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New sewer line increases value for appraisals?

My new sewer line adds huge value, right?

January 19, 2021, By Ryan Lundquist

Excerpt: A new sewer line. That’s what 2020 gave my family as a parting gift before the year closed. Yep, just before Christmas, we had to replace our entire line at a whopping $13,688. I know that sounds crazy expensive, but we had four separate bids and went with the most reasonable one. In part it was so pricey because we had one hundred feet of the line under eighty feet of concrete.

The good news is my house is worth $13,688 more now, right?

To read more plus lots of appraiser comments click here

What to Do When Your Appraisal Is Under Review(Opens in a new browser tab)

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

To read more of this 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 fees, house settling, unusual homes, mortgage origination stats, Covid tips for appraisers, etc.

 

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Posted in: adjustments, appraisal business, Appraisal fees, appraisal how to, Mortgage applications, unusual homes

Surplus vs. Excess Land for Appraisals

How Surplus & Excess Land Works

By Jamie Owen

Excerpts: It can be easy to over-simplify value because the value is not always as clear cut as it appears. For example, if a one-acre lot is selling for $10,000, does that mean that a two acre lot is worth $20,000? Not necessarily. The value of something usually changes depending on its size.

Excess land is land that is larger than what is typical for the neighborhood and capable of a separate use. Excess land is land that could be split-off and resold as a buildable lot. In the example below, the zoning required a minimum lot size of one and a half acres to be buildable.

To read lots more and see fun animated gifs, click here

My comment: Definitely worth reading!

2-16-17 Newz .Land surveys in 1784 .Common appraisal errors (Opens in a new browser tab)

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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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

To read more of this 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 vaccines and housing, waivers, appraiser skills, surveys, mortgage origination stats, Covid tips for appraisers, etc.

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Posted in: appraisal how to, appraisal waivers, Coronavirus, COVID, Mortgage applications, real estate market, unusual homes

Real estate market trends for appraisers to watch in 2021

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

To read more of this 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 technology, racial bias?, Scope of work, mortgage origination stats, Covid tips for appraisers, etc.

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Posted in: COVID, Mortgage applications, real estate market, Strange homes, USPAP

Crazy Appraiser Stories

Crazy Appraiser Stories

 

You’ve all got them… The crazy car chases, the surprising living conditions, the exotic assignments, and the unique collectors….

What we all need… Here is one brief humorous escape!!

The photo above is the Crazee Appraiser writing up his appraisal!

Here is one story:

This was a beautiful 3,200 sq ft home with all the extras. After measuring, I was standing by the fireplace, taking an interior photo, being careful not to step on the expensive rug next to the hearth. The lady of the house looked a little alarmed, so I had to ask, “Is everything okay?” “Oh yes, it’s just that the camera will have a click.” I’ve heard weirder things, so after assuring her it was a very quiet click, the button went down, the picture was taken, and the excitement started.

Something hit the back of my head, a soft, but very strong hit. The equivalent of a 10 mile an hour wind passed over my left shoulder, and a shadow landed on the other side of the sofa, which was 14’ in front of me. It seems that the fluffy 6’ rug was a once wild, African Savannah cat, stretching 6’ long as it napped on its belly. It looked like a leopard rug! With teeth longer than some fork tines, I was happy to let it hide in the bedroom, but she coaxed it out of hiding to demonstrate that it could easily jump 10’ high for a kitty treat.

– Carolyn S. Richards

For more stories, click here

My comment: We all need some appraiser fun to start the New Year!!

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Humor for appraisers

FREE appraisal business articles

Covid-19 Residential Appraisers Tips on Staying Safe

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

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

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Posted in: appraisal how to, BATHROOMS, COVID, fauci, FUN, humor, Mortgage applications, Strange homes

Real Estate Agents and Comparable Sales – Tips for Appraisers

Agents and Comparable Sales – Tips for Appraisers

Excerpts: When real estate agents provide relevant comparable sales to appraisers, it certainly benefits both parties. Agents can ensure that appraisers are reviewing comparables that match their properties and, hopefully, meet the seller’s desired price.

Additionally, while appraisers still must verify the information, it can save them time. Here are some dos and don’ts to follow as agents and appraisers work together on establishing comps for appraisal properties.

One of the tips: Don’t go outside the neighborhood

Other neighborhoods may be less or more desirable, and that can affect overall value. Comparable sales should come from only the direct neighborhood in which the house is located—even if that means choosing homes that are slightly smaller or bigger to use as a comparison. Agents should never use sales from a “better” neighborhood to boost the value of an appraisal property.

To read more tips, click here

My comments: All appraisers get comps from agents sometimes. Unfortunately, many are not useful. I always ask if an agent has any sales or listings for me. Agents are often experts in their particular area and know what is happening. Appraisers work in a much wider area usually. Whenever I speak with agents, I tell them how to select comps, especially pending sales, using some of the criteria above.

This does not apply to the sales provided by AMCs, of course, which require a response and often wasted time for the appraiser. Most are generated by computer algorithms or occasionally a review appraiser that knows nothing about the local market.

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

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

Read more!!

Posted in: appraisal business, Coronavirus, COVID, Fannie, fauci, real estate market, unusual homes, USPAP

Appraiser Home Schooling Humor

Many thanks to Appraisal Buzz for this Very Best Appraisal Comic!! They came up with the ideas and hired a cartoonist to do it. There are very, very few appraisal cartoons or comics.

To see a larger image on your computer, right-click and select open in a new tab.

This cartoon was posted on the Appraisal Buzz Facebook page on September 21, 2020, so you can share or make a comment click here

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

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

Read more!!

Posted in: appraisers, COVID, Fannie, fauci, george dell, Mortgage applications, unusual home

AMC Appraiser Dress Requirements?

AMC Appraiser Dress Codes? 

Excerpt: I recently saw a Facebook post where an appraiser was quite upset and offended that an AMC asked him to dress professionally for an appraisal walkthrough. Now, this

was a request that was made upfront as one of the conditions for accepting the order. Reading the post, it sounded like this appraiser was upset for two reasons. One, he was offended that the AMC was implying that he does not take his job seriously enough or dress professionally enough. Two, he felt like the AMC did not have a right to tell him how to do his job (i.e., how to dress).

First, let me say that I personally do not think it was the AMC’s intention to imply that this appraiser is not professional in any way. I simply think that they were taking extra precautions to make sure the borrower was extremely impressed by the service they, and the appraiser whom they hired, provided. Now, on to the real question. Can an AMC tell an appraiser how to dress? And the answer is yes.

To read more, plus appraiser comments, click here.

My comment: This has always been a controversial topic for fee appraisers. Dustin is correct. An appraiser client can have many requirements, such as requiring a newer car, no flip-flops, etc. It is your decision whether to work for them. Primary Rule: There is always another client!

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

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

Read more!!

Posted in: appraisal business, BATHROOMS, lender appraisals, mortgage loan volume, USPAP, weird homes

Top Reasons Why It Is Great to be an Appraiser!

Appraiser Humor

Top Ten Reasons Why It Is Great to be an Appraiser!

10. Dazzle your friends with your knowledge of external obsolescence.

9. The wonderful world of rats, bats, and spiders.

7. See places in people’s houses that usually require a search warrant to access.

We all need some humor!! These made me laugh ;>

To see 7 more reasons, click here

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

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

Read more!!

Posted in: FHA, forecast, humor, Mortgage applications, weird homes

Appraisal highest and best use analysis

The Four Tests of Highest and Best Use

Excerpt:

  1. Legally permissible

You must consider whether any zoning issues or restrictions will prevent building on or improving the lot.

Some questions to answer:

  • Do you have a current survey of the property? (If not, obtain one, specifically covering boundaries to learn if easements or encroachments exist.)
  • Are there any deed restrictions?
  • Are there zoning issues, such as minimum lot size or maximum building height or size?

To read more, click here

My comments: Short and well written with good tips for the four tests. This is particularly important for vacant land and areas that are transitioning to other uses, such as changing from homes to conversion to commercial uses. Appraisal highest and best use analysis is critical.

Many residential appraisers miss these issues as most lender appraisals are for standard properties, such as subdivision homes. You can get into Very Big Trouble by just checking the check box, which is probably already checked on your form template…

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

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

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Posted in: appraisal business, unusual home

Green Hornet – The First Lender Appraisal Form

The “Green Hornet” – first lender appraisal form in 1962 . A brief history, written by George Opelka in 2010. Worth reading

Excerpts: As a result of an early consulting-writing assignment with the U.S. (Savings and Loan) League, my Dad created appraisal form “#17-PRA” in 1962, which became the Green Hornet – The First Lender Appraisal Form.

The appraisal report form was presented to the Appraisal Committee of the U.S. League for review and consideration for adoption and use by savings and loan associations across the United States.

The form was initially presented on green paper with green ink strictly for marketing spin.

To read more, click here

My comment: Very interesting and worth reading!! Warning: there are two appraiser comments, but then long “spam” comments not worth reading.

New 1004 appraisal form?(Opens in a new browser tab)

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Appraisal Adaptation and Modernization with George Opelka, including personal information on the Green Hornet: 27-minute video

Excerpt: An interview with Joan Trice, Founder of Allterra Group, LLC, and George Opelka, ACI General Manager. We sat down with George Opelka to discuss the modernization of the appraisal industry and the adaptation that’s still yet to come.

What is the history with certain appraisal software? What are some of the lasting impacts of the pandemic? Where does this leave the future of modernization in the industry? These questions and much more will be answered by George Opelka while he shares on this evolving subject.

To watch, click here

My comment: Worth watching. A fascinating history of the Green Hornet, the first appraisal form. George is a good speaker who has been around appraisers since he helped his dad when he was young. When working for ACI, he followed all the appraisal changes over the years. I don’t always listen to long videos, but I could not stop listening to this one!

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

Click here to subscribe to our FREE weekly appraiser email newsletter and get the latest appraisal news!!

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

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Posted in: Coronavirus, COVID, Fannie, Mortgage applications, real estate market, unusual homes