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12-1-16 How long does it take you to complete a 1004 report?

By on November 30, 2016   /  2 Comments

Poll: On average, how long does it take you to complete a 1004 interior inspection appraisal report, including inspection and drive time? www.appraisalport.com survey. This week’s poll is C/R fees in your area. Maybe future pools did will ask about typical AMC fees or how long it took pre-HVCC.

12-1-16-poll-on-time-to-complete-appraisal

My comments: For many appraisers, driving time is long. Two years ago I started working almost exclusively in my small town. Driving time is very low. However, I very seldom appraise tract homes. My appraisal reports are very similar to pre-HVCC. I average about 5 hours per appraisal.

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11-24-16 Newz// Thanksgiving and USPAP

By on November 23, 2016   /  Leave a comment
NO WORKING ON THANKSGIVING!!
USPAP VIOLATION!!
THE APPRAISAL POLICE ARE WATCHING YOU!!!

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Thanksgiving – What are you giving thanks for?

Instead of writing about what is good about appraising, this year I write about looking at your personal life, which is much more important.

When you sit down at the Thanksgiving dinner table with your family and friends (or dining alone or with your pets) what do you say you are grateful for? Take a few minutes now to think about what you will say. I know that I have almost always just said something that was sorta lame because I did not think about it ahead of time.

What am I thankful for this year? Good health. I always say that the richest person in the world would give everything they owned for good health. My health is better today than it was 20 years ago, in my 50s. I lost 40 pounds, workout every day, and walk with a friend. One of my brothers died in June at the age of 65 (liver failure due to hepatitis C). There will be an empty plate at the Thanksgiving dinner table. I am grateful every day that I am alive.

If you are a Baby Boomer, please get tested for Hepatitis C. There is a cure now.
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11-17-16 Newz// Modernizing appraisals, Wacky kitchens, Drones

By on November 17, 2016   /  Leave a comment

Modernizing Appraisals: A Regulatory Review and the Future of the Industry

I watched this very interesting live 2-hour session Wednesday, November 16, 2016 – Subcommittee on Housing and Insurance (Committee on Financial Services) Hearing.

I usually check email, etc. when listening to something like this. Not this time. I tried doing one email and lost a few comments. I feverishly scribbled 16 pages of notes.

Here are a few tidbits:

  • Very large room with speakers (and some other people in the back) and the Congress members on the other side. Empty seats in the middle.
  • The Usual Representation: Appraisal Institute, ASC, AF, NAHB, a group helping people with foreclosures, and Joan Trice. Each with their own agenda except for Joan Trice, the author of the (in) famous appraisal regulatory graphic that I put in last week’s newsletter.
  • The Big Issue – appraiser shortage affecting consumers – takes longer to close – FHA switch to certified, low fees, long training, lenders not allowing trainees to sign, etc.
  • Lots of anti-AVM comments from congress persons mostly Federal vs. state regulations. Too many appraiser regulators.
  • Each group had an agenda from its organization, of course, except Joan Trice.
  • Big shortage of appraisers in rural areas. Congress person said there were no appraisers available in his county with a population of 25,000 to 35,000.
  • No mention of Trump’s plan to dump Dodd-Frank. Way too uncertain and controversial, I guess. No questions from the other people in the room.

I will write up my full report and analysis in the December issue of Appraisal Today, including a few humorous quips, which are buried in my notes somewhere. The Big Gorilla, Fannie Mae and its CU, was not speaking to answer the AVM and data questions

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Would You Cook in One of These Wacky Kitchens?

Take a break and check out these weird kitchens, including links for more info. FYI, the Flintstone house was listed but never sold and is not on Airbnb. Spend a night there!!

http://blog.rismedia.com/2016/would-you-cook-in-one-of-these-wacky-kitchens

Read more!! →

Posted in: appraiser shortage, Freddie, weird homes, zillow
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11-10-16 Newz// CFPB and Dodd Frank Going Down?, Zillow, Man caves

By on November 10, 2016   /  Leave a comment

How Man Caves Took Over America’s Basements

Excerpts:

A man cave usually develops in spare rooms, such as bedrooms, offices, finished basements, or recreation rooms. The garage, another traditionally masculine space, is more often a workshop or place to make repairs. Its connotation with work (often frustrating and unsavory as any viewer of Home Improvement can attest) as well as its thermal issues (it’s rarely cooled or heated like the rest of the house) demarcate it from the man cave, an interior space.

While men have always had their sacred spaces in the home such as the garage or study, the domesticity of the 19th and early 20th century overall implied that the home was, of course, the woman’s place. In the previous centuries, men sought refuge outside the home in establishments such as gentlemen’s clubs (think more country club than strip club), and male-only social clubs and establishments such as the Freemasons.

Very interesting, especially the history!!

http://www.atlasobscura.com/articles/how-the-man-cave-took-over-americas-basements

My comment: I live in California, where there are few basements. I do see garage “man caves”. But, they are not as fixed up as basements, mostly with a tv, beer fridge and some tools. Sometimes I see bedrooms set up as computer rooms.

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Collection and Verification of Residential Data in the Sales Comparison Approach APB Valuation Advisory #8

Voluntary Guidance on Recognized Valuation Methods and Techniques:

My comments: This is advisory and not part of USPAP. Finally the Appraisal Practices Board has 48 pages of practical advice for practicing residential appraisers, the vast majority of appraisers. It discusses what different types of clients want, such as Fannie, VA, Rels, relocation, data, data collection, CU, etc. Scope of work examples are included. The last 17 pages are about verification. Worth reading.

https://www.appraisalfoundation.org/imis/docs/Valuation-Advisory-8-Collection-and-Verification-of-Residential-Sales-101716.pdf

Read more!! →

Posted in: adjustments, appraiser shortage, data, Mortgage applications, mortgage loan volume, weird homes, zillow
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11-3-16 Newz: Freddie-lower appraisal requirements, Do you like appraising?, Wells Fargo overcharges on appraisals

By on November 3, 2016   /  1 Comment

2016’s Best Small Cities in America

Excerpt:

Small-city dwellers enjoy tighter networks, shorter commutes and an abundance of land, just to name a few advantages. Granted, there are tradeoffs such as perhaps fewer restaurant options or shorter business hours. But one of the best perks of living in a city with a relatively smaller population is cheaper cost of living – generally speaking, that is. According to the Economic Policy Institute, a two-parent, two-child family would need to earn $49,114 a year “to secure an adequate but modest living standard” in Morristown, Tenn., compared with $106,493 in Washington.

So which small cities outshine the rest? WalletHub’s analysts compared 1,268 cities with populations between 25,000 and 100,000 based on 30 key indicators of livability. They range from “housing costs” to “school-system quality” to “number of restaurants per capita.” Continue reading below for the winners of the top spots, expert commentary and a full description of our methodology.

https://wallethub.com/edu/best-worst-small-cities-to-live-in/16581/

My comment: Check your city – mine was listed!! But, did not rate high on cost of living with a median home price of around $800,000… But, you can see the mayor at the grocery store to complain about potholes ;>

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Wells Fargo agrees to $50 million settlement over homeowner appraisal fees

Excerpt:

Wells Fargo & Co (WFC.N) has agreed to pay $50 million to settle a racketeering lawsuit accusing it of overcharging hundreds of thousands of homeowners for appraisals ordered after they defaulted on their mortgage loans.

The proposed settlement, which requires court approval, was disclosed in a filing on Friday in an Oakland, California federal court. If approved, it will resolve nationwide claims that Wells Fargo charged much more than it paid for third-party appraisals, exploiting borrowers who could least afford it and driving them further into default.

http://www.reuters.com/article/us-wellsfargo-settlement-idUSKBN12V27F

Read more!! →

Posted in: appraisal business, Appraisal fees, Collateral Underwriter, Fannie, fees, Freddie, future, Mortgage applications, mortgage loan volume, UAD, weird properties
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Do you like appraising?

By on November 2, 2016   /  Leave a comment
Poll: Overall with all factors considered, do you like your job as a Real Estate Appraiser?
Thanks to www.appraisalport.com and Steve Costello for these great polls!!
Results, if you can’t read the graph above:
Yes           71%
No            18 %
Not sure   11%

My comment: I have been appraising for over 40 years and still love my profession (I don’t think of it as a job), but… The Rule of Self Employment: Appraising (or whatever you do) would be great except for those darn clients!! (If they give me any hassles, I kick them off my Approved Client List)

Many of us would like to get emailed appraisal orders with a good fee, a check in the mail before we start, a convenient appointment time (for us), we tell them the turn time, and we email the appraisal back. No questions later, of course ;>
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10-27-16 Newz//Red lining maps, Fannie-no appraisals needed, Garage conversions

By on October 27, 2016   /  Leave a comment

The Coolest Empty Buildings in America

They’re weird, amazing, and available.

Excerpt:

If you’ve got a few million bucks to play with, you’ll find that the country is littered with remarkable empty structures in various states of disrepair, just waiting for enterprising new owners with big dreams and deep pockets. Here are five of our current faves.

Here are a few:

Miami Marine Stadium: Miami, Florida

“Superman Building”: Providence, Rhode Island

Michigan Central Station: Detroit, Michigan

www.citylab.com/design/2016/10/the-coolest-empty-buildings-in-america/499049/

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Fannie’s Property Inspection Waiver (no appraisal) effective 12/10/16 for all lenders

Notice dated 10/24/16. I suspected that this was where Fannie was going with UAD and CU. Refis only.. for now. $75 to waive the appraisal requirement. Fannie has been testing it for awhile with some lenders. You may see this referred to as “Day 1 Certainty”, the name Fannie has chosen.

Link to the 2 page fact sheet: https://www.fanniemae.com/content/fact_sheet/property-inspection-waiver-fact-sheet.pdf

Thanks to Dave Towne for this very interesting news!

My comment: I will have an article on this topic for my November newsletter, out November 1, including relevant details and what this means for you. Very interesting.

WHAT DO YOU THINK? POST YOUR COMMENTS AT www.appraisaltodayblog.com !!

Read more!! →

Posted in: appraisal business, Collateral Underwriter, Fannie, Mortgage applications, mortgage loan volume, UAD
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Fannie’s Property Inspection Waiver (no appraisal) effective 12/10/16 for all lenders

By on October 26, 2016   /  18 Comments

Notice dated 10/24/16. I suspected that this was where Fannie was going with UAD and CU.

Refis only.. for now. $75 to waive the appraisal requirement.

Fannie has been testing it for quite awhile with some lenders. You may see this referred to as “Day 1 Certainty”, the name Fannie has chosen. They are also waiving reps and warranties (buy backs) so it will be very popular.

Thanks to Dave Towne for this very interesting news!

My comment: I will have an article n this topic for my November newsletter, out November 1, including what this means for you plus lots more details. I have read all the documents, going back to a newspaper article in as 2002. Very interesting.
Posted in: Collateral Underwriter, Uncategorized
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10-20-16 Newz// Appraisal oversight, VA wants fee appraisers, Amazing things disguised as Boring

By on October 20, 2016   /  Leave a comment

9 Amazing Things Disguised as Boring Things

Look twice-these seemingly mundane objects are hiding something.

Excerpt:

Narnia hid behind a wardrobe. Doctor Who’s Tardis was disguised as a blue police call box. With no signage and no flags, these out of the ordinary things are hidden away disguised as something utterly banal. In some cases, these things are camouflaged on accident; in others, they are secreted away so that only those in the know can find them.

Either way, the world is full of seemingly mundane places that are more than meets the eye. It reminds us to stay curious-one has to always be on the lookout for wonder. Here are nine places in the Atlas that may seem boring at first glance but are actually amazing once you take a closer look.

Here are a few:

1. Brooklyn Townhouse Secret Subway Exit

Brooklyn, NY

3. Mystery Soda Machine – insert 75 cents and see what you get

Seattle, WA

4. The Lonely Parking Meter

The only parking meter in Winters, CA

http://www.atlasobscura.com/articles/9-amazing-things-disguised-as-boring-things

My comment: Just For Fun!! We all work in the field and discover strange things. This article will make me look closer at what I see ;>

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Disciplinary Process-How It Works, Your Rights & Likely Outcomes

by Robert Weinstock, JD, MBA, CBA, CVA

Excerpts:

While the number of licensed real estate appraisers nationwide has decreased, the number of complaints filed against appraisers has increased. For example, in my home state of California, complaints against appraisers have increased by 40% even though the number of appraisers has declined, according to the California Bureau of Real Estate Appraisers (BREA)….

The following is an actual 2015 disciplinary action against an appraiser in which the appraiser lost his license and was required to reimburse the state for its investigation and prosecution costs in the amount of $125,828. In addition, if the applicant should care to reapply for a new license, he shall be required to pay an additional $115,828.

Read more!! →

Posted in: Mortgage applications, mortgage loan volume, state appraiser regulators, Strange homes, unusual home, unusual homes, weird properties
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Newz// Accessory Dwelling Units .FHA webinar .Analysis of FHA 4000.1 changes

By on October 13, 2016   /  Leave a comment

Why It’s Impossible to Know a Coastline’s True Length

Measuring around bodies of water is a mathematically impossible

Excerpt:

Imagine, for a moment, that you and your friend have been given a seemingly straightforward task: to measure the coastline of Puget Sound, in Washington State. Resources are tight, so you’ve got a yardstick, while your friend has a foot-long ruler. You each walk along, laying your measuring stick along the edge of the water, following the the ins and outs of the shore as best you can. When you’re finished, you compare notes-and you’re shocked. While you ended up with a respectable 3,000 miles, your friend and his foot-long got a way higher number, somewhere around 4,500 miles.

You guys aren’t crazy. You’re victims of the coastline paradox, a tricky mathematical principle that messes with cartographers, stymies government bureaus, and makes it impossible to know exactly how big our world truly is.

http://www.atlasobscura.com/articles/why-its-impossible-to-know-a-coastlines-true-length

My comment: Fascinating article!! Looking at the Big Picture. All appraisers take measurements. It seems so easy… most of the time…

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Webinar Title: NEW
FHA Appraisal Essentials – An In-Depth Look
Date/Time:
Pre-recorded: September 14, 2016 / Duration: 115 minutes
Registration Link:
Description:
This pre-recorded webinar provides an in-depth look at a variety of property appraisal topics such as: property acceptability criteria; minimum property requirements; property defects; appraiser responsibilities and requirements; and, much more. The webinar is targeted primarily to FHA roster appraisers, underwriters, processors, and other appropriate mortgagee staff involved with the appraisal review and mortgage approval process.
 
Special Instructions:
This webinar is now available 24/7 for viewing.

NOTE ON LINK: it looks like you are registering for the September live session. Just fill it out and a link to the webinar will appear.

Read more!! →

Posted in: adjustments, appraisal business, FHA, Mortgage applications, mortgage loan volume, weird properties
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