Posts Tagged appraisal business

A very, very funny appraiser video!

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Appraiser Recovers From COVID-19(Opens in a new browser tab)

Appraiser Covid Survey Results April 2020

By Ann O'Rourke on April 9, 2020 / appraisal business, cat, Coronavirus, Fannie / Leave a comment

Tags: appraisal business, Coronavirus, Fannie

Survey Results April 2020

April 1 Wednesday Facebook Poll results:

Doing interiors 142 – 57%

Turn down interiors 80 – 32%

Transiting away. 28 – 11%

Total 250

—————————-

Bradford software customers – Started April 30, last Monday

I took this survey.

Q1 Have you been been accepting new appraisal assignments? (check all that apply) (1,087 responses)

Responses

– I do Desktops using the new COVID-19 Flexibility Desktop addendum 29.35% 319

– I do Drive-bys using the new COVID-19 Flexibility Exterior addendum 49.22% 535

– I do traditional 1004s with interior and exterior inspections 65.96% 717

– Not doing appraisals during the pandemic crisis 8.92% 97

Q2 Did you know lenders will accept a desktop or drive-by in lieu of a traditional 1004 with interior inspection?

Yes 83.90% 912

No 16.10% 175

Q4 Would you complete an appraisal that included interior photos

completed by a homeowner if you could verify the photos were taken

inside the home?

Yes 72.13% 784

No 27.87% 303

Many thanks to Jeff Bradford for this data!!

To read about lots more appraisal topics, continue reading below!

Covid-19 Residential Appraisers Tips on Staying Safe

Covid-19 and appraisals. March 20 2020

By Ann O'Rourke on March 20, 2020 / appraisal business, Coronavirus, va, weird properties / Leave a comment

Tags: appraisal business, Coronavirus, va, weird properties

March 20, 2020

There are many, many issues which seems to be changing on a daily basis. I wrote this yesterday. There have already been changes I am sure. I am including links to relevant information below

The big refi boom is causing lots of desperate lenders and AMCs trying to find appraisers.

You don’t need more info on keeping safe as it is available all over. What I discuss today is shift from interior inspections to drivebys, forms, what lenders are saying, what real estate agents are doing, the market changes (maybe), liability, etc.

What are lenders and AMCs doing?

Some direct lenders, such as Citibank, are sending out emails about what they recommend. On the other side AMCs are acting like nothing has happened and sending out email blast low fee appraisal request. FYI, it is a lot easier for one lender to change. AMCs work for many lenders.

Info on what Citibank is recommending from VaCAP:

Many are fearful exterior only appraisals will be the end of the traditional appraisal as we know it. Right or wrong, exterior only appraisals are a possibility that may be acceptable in certain situations. VaCAP does not believe it will end traditional appraisals with interior inspections. The profession has been down this road before. It will not fly long term, especially if the market turns downward.

Some lenders are establishing COVID-19 protocols to follow and some have remained quiet on the subject. There are rumors that one lender has instructed appraisers not to inquire as the health of the occupants of the home due to privacy laws. Others like Citibank have developed their own protocol on how appraisers should handle COVID-19 concerns. There is great flexibility to the appraiser. See Citibank’s protocol below:

Worth reading. To read more, click here

Appraisal Business Tips

Humor for Appraisers

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

Appraiser Recovers From COVID-19

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

Covid-19 Residential Appraisers Tips on Staying Safe

Coronavirus and Appraisals March 13 2020

By Ann O'Rourke on March 13, 2020 / AMCs, appraisal business, Appraisal fees, appraisal management company, AVMS, future, lender appraisals, Mortgage applications, mortgage loan volume, unusual homes, weird properties / 1 Comment

Tags: AMC, appraisal business, appraisal fees, appraisal management company, future, mortgage loan volume, unusal homes, unusual buildings

Appraiser’s (Changing) Role

Q&A with Mark Verrett, Chief Innovation Officer at Accurity Valuation

Excerpts: WRE: How can appraisers adapt to meet the profession demands?

Verrett: I think there are several ways to adapt to these challenges. The first is to work toward diversifying your practice away from 100 percent mortgage business niches. Our firm is a leader in green valuation, rural valuation, valuation consulting and litigation support and we help our offices diversify into those spaces. However, this solution isn’t for everyone….

To directly take on the challenges facing appraiser relevancy in the mortgage space, significant change is required. Appraisers need to unite to create a like-minded national voice that is not rejecting proposed changes for the profession, but rather working with stakeholders (regulators, lenders, clients, etc.) in conceptualizing, testing, tweaking, and ultimately modernizing the appraisal process on the mortgage side.

The appraisal community has a tough assignment in their role in this modernization. To be useful in the discussion, we need to challenge ourselves to be creative and open-minded, yet diligent in maintaining or, even better, improving the quality of the valuation being produced. I think it is extremely important for appraisers to listen and understand the needs of their clients and to creatively develop solutions that meet those needs.

Worth reading with some good ideas. To read more, click here

My comment: Accurity has franchisees and some very savvy appraiser officers and directors.

Appraisal Business Tips

Humor for Appraisers

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

Appraiser Covid Survey Results April 2020

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

Which Appraisal Clients are used the most?(Opens in a new browser tab)

Building A Secure Appraisal Business

By Ann O'Rourke on February 28, 2020 / adjustments, appraisal business, data, weird properties / Leave a comment

Tags: adjustments, appraisal business, weird properties

Building a Secure Appraisal Business

by Joshua Walitt

Excerpt: Like many of you, I got my start as a real estate appraiser in residential mortgage work. At the time, residential mortgage work was all that I knew, and for a time, all that I thought I could do!

As a residential real estate appraiser focusing heavily on 1004 work, I had blinders on and I had not adequately considered the many, many opportunities available to me. As I developed as a professional, I began to realize that the potential career paths, types of work, and the different roles available to a real estate appraiser vary widely. I think too often as appraisers we severely limit ourselves into what we can or can’t do and define the services we can offer to the marketplace far too narrowly.

The industry is changing, and I like to think of myself as being part of the change, rather than being apart from the change. As appraisers, we each need to ask ourselves: “Do I want to be a part of the change that is taking place in the industry, or will I be apart from it?” Either way, as things change in life and in business (and they will!), we are all faced with a choice about how we will adapt to the changes and overcome the obstacles we encounter along the way. As the appraisal industry continues to evolve and change, it’s important that we appraisers understand that we are capable of providing a very wide range of services in a variety of roles.

For example, here is a list of valuation-related services that appraisers are suited for and can diversify into…

To read more, click here

My comment: worth reading with lots of ideas. I have been writing about this since 1992.

To read about lots more appraisal topics, continue reading below!

6 Reasons Appraisers Are NOT Needed

By Ann O'Rourke on February 7, 2020 / adjustments, appraisal, Appraisal Foundation, appraisal how to, AVMS, commercial appraisal, mortgage loan volume, Podcasts, unusual home, USPAP, weird properties / Leave a comment

Tags: adjustments, appraisal business, Appraisal Foundation, appraisal how to, mortgage loan volume, unusal homes, weird properties

Appraisers Are NOT Needed???

Excerpt: You can buy a car in little to no time so why not a house? Over the years I have heard that the home buying process is too long. There are too many headaches for buyers and the process should be easier.

We are in a microwave society and everybody wants things instantly. This should, of course, carry over to the home buying process, right?

A house is probably the most expensive purchase people will ever make but that doesn’t mean that the process needs to consume your entire life, right? The appraiser just adds to the stumbling block that most home buyers face in getting into the house of their dreams. Today I am going to discuss 6 reasons that appraisers are not needed (wink, wink) in the home buying process.

Written for home buyers but good explanations for appraisers to use.

To read more click here

My comment: I have appraised many apartment properties. 2-4 unit properties are more difficult to appraise than a 60 unit apartment building, which I appraised recently! Owner occupants, motivations, etc. are big issues. 4 units are the most difficult.

My city has had rent control, which keeps getting stricter, for 4 years. CA recently passed rent control for the state. Must use actual, not market, rents in appraisals. Very, very difficult to appraise. 3 weeks ago I decided not to do them any more.

But, last week a family was thinking about selling their 4 unit property. I pre-screened them. If it had low rents, I don’t know who would buy it. Fortunately the rents were around 80% of market. They wanted to know if it was good time to sell. I told them I would let them know, then do the appraisal. Not a good market now.

I met one of the owners this week at the inspection. He brought a copy of the 2005 date of death appraisal and asked for an “update” or an “evaluation”, for a lower fee, which his sisters requested. I told him I could not do it and did not know any licensed appraiser who would do it. And told him to use a local real estate agent for free. I doubt if they would recommend not listing now as I speak with them regularly at open houses.

Top Ten Reasons Why It Is Great to be an Appraiser Humor(Opens in a new browser tab)

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What is a Competent Appraiser?

By Ann O'Rourke on January 17, 2020 / AMCs, appraisal business, real estate market, USPAP, weird properties / Leave a comment

Tags: AMC, appraisal business, appraisal fees, appraisal management company, mortgage loan volume, real estate market, USPAP, weird properties

“Damn Right I’m a Competent Appraiser…Aren’t I?”

By Tim Andersen, MAI

Excerpt: To appraise a property, and then report it according to USPAP, is a requirement USPAP demands and the states enforce. All too often, reviewers see in reports boilerplate (especially in the reconciliation) such as: “In my professional opinion, the value of the subject is $XXXXXX”. In the light of competency, look closely at SR1-6(a) and (b), the reconciliation standards rule. What is a Competent Appraiser?

If there is nothing more in the reconciliation than this single (essentially meaningless) sentence, the appraiser has not complied with SR1-5(a) and (b), thus evidenced a lack of competency. In turn, the appraiser certified to a lie, in that, in not complying, the appraiser omitted preparing the report in accordance with Standards 1 and 2 of USPAP. To add insult to injury, the appraiser has violated SR2-1(b) in that the above statement and certification, with no other context or explanation, are misleading. Three serious USPAP violations might stem from these 11-words.

Therefore, relative to the concept of competency, the deeper meaning is that the above 11-words are capable of generating three charges from the state. In addition, they can generate questions from reviewers. When appraisers appraise the property credibly, and then report the results of that appraisal in a non-misleading manner, they avoid both attention from reviewers and from the state. Thus, in turn, they save not only time and money, they show themselves to be competent. They appear more professional. Professionals can and do charge more for their time and efforts, right? Let us, therefore, be professionals.

My NOTE: This blog post starts with USPAP competency standards and includes an analysis of Competency and the Fannie forms Neighborhood section.

To read more, click here

My comment: Tim Andersen is definitely a USPAP Expert! He writes, speaks, teaches classes, etc. on USPAP topics. He also helps appraisers get their appraisals more USPAP complaint. He focuses on residential appraisal issues – state boards, reviewers, AMCs, etc.

Covid-19 Residential Appraisers Tips on Staying Safe

Which Appraisal Clients are used the most?(Opens in a new browser tab)

To read about lots more appraisal topics, continue reading below!

10 Very Unique Bathrooms for Appraisers

By Ann O'Rourke on January 10, 2020 / adjustments, AMCs, appraisal business, appraiser shortage, Mortgage applications, mortgage loan volume, real estate market, unusual homes / Leave a comment

Tags: adjustments, AMC, appraisal business, appraisal management company, mortgage loan volume, new appraisers, real estate market, unusal homes

Unique Bathrooms

Excerpt: The world is filled with remarkable restrooms. Some of them are no longer open to the public, such as the Stufetta del Bibbiena, a small bathing chamber with erotic-art-covered walls in the Vatican’s Papal Apartments. Others have been transformed into something totally new, like the London coffee shop that was once a Victorian urinal. But there are plenty of breathtaking bathrooms that are publicly accessible and just waiting to be wetted. These are 10 of the world’s most opulent and bizarre bathrooms. These 10 Very Unique Bathrooms for Appraisers are fascinating and unique!

Here are a few

Two story bathroom
Berlin Wall urinal
World’s Most beautiful public toilet

To read lots more info and see the good fotos To read more, click here

My comments: FYI, bathrooms are one of the very most popular topics in these free appraiser weekly emails. I have no idea why ;>

Covid-19 Residential Appraisers Tips on Staying Safe

Very unusual bathrooms for appraisers(Opens in a new browser tab)

To read about lots more appraisal topics, continue reading below!

Covid-19 Residential Appraisers Tips on Staying Safe

Arm’s-Length Transaction for Appraisals

By Ann O'Rourke on January 3, 2020 / adjustments, appraisal business, weird homes / Leave a comment

Tags: adjustments, appraisal business, arms length transaction, real estate market, unusal homes

Arm’s-Length Transaction for Appraisals

By Dustin Harris

Excerpt: USPAP does not define the term arm’s-length transaction. Fannie Mae also lacks such a definition. Yet, both of them call for the appraiser to use only arm’s-length transactions as comparable sales…

How often do we appraisers get into the mode where we think we know it all? Occasionally, do we need to step back and look at the way we do things, just to make sure we are not missing something? Is what we know to be true and correct really true and correct? I raise this issue relative to the concept of what an arm’s-length transaction is. Are we truly aware of its definition and its application?

To read more, click here

My comment: There are too many phrases widely used without definitions!!

Appraisal Business Tips

Humor for Appraisers

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

Very unusual bathrooms for appraisers(Opens in a new browser tab)