. You have 72 hours.”

Directly below the words, a clock begins counting down.

You feel panic setting in.

To make matters worse, you had committed to delivering a rush appraisal to the lender/AMC this morning for a time-sensitive closing. You can’t access reports, contact clients, or meet deadlines. You’re losing money, time, and worst of all, your clients’ trust.

Directly below the words, a clock begins counting down.

This type of mentality only compounds the problem. According to recent national data, more than half of U.S. cyberattacks now target small businesses, not large corporations. Firms with fewer than 100 employees are significantly more likely to be targeted than larger companies, largely because they lack dedicated IT staff, formal security protocols, and incident-response plans. In other words, they’re easier targets.

The financial consequences are not theoretical. According to Verizon’s 2024 Data Breach Investigations Report, small business data breaches can cost anywhere from $120,000 to over $1.2 million, depending on severity. Other industry studies released this summer put the average cost of a single cyber incident at roughly $25,000—far more than most appraisal businesses can absorb without serious disruption.

Unique Risks for Appraisers

Home appraisers face unique cyber risks that make them especially vulnerable to digital attacks. Unlike larger firms with dedicated IT teams, most appraisers operate as solo practitioners or small businesses.

Nevertheless, even the smallest appraisal offices handle highly sensitive data every day: property details, borrower information, lender communications, and access credentials all flow through their systems, often via unsecured emails or cloud-based platforms.

The Role of Insurance

When a cyber incident hits, speed matters. For appraisers, the real damage often isn’t just the ransom demand or the technical cleanup—it’s the downtime, the missed deadlines, and the loss of client confidence that follows.

Cyber insurance exists to help businesses recover quickly and responsibly. For appraisers, that means having access to technical experts who can investigate what happened, contain the breach, and restore systems so work can resume. It also means guidance on how to communicate with lenders, clients, and other parties if sensitive information is compromised.

To read more, Click Here

My comments: Read this article. I have received information from several appraiser E and and O companies about cyber insurance. And read about the risks online. This article is definitely the best I have read as it explains the details of what a cyber attack means for appraisers. Since it was from an E and O carrier I did not know how much useful information it had. I’m glad I read it and wrote about it.

Read more!! →

Posted in: appraisal, appraisal business

Tags: appraisal, appraisal business, appraisers

Appraisal Construction Progress Reports

By Ann O'Rourke on April 24, 2026 / Leave a comment

Newz: Curiosity and AI, Construction Progress Reports

April 24, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Construction Progress Reports: Don’t Get Hammered
The Human Appraiser as a Macroeconomic Stabilizer By Kevin Hecht
Spectacular Glass Cabin Located Mere Steps From the Beach Lists for Less Than $175K
Appraisal Bias Training Now Required in Most States [2026]
MY AD: Review of Appraiser’s Guide to the New URAR Class
Curiosity in the Age of AI By Brent Owen
AI in real estate. Chat GPT can’t smell the 10 cats in the house By Ryan Lundquist
MBA: Mortgage applications increased 7.9 percent from one week earlier

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Read more!! →

Posted in: AI, bias, Economic analysis, New URAR

New URAR – Mixed Feedback

By Ann O'Rourke on April 17, 2026 / Leave a comment

Newz: UAD 3.6 – 10 Biggest Changes,

UAD 3.6 – Mixed Feedback

April 17, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: The Fine Print
The 10 Biggest Changes in the New URAR, By Kevin Hecht
Tiny Vermont Home That Spans Less Than 1,000 Square Feet Hits the Market for the Huge Price of $1.2 Million
Why Appraisers Write in the Third Person—and Whether First-Person Reporting Improves Clarity, By Jamie Owen
MY AD: Appraisal: Profession, Industry or Trade? by Martin Wagar
Rollout of 3.6 Receives Mixed Feedback, By Isaac Peck, Publisher Working RE
Starter Homes Are Disappearing—Are Modular and Manufactured Houses the Answer?
MBA: Mortgage applications increased 1.8 percent from one week earlier

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The 10 Biggest Changes in the New URAR

By Kevin Hecht

Excerpts: The redesign of the Uniform Residential Appraisal Report is the largest overhaul of residential appraisal reporting in nearly three decades.

While the underlying appraisal principles remain the same, the structure, workflow, and level of detail in the report are changing in meaningful ways.

Here are the ten changes appraisers are most likely to notice.

Topics:

1. One Dynamic Report Replaces Multiple Legacy Forms

2. Reports Will Adapt to the Assignment

3. Data Fields Are More Granular

4. Commentary Is Integrated Throughout the Report

5. Scope of Work Drives Report Content

6. Inspection Observations Are More Structured

7. The Sales Comparison Approach Is Still Central

8. Software Platforms Will Change

9. Reports Will Include Both Narrative and Structured Data

10. The Transition Will Take Time

Summary

The new URAR represents a fundamental shift in residential appraisal reporting, moving the profession away from rigid, form‑driven responses and toward clearer, more transparent analysis.

While the core appraisal principles remain unchanged, how appraisers communicate their reasoning, observations, and conclusions will look different under the redesigned framework.

By understanding the most significant changes now, appraisers can better prepare for the transition and continue producing credible, well‑supported appraisal reports in an evolving reporting environment.

To read more, Click Here

My comments: Good topics list and summary. Read the details. Well written and understandable.

Read more!! →

Posted in: appraisal, appraisal business, New URAR, UAD 3.6

Tags: appraisal, appraisal business, New URAR, UAD 3.6

Appraiser Obsolescence?

By Ann O'Rourke on April 10, 2026 / Leave a comment

Newz: Appraiser Obsolescence, ASB – Use of Technology in an Appraisal or Review

April 10, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Subpoena Threat Over a 10-Year-Old Appraisal
Flags Over Facts: The Road to Obsolescence By Desiree Mehbod
Mayfield Ranch: The $4.5 Million Texas Estate on 100 Acres That Looks Like It’s Been Standing for Centuries
April Fools Day and Other Important Dates in Appraisal History
MY AD: How to Cut Business Expenses
March 2026 Housing Market Updates for Appraisers By Kevin Hecht
ASB Proposed New Advisory Opinion 41, Use of Technology in an Appraisal or Appraisal Review Assignment
MBA: Mortgage applications decreased 0.8 percent from one week earlier

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Flags Over Facts: The Road to Obsolescence

By Desiree Mehbod

Excerpts: For years, appraisers have been warning that the mortgage industry was slowly engineering us out of the process. We were told we were paranoid. Resistant to change. Stuck in the past. Then the newest Mortgage Credit Executive Order arrived, and the appraisal section opened with a single line that confirmed everything we’ve been saying: expand AVMs, desktops, hybrids, and AI. That’s the priority. Everything else in that section is just polite filler wrapped around a strategy to shrink the role of the human appraiser until we’re little more than a signature at the bottom of a dataset.

And that strategy becomes even clearer when you look at what’s happening behind the scenes. While UAD 3.6 is not fully active yet, the structure being built around it makes the intention impossible to miss. The new system demands an avalanche of hyper‑granular data that has nothing to do with how appraisers actually determine value. Room‑by‑room material ratings, finish classifications, fixture‑level detail, micro‑condition scoring. It’s a level of data extraction designed for machines, not humans.

No buyer cares whether the guest bath faucet is “mid‑grade chrome” or “builder‑grade brushed nickel,” but the new dataset does. Not because it improves valuation, but because it feeds the models. UAD 3.6 turns every full appraisal into a data‑mining operation, with the appraiser acting as the human data‑collection device for a system that wants our expertise now so it can automate it later.

To read more, Click Here

My comments: Worth reading. Discusses VA, Road to Housing Act and other topics. Knowledgeable author – the founder of Appraisers Blogs.

Read more!! →

Posted in: appraisal business, Appraisal Foundation, appraisal modernization, Appraisal Standards Board, Economic analysis, real estate market

Tags: appraisal business, Appraisal Standards Board, real estate market

Appraising Solar Panels

By Ann O'Rourke on April 3, 2026 / Leave a comment

Newz: Solar Panels, Concessions, AI and Appraisals

April 3, 2026

What’s in This Newsletter (In Order, Scroll Down)

LIA AD: Navigating Red Flags: a Contentious Divorce Case
What Is the Appraisal Value of Solar Panels? FAQs for Residential Appraisers
Tiny New York Home With No Bedrooms Hits the Market for a Bargain Price
Concessions Are Not the Price: How to Measure What the Market Is Actually Doing
MY AD: How to reduce stress to be more productive in business and a happier life for appraisers
My First 50 Years by Steve Papin
AI Usage in Appraisals: Trust but Verify by Jo Traut
MBA STATS: Mortgage applications decreased 10.4 percent from one week earlier

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What Is the Appraisal Value of Solar Panels? FAQs for Residential Appraisers

Excerpts:

How Common Are Solar Panels in Residential Appraisals?

Solar panels are increasingly common. Declining system costs, government tax incentives, and utility rebates have made solar PV ownership more accessible than ever. If you haven’t encountered an owned solar system on a subject property yet, there’s a good chance you will soon—particularly as more states push toward renewable energy goals.

The practical takeaway: developing a working knowledge of solar valuation now puts you ahead of the curve.

Topics:

Owned vs Leased Solar Panels—and Why It Matters for Appraisers

How Do You Determine the Appraisal Value of Solar Panels?

Sales Comparison Approach. This is the preferred method under Fannie Mae and FHA guidelines.
Cost Approach Solar PV systems are typically priced on a cost-per-watt or cost-per-kilowatt basis.
Income Approach This method estimates value based on the energy savings the system produces.

What Do You Do When There Are No Comparable Sales with Solar Panels? This is the question appraisers ask most often, and it’s a real challenge in many markets.

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What Are the Key Components of a Solar PV System that Appraisers Should Be Able to Identify?

How Can Appraisers Build Competency in Solar Valuation?

Solar PV systems are one piece of a broader green home appraisal niche that’s growing fast.

To read more, Click Here

My comments: Very comprehensive analysis of the important factors. I have never appraised a home (or apartments and commercial properties) with Solar. I live in a “Mediterranean” climate in the San Francisco Bay area. No big changes in weather over the year. No snow, no high heat etc. But I have heard appraisers discussing the topics above. If I appraised Solar in a home I would use this article.

Read more!! →

Posted in: adjustments, AI, appraisal how to

Tags: AI, appraisal how to