What is Included in Appraisal Square Footage?

By on October 23, 2020   /   appraisal business, Appraisal fees, square footage   /   Leave a comment
Tags: , , ,

Question: Can it count in the square footage?

Roof detail house

By Ryan Lundquist

Excerpts: Can you include it in the square footage? I get questions like this almost every week. Is it okay to count an accessory dwelling in the living area? What about a pool house? How about a man cave or she shed? Let’s talk about this.

The straight dope: It’s tempting to lump something else in the backyard into the square footage, but that’s not appropriate per ANSI measuring standards. Suppose you have to walk outside of the house into something else that is not directly accessible to the house. In that case, we’re really dealing with something that isn’t considered to be a part of the main house…

To read more, click here

My comments: Written for homeowners, but has some good remarks on square footage, such as “lumped square footage” in MLS. What is Included in Appraisal Square Footage can be tricky and controversial. It can also vary by geographic area.

How accurate is the reported square footage from the tax records in your primary service area?(Opens in a new browser tab)

Marketing and Management Tips for Appraisers

Click Read More below for the rest of this long blog post!!

Read more!! →

Back to Top

Appraisal Process Challenges

By on September 11, 2020   /   appraisal business, appraisal how to, Coronavirus, COVID, fauci, Mortgage applications, unusual home   /   Leave a comment
Tags: , , , ,

The Most Challenging Part of the Appraisal Process

Appraisal Process Challenges
Excerpts: Number 1: Data analysis (34%)

“When comps are limited, or when sales prices vary by as much as 50% for what appear to be very similar properties in the same neighborhood (which seems to be more and more common in the Denver metro area), selecting the best comparable properties can be a very time consuming and stressful process.”

Number 2. Site value opinion (17%)

“I choose ‘Site Value Opinion’ as the most challenging since there are very few vacant land sales in the areas that I appraise in. With very few sales, it’s very difficult to provide an opinion of value for many sites.”

To read more comments from appraisers and the other 7 challenging parts of the appraisal process click here

My comment: Lots of good appraiser comments. Data Analysis is my number one choice also. Tract homes are sorta boring but can be a welcome break from all the non-tract homes I appraise. Also, with Covid, I don’t connect with real estate agents every week at open houses to find out what is happening (behind the data).

Appraising Weird Stuff is Challenging!(Opens in a new browser tab)

Common Appraiser Violations(Opens in a new browser tab)

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

Read more!! →

Back to Top

Should Appraisers Pay to Be on AMC List

By on August 28, 2020   /   adjustments, AMCs, appraisal business, appraisal management company, cost approach, COVID, Fannie, fauci, new appraisers   /   Leave a comment
Tags: , , , , , , , ,

By Dustin Harris

Excerpt: Should appraisers pay to be on an AMC’s approved appraiser list? Is this one way to get new clients? If an AMC solicited you, would you check it out?

Now, I work for some AMCs that, frankly, you might not choose to work for. That’s fine. It’s a choice we all make. Understand that most of the areas I work are rural, so AMCs are generally willing to pay more because of this. Some AMC are very demanding. Yet, when I meet those demands, I get a lot of well-paying jobs from them.

To read more, plus lots of appraiser comments, and listen to the podcast, click here

My comment: A never-ending very controversial topic ever since AMCs took over residential lender appraisals after the mortgage crash around 2008!

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

Read more!! →

Back to Top

So Many Appraisal Cost Approach Questions

By on August 21, 2020   /   appraisal business, COVID, hybrid appraisals, Mortgage applications, Reviews, state appraiser regulators, statistics, unusual home, unusual homes, va   /   Leave a comment
Tags: , , , , ,

So Many Appraisal Cost Approach Questions!
So Few Answers! Such Low Fees!

By Tim Andersen, MAI

Excerpt: It is clear most appraisers do not like to do the Cost approach. Generally, we are not too familiar with it. So, it is clear that most appraisers, because of this, do not appreciate the deep analytical power the Cost approach really has. So Many Appraisal Cost Approach Questions!

Therefore, I’m going to ask you 10 questions on the Cost approach (and stuff related to it). After you’ve finished reading them, you probably will still not like to tackle the Cost approach. Nevertheless, you just may have a better understanding of, and appreciation for, its powerful analytical capacities.

First Question: On the 1004 form is the indication that Fannie Mae does not require the Cost Approach to Value. Where does the form instruct the appraiser not to complete the analytics of the Cost approach?

To read the other questions and answers click here

My comment: Appraisers, including myself, seem to have a love/hate relationship with the Cost Approach. But, it can be useful. Tim’s much longer article “But Fannie Mae says I don’t have to do the Cost Approach!!” will be in the September issue of the paid Appraisal Today.

Appraisal Process Challenges(Opens in a new browser tab)

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

Read more!! →

Back to Top

What to Do When Your Appraisal Is Under Review

By on August 14, 2020   /   appraisal business, Coronavirus, cost approach, COVID, liability, state appraiser regulators, unusual homes   /   Leave a comment
Tags: , , , , ,

Excerpts: Residential appraisers will often — if not just about always — have their work reviewed by another appraiser. Usually, this is a routine procedure that the original appraiser barely notices. Sometimes, the review appraiser will come back with requests for extra information, or doubts, that the original appraiser might find annoying. To be sure, the reviewer’s questions might sometimes seem nit-picky, and answering them can distract from other work. However, the issues the reviewer raises almost always turn out to be legitimate. What to Do When Your Appraisal Is Under Review

We asked review appraiser Doug Nakashima (Glenview, Illinois) for advice on how to make reviews as painless as possible if you’re the one being reviewed.

Topics:

  • Remember that reviewers are on your side
  • Look out for these common points of contention
  • Avoid future revision requests

To read more, click here

My comments: Sorry, no comments section for ranting, etc. ;>

If you’re doing AMC work, the tough appraisals tend to go to reviewers. The first “reviews” are from underwriters, clerks, computer software, etc.

I don’t know of any other profession where almost all reports are reviewed by clients. Personally, I think it has resulted in appraisers being overly critical of other appraisers’ work, state boards sometimes being too aggressive, etc. Worse, some appraisers try to send in reports with as as few “problems” as possible, to minimize call backs and doing whatever it takes.

Review appraiser liability(Opens in a new browser tab)

Appraisal Process Challenges(Opens in a new browser tab) Read more!! →

Back to Top

Which Appraisal Clients are used the most?

By on August 7, 2020   /   adjustments, appraisal business, appraisal how to, Coronavirus, COVID, Fannie, Mortgage applications, unusual home   /   Leave a comment
Tags: , , , , , , ,

Survey: Which Appraisal Clients Make Up the Majority of Your Client Base?

Excerpt: What types of clients do property appraisers serve? Do most of their assignments come from lenders vs. non-lenders? To help answer these questions, we recently asked our real estate appraisal community, “What type of appraisal client makes up the majority of your client base?” Or, which Appraisal Clients are used the most?

While most appraisers said that the majority of their work comes from lenders (most often through AMCs), some said the bulk of their client base is made up of other types of appraisal clients, such as attorneys or private individuals.

To read the results and appraiser comments click here

Marketing and Management Tips for Appraisers

Read more!! →

Back to Top

COVID Risk When Appraising Apartments and Commercial Properties

By on August 6, 2020   /   appraisal business, Coronavirus, COVID   /   Leave a comment
Tags: , ,

Primary Risk Rules for All Types of Properties

  • Outside is Good. Inside is Bad.
  • Vacant rooms are Good. Crowded rooms (and outdoor spaces) are Bad.
  • Assume you, and everyone else, is infected.
  • You get infected by breathing another person’s breath, primarily.
  • Wearing a face mask is Good. No face mask is Bad.
  • Air flow is good. Poor (or no) ventilation is bad.
  • Time you spend in a risky space: as little as necessary.
  • You decide your own risk level.

The August issue of Appraisal Today, sent Monday, August 4, 2020, focused on appraising homes. The risks for appraising other types of property is similar when inspecting the interiors. The newsletter discusses many of these issues in more detail. To download a copy, go to www.appraisaltoday.com/coronavirus.

For lots more information, go to my new Covid blog covidscienceblog.com

Some of the factors for all properties:

Read more!! →

Back to Top

Covid-19 and Appraisers FREE Newsletter

By on August 4, 2020   /   appraisal business, Coronavirus, COVID   /   Leave a comment
Tags: , ,

In the August 1, 2020 Issue of the monthly paid Appraisal Today Newsletter

Lots of tips for keeping safe in Covid-19 and Appraisers FREE Newsletter in the August 1, 2020 Issue: Covid-19 and Appraisers FREE Newsletter

  • How to keep safe from COVID-19, including tips for appraisers
  • The Vaccine Race
Click here to download the 1 column version, easy to read on your computer, laptop, or tablet.
You can scroll through the article sections with titles, looking for the topics that you want. I have done lots of research and give you short summaries with where to get more information, similar to these email newsletters.
Or, go to appraisaltoday.com/coronavirus to see a full table of contents and download the free newsletter.
==============================================
Please forward this email to anyone who may be interested. It focuses on appraisers who go inside homes, but much of it is relevant to anyone.

Read more!! →

Back to Top

Interview with The “Millionaire Appraiser”

By on July 31, 2020   /   appraisal business, Fannie, humor, hybrid appraisals, Mortgage applications, unusual homes   /   Leave a comment
Tags: , , , ,

Excerpt: How does one reach such a milestone? Terrence dropped out of school at what age? What advice can he offer to appraisers? These questions and much more will be answered by Terrence Bilodeau as he shares about his life’s journey and how he runs his business. The 23-minute Interview with The “Millionaire Appraiser”, Terrence Bilodeau, includes 2-minute introductory comments and a brief ad. Very good interview.

Read the appraiser comments below the video on the Vimeo website. (not many comments on Buzz web site).

Interview with The “Millionaire Appraiser”. I wrote about him in the June 19 issue of this email newsletter, using a recently published CNBC article. He was grossing $280,000 per year. It was very popular with my subscribers. Link to the article I used click here:

To read more, click here

My comment: This guy works way too hard!!

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

What Is An Appraiser?(Opens in a new browser tab) Humor

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

Appraisal Process Challenges(Opens in a new browser tab)

Read more!! →

Back to Top

Working with difficult appraisal clients

By on July 24, 2020   /   ADUs, appraisal business, Coronavirus, george dell, Mortgage applications, square footage, unusual homes, zillow   /   Leave a comment
Tags: , , , , , , , ,

Advice for Working with Difficult Appraisal Clients

Excerpt: Even if the bulk of your appraisals are fairly cut and dried, and require minimal interaction with a human client, any appraiser will occasionally have to work with a difficult client. The assignment might require you to work with a specialty property that is hard to appraise, or with a client who is personally disagreeable, or exceptionally exacting, or who has an agenda that you don’t understand or can’t go along with. Here are some tips for working with difficult clients. Three of the topics:

– Working with AMCs and banks: Time management

– Working with non-lenders: Expectations management

– Deal with complaints immediately

To read the tips, click here

My comment: Some great, practical tips!! Maybe I will try some of them instead of Firing clients, my most popular option ;>

My motto: Appraising would be great except for the darn clients!!

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

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

Read more!! →

Back to Top