As an appraiser I can appreciate the content of your blog. Never take for granted that an appraiser knows everything about the subject's market area. Most appraisers cover a large territory in order to make a living, it's impossible to know every community! I always appreciate a realtor who shows up with possible sales comparables, we are only human and can miss a potential comparable. Today the URAR forms are much more detailed and reports are taking 30-50% longer to produce. Any outside help is always appreciated. PS We can really use the realtors support regarding the HVCC code. Realtors have the clout, let your voice be heard as the attorney general of NY is sinking us. Be at the rally, date will be announced for a November protest in NYC. 

I am having a huge problem right now along these lines.... its a condo , and there was one that recently closed in the building (same floorplan) , which was in AWFUL condition. problem is ... listing agent on that one , didn't 'bother' to take any photos of it , because it was so bad...  and of course didn't mention it in the listing remarks.  Now, our unit which is in much better condition is being compared side by side to that other one .... our appraisal is 20k short, and it really shouldn't be.   If you are the listing agent of the 'shack' as was mentioned earlier ... make sure to document it, otherwise you are affecting the entire market! 

Melissa Blum, CRS.  Patina Realty, Hoboken NJ

You have made great points but due to recent guidelines and the HVCC system in place for conventional loans, the appraiser is not suppose to have contact with youthe realtor, mortgage company, seller and buyer. FHA is going to implement are variation of the system and this will eliminate almost all contact with the appraisers.

There's another good article about "How to Appeal a Low Appraisal" that goes well with this one.  Great article. 

As an appraiser, I can verify that these are helpful tips, even though most should be redundant if the appraiser has done their research properly. They are especially helpful in areas where MLS is not strong or is fractured. In New York, the multitude of MLS systems do not cooperate with each other making some areas especially hard to research.

One more suggestion, let the appraiser do the inspection and THEN discuss the property. I always tell homeowners and realtors the same thing, i.e. I will spend as much time as you want AFTER my inspection but please don't be chattering in my ear while I'm trying to do my job (we already know which is the kitchen, living room etc). I'm more than happy to re-inspect ( and have) any thing that I may have missed or underestimated. The current forms and lender requirements are frankly nitpicky. The appraiser needs full concentration.

It's also a good idea to go over the room count, on rare occasion one can be missed. Rooms below grade  do not count as living area but a nicely finished basement can add significant value. Understand, too, we don't make the rules but we do have have to follow them.

Thanks for the heads up, Frank and Sharon. Appraisals can make or break a deal, as some of us have learned the hard way, and your list was very helpful, as well as the responses to your blog. Taking off the lockbox after a contract is signed has its pros and cons. Here in the Wiregrass area of Lower Alabama many inspectors and appraisers have their own lockbox keys, but protection of the homeowner's property is definitely a serious consideration.  

Any Appraiser worth their license will review any and all data provided by the Realtor. This is not perceived as coercion but informative. That being said, with the advent of the HVCC, the unregulated appraisal "mill houses" assign appraisals by "price and speed" and not competency. As noted by another viewer, USPAP requires the Appraiser be competent with a particular market area and property type. If not, the consultation of a third party appraiser familiar with the specific problem at hand needs to be obtained and so stated in the report.....bet you have never seen that! Unfortunately, I see it all too often, meeting appraisers in town hall from over 100 miles away who do not know the market area, market trends etc. At best, they are just gathering data to create a clueless report. To make things worse, most appraisal management companies pay so little the appraiser has to do twice the work to stay in business.  This leads to a whole new set of problems with due diligence as it is not possible to spend sufficient time any one report.....it is a vicious circle that has been spawned by the HVCC. Simple math will tell you that if an appraiser is appraising in areas closer to their base of operation and being paid a full appraisal fee, the quality of the appraisal, timeliness and competency is significantly improved. The "seasoned" appraisers I know will not accept work from most unregulated appraisal management companies due to their lack of concern for the entire process. I will preface this by saying not all management companies are created equal and some (very few) understand the importance of the process and are not blinded by the monetary rewards. With no disrespect intended to fellow appraisers, the management companies are many times using inexperienced appraisers who see an opportunity to "go off on their own" instead of working for a split fee in the historical sense. If this makes any sense to anyone I would like to be enlightened.  A fact most are not knowledgeable of is that the HVCC was brought about due to illegal activity by an appraisal management company and lender pressuring the appraiser to provide what the lender wanted. Quite ironic isn't it. 

In closing, this new process is bad for everyone including appraisers, realtors and the general public. In particular it is costing the general public millions of dollars of unnecessary expense. Realtors and the general public need to be vocal and speak up as ultimately the process, as it now exists, will no doubt have a profound effect on your ability to conduct business and make a living. The appraisal industry was the first process in the mortgage industry to be socialized. Now, the Government is after the mortgage broker industry and I foresee the Realtor industry in the future.  

As a realtor and certified appraiser I couldn't agree more.

Because of the market conditions, is anyone suggesting the Sellers order an appraisal to provide:

a) The Sellers and Listing agent with a comfort level the the property is realitically priced

b) The Buyer with the basis for the listing price

c) All parties to the contract some peace of mind that there won't be an appraisal "surprise"

Anyone selling today should need to sell and not be "testing" the market. Comps are easily tweaked in the favor of the tweaker.  South Florida is suffering from hypo-appraisal values; just when the Seller gets his/her mind wrapped around the reduced values-BAM they are even lower. Pricing right in the beginning more often elicits a contract that can get to closing before more negative comps skew the value further. 

Also, a great suggestion for a BPO on a short sales---ensures a better result.

Sharon,

       Here's an additional suggesting (No. 11).  Get a hold of the Real Estate Inspectors report.  This will not only clear up any issues regarding types of materials used in the home (i.e. wood vs. wood laminate), but more importantly if there are any significant defects which may cost thousands of dollars to repair.  I have heard of recent appraisals coming in on older vacant homes in the city of Detroit, MI near $100,00 or so but when the inspector was done the property was only worth the lot it was sitting on (due to the extent of the damage of the property).  

RJDalga

Home Analysts, Inc.

Kalamazoo, MI

In general, a very good article. The author provides excellent advice and is a breathe of fresh air in what is often a contentious relationship between agent and appraiser.

As an appraiser, I'm happy to review any information you may offer, although it truly is unnecessary to "sell" me on the property. Believe it or not, I probably really am not going to "absolutely love the updated master bathroom." I'm more interested in what, if any, premium the market indicates it is willing to pay for a similarly updated master bath compared to a similar bath that has not been updated. And your buyer is not representative of the market as a whole, so any premium they have agreed to pay for the bathroom because they "fell in love" is irrelevent if no one else has expressed similar interest as evidenced by the price they paid for their property.

With regards to pulling the lockbox; if you do, please update the MLS data with that information. There are few things more aggravating than reading a listing that indicates the property is on a lockbox, to "Call and Go" as stated in the listing, and then to arrive at the property and discover the lockbox has been removed. In addition, if you do pull the lockbox, be willing to meet the appraiser at the property rather than require that the appraiser drive 30 miles to your office, pick up a key, drive 20 miles to the property, drive 20 miles back to your office to return the key, and then drive 30 miles back to the appraiser's office. In the rain. During rushhour. With gas prices eating into the increasingly marginal net profit per appraisal and increasing demands from clients for short turn around times. Your consideration of my time and expenses is greatly appreciated and will go far towards developing a cooperative relationship between agent and appraiser rather than a combative one.

Good luck to all.

As an appraiser I started reading with a very skeptical eye.  I was pleasantly surprised.  A very good post.  Most of your list I would find helpful, and, nothing as a professional I would object to.   

Here are a couple of additional thoughts:  

SIMILAR SALES:  Make sure the comparables you give me are of similar age, style and SF.  If at all possible I am not going to compare a 2008 house to your 1974 one and vice versa.  Size matters--- If your GLA is 2,000 SF please don't show me sales with 4,000 SF.  So does style.  There is a difference in above grade SF and below grade SF.  So if your house has a basement, then I am going to try to use homes with basements.  

LOCATION, LOCATION, LOCATION:  The first thing I do with sales provided by an agent is bring them up on an MLS map.  If they look like a donut with the subject sitting in a large hole in the center, I become very skeptical of their choices.  

THINGS YOU BUYER THINKS ARE IMPORTANT BUT NOT PART OF VALUE:  There are many things that make your home more saleable and your buyer takes into the decision to purchase but for the appraisal and lending purpose have no value. For the most part this is because they are not real property but are considered personal property.  The brand new free standing fridge, the washer & dryer, curtains, drapes, free standing hot tub, above ground pool, big screen TV, the car or boat the seller has included to entice your buyer.  Also when looking at comparables we gauge market reaction to sellers paid closing costs, builder concessions and add ons, special financing  and buy downs.  

Finally if you truly want good appraisals here are a couple of things you can do in your MLS listings that will make the appraisers life easier and the appraisal more accurate.

1.  PHOTOS:  The NWMLS allows 15 photos, use them.  Include photos of the front and rear of the house, the yard, LR, K, D, Family, all bedrooms & Baths and any other rooms.  If you put in a photo of the view, make it a current accurate photo. Take it through a window or from the porch or deck/patio (some place I can duplicate).  No zoom, use a rail or something as a point of reference.  2.  TELL THE TRUTH:  I am not asking you to list all of the homes faults in the general area the public sees, but, if there are repairs required or other problems mention them in the agent only comments. 

Great post, I too was sleptical. 

I work in a very small geographic area; I am very familiar with my market.

My greatest concern/gripe is the lack of detail in the MLS listings; lack of description of the listing (future comparable).  Remember, a comparable is a competing alternative - a property the same buyer would also consider.

John offers good points, too.

Best to All

This is awesome.  I would like to share it with my office.  You should set it up to reblog.

This is awesome.  I would like to share it with my office.  You should set it up to reblog.

This is awesome.  I would like to share it with my office.  You should set it up to reblog.

Great information, good points.  We're back to the basics of what personal contact does for our business.

Great reminder for all agents that it is not as simple anymore.  Especially in the short sale worlde.  I recently had a short where I could of had the property sold several times but the appraiser used for this property went by what he saw on paper vs. having someone explain the major difference between the subject house and the house next door which was totally updated.  Apparantly I was not so convincing. 

Also, most seller agents don't bother leaving their office to take the time to meet the appraisers yet.  They will get the wake up call soon when all of sudden there deals are not going thru,

I believe as seller agents we owe it to compile all the information we can and have it nicely packaged to present to the Appraiser with a brief review upon completion of the appraisal to make sure they did not miss anything important.

Some appraiser will only go by what they come up with by the numbers actually put some feature and functions consideration to the end result.

Nice Post I am a Certified Residential Appraiser in the New York City area. I always listen to the realtors I meet on inspection. Try to remember time of sale and proximity all big issues., especially today. underwriters go over appraisals with a fine tooth comb. Everything an appraiser does needs to be verified and documented. Your MLS reports should reflect the subject as is, otherwise we are using comparable sales which we view as average and the broker lists as mint. These hurt the value of your high end sales.

Nice post

KLevin

Very insightful post, thanks for sharing what is working for you.

Thank so much for the great post! The tips are great and with a recent situation, a good reminder of some things I need to remember myself. Thanks again for the post and all the informative responses!

Great article, with fantastic advice!  It is hard being in the dark these days on appraisals... They won't even do value checks around here any more!  Thank you!!!

Helen Robinson

Amcap Mortgage Bank

512-921-6078

Thank you for posting!  I have had a few issues lately and perhaps these tips may have saved my Sellers some issues.

Excellent points all.  We find ourselves often dealing with appraisers from well outside our market area who were "appointed" by the mortgage holder/bank as that appraiser had the lowest cost of service.  It can be quite touchy to decline such an appraiser.  Certainly they are qualified/licensed to do an appraisal, but what qualifies them to appraise a property well outside their geographic area of expertise?  Especially when you have a host of qualified local appraisers ready, willing and able to appraise.

Providing an out-of-area appraiser with the information you wisely include is no guarantee the appraiser will "hit the mark".  I wonder who the appraiser is working for ... afterall they want to continue to receive work too.  Your professionalism is, afterall, not paying the appraiser fee.

If you have an office in the area of an out-of-area appraiser it might be wise to call that office, speak with the office manager and ask for a frank opinion of the appraiser.  Your seller might not like the idea of turning away an appraiser after waiting so long for a valid offer, but if accepting a low-ball appraiser means taking another 15% off the sales price the seller might be willing to go along with your recommendation to "just say no".

What a great post!  Especially since these apprasiers are still coming in to our area without having true knowledge about the area.  I have had so many out of town appraisers do a totally inadequate appraisal and now I step up to the place and make sure they have the necessary information to be able to truly appraise the property correctly.  Our market is very busy, unfortunately with distressedsales and these appraisals are the key to keeping the prices where they should be.

Thanks for your contribution!!!

get a better appraisal??

How,  You sell houses,  and let licensed appraisers do their job!

Get a better appraisal?   Give me a freakin break,  either the house appraises or it doesnt,  we,  the American tax payer do no need a know it all real estate agent MANIPULATING house prices to line their own pockets!

enuf is enuf

I think this is great information and will definitely put this to use in my own real estate practice (www.teamaguilar.com).  I think the better that relationships can be built within the market right now, the more likely there will be more comfort with making sales and making the most out of every property. 

Just to add....dont forget to tell your seller to prepare their home for the appraisal. if your home looks good there are no distractions for the appraisor and he can focus on your upgrades. 

This was such a good blog I felt I had to revisit it.  Great responses!  Except for the one, sorry about that.  Seems one of the rank and file has had a bad experience dealing with agents and still has a bad taste in his mouth.  I didn't see where anyone was trying to wear an appraiser's "hat".

I feel that I have to address post #120.  Helen you don't seem to get it.  "Comp checks" are a violation of USPAP, period.  If an appraiser is caught performing them and was brought in front of the State Appraisal Board, the usual penalty is REVOCATION OF LICENSE for the first offense.  Why would someone sit there and do 2-3+ hours of research to give you an opinion of value for free?  Yes folks that is typical time spent researching and analyzing the market data for a typical cookie cutter 1500 SF suburban ranch home that I have geocompetency with.  Please keep that in mind when you offer your comps. 

  Honestly, it was Mortgage Brokers and the appraisers who complied with your value request's that brought on the HVCC and made the Mortgage Broker's license worthless.  Not to mention the harm it caused the appraisal profession. I don't mean to be mean spirited, but some of you MB's just don't seem to get it.  Some  do.  I know of an ethical MB of 17 years who get's refearels, B-day cards, Xmas cards and social invitations etc from former clients.  She will not be renewing her license due to the restrictions placed on MB's. This will be a big blow to my business, one of my best clients and never ever asked for a "comp check".

Great post. Resl Estate appraisals have become our new stumbling block. We need to do our best to help out the other steps in the process, and if the appraiser refuses our help, that is just too bad. IT is not influencing the appraiser if we are providing verifiable iformation to them, often in areas that they are not so familiar with.

Great post. Resl Estate appraisals have become our new stumbling block. We need to do our best to help out the other steps in the process, and if the appraiser refuses our help, that is just too bad. IT is not influencing the appraiser if we are providing verifiable iformation to them, often in areas that they are not so familiar with.

With agents responding like those on this thread,  it is no wonder why FHA now requires an independent appraiser!

Gee wizz people,  to openly discuss how to get a home appraised for more than what it is worth speaks volumns for your so called code of ethics!

Now we can clearly see why there are so many upside down houses on the market

Bravo Realtors,  Bravo

I would not take the lockbox off.  Leave the comps at the house on the kitchen counter.  Let the appraiser know you are leaving them there for them to review.  Other service people will have to get into the house during escrow.  Unless you want to be running over to the house multiple times, leave the lock box on.  Being there to meet the appraiser will not help.  It may even slow the appraiser down & they are under steep time restaints by lenders to finish asap.  That's another problem.  When the lender says I want the appraisal yesterday, well not really, but in a very short time frame, it can shoot themselves in the foot in getting the quality they say they want.  Truth is, I don't really think the lender is too concened about anything except the #.  Too often they call and ask questions about things that are in an appraisal, because no one has even read it. The whole system dowsn't make any sencse any more.  Too much goverment, too lettle pay.  Agent/appraiser

Dear Frank & Sharon,

Great article - appreciate you sharing.

Andy

Having been an appraiser since 1975, you missed the most important point!

Ask to see the appraiser's dirvers license and when you get back to the office look them up on

the state's web site. In CA it is www.orea.ca.gov

If the appraiser is a trainee, s/he should have been accompanied by a certified appraiser

who is supervising and training the appraiser. If they were not accompanied, you have a

fraudulent appraisal.

Most of the big banks have appraisal management companies. They are charging the borrower $500 for the

appraisal and paying the appraiser $175 or less. This is why appraisal quality has gone down. the emphasis

is on turnaround time not on quality. Volume has to be increased in order to make up the difference. The

older, moreexperienced appraiseers do not work for AMC's.  Check out WHO is showing up.

I found one at www.orea.ca.gov who is a FELON. Grand theft and robbery.

First of all, Realtors are not appraisers!  Appraisers have access to the same comps as you do.

It is not your job, to intefere with the valuation of real estate!  IE thousands of upside down houses!

Stick to selling and let the banks and appraisers tend to valuations!

"upside down sam, you have not understood either the spirit or the content of this post. Nowhere in it is there any intent or mention of appraising a house for more than it is worth. Supplying appraisers with information is completely ethical and permissible.

If you were to short sell your house, you would thank your real estate agent who was sure the appraiser knew about the upgrades you put in your home, and any details about a home down the street that sold for less because of its poor condition that was not noted in the MLS information. You would be very happy that there was less money that the bank could demand a promissory note or issue a default judgment against you. Your neighbors would be happy that values in the community were better preserved."

active rain is such a joke!

Read the comments!,  All the same, blaa blaa blaaa me too me too dont upset the apple cart so that we can get points as to somehow get a better GOOLE SCORE!

Dang it sheople,  you are talking about manulipation of a licensed appraiser,  buy whom??

A simple realtor!  

Everyone here knows how to "cherry pick" 3 out of 50 houses for you so called CMAs,   what a joke!


This whole thread is disgusting!

Stumbling block??  Are you for real??  Who the heck are you?  You took a couple of night courses to become a real estate agent,  Big dang deal,  and now you think you are a qualified appraiser??

WAKE THE HECK UP!   Stumbling block!  Wake up lady,  Appraisers do not need your help,  you  obviously need theirs!

IT IS THE REALTOR PIMPING UNREALISTIC, UNSUPPORTED CHERRY PICKED VALUATIONS WHEN OBTAINING A LISTING!

So Sad that the bank burst your uneducated bubble!

You are not qualified to appraise a property,  remember,  a valuation is ONLY a Realtors OPINION!

...and bad opinion at that!

"Great post. Resl Estate appraisals have become our new stumbling block. We need to do our best to help out the other steps in the process, and if the appraiser refuses our help, that is just too bad. IT is not influencing the appraiser if we are providing verifiable iformation to them, often in areas that they are not so familiar with"

Great information. I just went through an appraisal, and this information would have really helped. I'll certainly be more hands on from here out.

As an appraiser,

•1)    I do not have the power to make or break your deal. I report the market value of the property based on my market research.

•2)    I don't want your comps. I have to remain unbiased. Any appraiser worth his certification (very few in Florida are licensed anymore) will know what the comps are.

•3)    Call who you want. I will be also, when I verify the sales information of the comps.

•4)    Asking about upgrades, renovations, and remodeling was taught to me by my mentor in appraisal class 101.

•5)    Harwood, wood, or laminate? If I can't tell the difference, neither can your buyer.

•6)    I'll be taking my own photo's to insert in my report.

•7)    If I can't spot the "site view" I shouldn't be appraising.

•8)    The key word here is "local appraiser". Make sure you have one.

(9 and 10) These go together. If the appraiser is from out of the area or 100 miles away, you're a fool for letting them do the appraisal. It's called "Geographical Competency" and it is REQUIRED in any appraisal we do. So many appraisals are being done by AMC's. That $400 appraisal your client is paying for; the appraiser may only get $200 of it. That means the AMC's tend to attract inexperienced appraisers who will work for these low wages. Many will drive over 100 miles for the money, whether or not they know the area. Have your client DEMAND a local appraiser, they're paying for it.

RIGHT ON Wm Hattaway post 163

What the heck is wrong with hollier than thou realtors actually thinking that THEY HAVE ANY SAY in the appraisal process!

All Realtors agreeing to this post should be investigated and or resign!

why the heck would an appraiser ask a realtor about sellers concession,    Are the numbers being cooked??

Does anyone else see a problem with realtor / appraiser relationships?

I am an appraiser as well as an agent. I always accept any comparables the agent wants to give me, I always listen to the upgrades of the house. My estimated value is always based on the best comparables available no matter where I get them.

That being said, make sure you know what the Fannie Mae guidelines are as far as "truly comparable sales" A lot of agents have no clue and give me "comparables" that match the value the want but are nothing close to being comparable to the subject.

That would be my #1 advise to agents. Also, please leave the lock box on. Leave the comps at the property with any information you want us to have. It makes it easier for us to get the inspections completed and the reports done at the speeds the AMC's are demanding these days.

Thanks, Appraiser/Agent in Socal.

If an appraiser is not able to access your mls, doesn't belong to your local board of realtors and comes from a great distance, he is most likely lacking in the knowledge to complete an accurate appraisal. It behooves all Realtors to insist that the appraiser has local experience and compentcy.

Need spellcheck on this site, Sorry

It appears from most of the postings on this article from appraisers that we are nearly all on the same page regarding Agents, Comparable Sales, Verification etc. Without going into great detail, I can tell you there are MANY "appraisers" willing to drive HOURS to a neighborhood that had to use GPS to get to for an appraisal they are not GEOGRAPHICALLY COMPETENT to complete.

When I call to make the appraisal appointment for the purchase, I make it a point (even on my answering machine in the office) to tell everyone the area I cover: The Northwest Metro Atlanta Area. The agents instantly appreciate the fact that I'm semi-local and have a basic idea about the area I'll be appraising in. I always accept data the Agent provides. I am an Appraiser, not Infallible. I can miss relevant data (and I can weed out the in-comparable-comps as well). The point is we are all in this crappy market together and we need to all work together to make deals work.

If you're meeting an appraiser at the home, you can surely do all of the things listed in the article, but you most assuredly better ask if he/she are GEOGRAPHICALLY COMPETENT. Those two words will bring fear into the heart of the appraiser that is 2 hours from the house and has no idea what they are even looking at. In addition, those two words may be what's standing between your children's next VA-cation or STAY-cation. If the appraiser comes up short on the value and the deal falls through because they were not GEOGRAPHICALLY COMPETENT; you have missed an opportunity to set the record straight. Contact the Borrower's Lender DIRECTLYand inform them of your concerns. Then if the value comes in low, you will already have the lines of communication open. ASK for another LOCAL APPRAISER(did you catch the emphasis, LOCAL) to do another appraisal. If you feel strongly enough to go through these steps to close the deal, you may consider off erring to pay for the second appraisal. The cost of the appraisal (assuming a fee of $350.00, will still net you 96% of your commission based on a $250,000.00 dollar home with a 6% total commission on a 60/40 split with your Broker). Well worth the cost of the appraisal. In my opinion, it's much better to have a part of something, rather than all of nothing.

If anyone takes anything away from this post please take away the fact that using LOCAL, GEOGRAPHICALLY COMPETENT APPRAISERS will help all of us provide for our families.

In response to the "giving appraisers info".

I highly agree with the appraisers who suggest you print the summary sheets giving only addresses and mls #'s, all appraisers worth their salt should be members of mls. However some clients (banks) do note on their orders that they do not want the appraiser to accept any information from any party to the transaction or the realtor with the exception of the executed sales contract.

I did have a realtor do something I had never seen anyone do and it was greatly appreciated as in 10+ yrs I agree that when we call agents only about 10% return our calls. The joke between appraisers is that once you (realtor/broker) are paid on your sale; you are no longer interested in the property you sold or providing information regarding that property or sale. We call to verify info ask additional questions and no one in your offices can pull the file for the sale that is required by law to be kept in the real estate office. Its amazing.

On a more positive note what the listing agent did was excellent and very helpful and I did comment in my report per the sellers realtor which no one had a problem with.

1. Pulled about six mls listings- on each had written notes and signed them (excellent for our work file)- ie

*this was my listing the kitchen wasn't updated since construction, the blah blah blah.

*this listing was prior to short sale approval seller was in financial problems needed to sell fast the realtor who listed it was blah blah you will never reach them at the office I tried on such and such a date but here is their cell phone it was the easiest way to reach them as I never got a return call when I called their office ***This is so helpful to us when time is of the utmost to the client and they push our time lines not understanding what the appraiser needs to do to get the job done properly.

You should note the 6 that the realtor gave me were already in my research, I was pleased that she went the extra mile, did not follow me around the house while i did my inspection talking incessantly which can be distracting and just said I thought this might help you out a little. Even so I had three sales she didnt that were better comps as well as more recent and the sale went through no problem. But what she did was courteous and showed she was interested in providing all the help she could without being pushy. Please please update your mls listings to show the actual pending sales price not the old listing price as pending this would help us alot.

Please dont return our calls 4 days after we leave a message as at that point we had no choice but to move forward with the report without your assistance(in some cases I had to pull out comps that I personally thought were better off the grid because the buyer/sellers agent wouldnt return a call- i note the sale in the report and why i couldnt use it (couldnt reach agent so and so at such and such office phone number blah blah to verify such and such information which does not match public record info regarding such and such)-this should never happen even if you have closed on your sale please have the professional courtesy to return an appraisers call there is a reason they are trying to reach you and our time lines are extremely limited by the clients; although they should not be by law.

I know it also sounds callous but the appraiser who commented on the "pick up the key" is absolutely correct as a state certified appraiser (FHA) as well as a realtor; it is not the appraisers job to do your job. As a listing agent if you can not meet the appraiser have an assistant in your office meet the appraiser or another realtor and offer to do the same for them. The appraisers dont have time to run around town collecting keys, waiting for owners to come lock up the dog that wasnt supposed to be there. Please make sure access is available and animals are secured for the inspection. I have been chased out of a house by a bull mastif and had to wait on the roof of my car until the borrowers tenant came to lock their dog up (1 hr) this is not cost effective, safe or reasonable.

I have also on more than one occasion and again just recently had a rush appraisal ordered where the buyers agent and sellers agent didnt get along and neither would set the apt to meet me at the property for two weeks- this is the realtors job- 1 had just had surgery the other was the buyers agent and was too busy. Both bad mouthed each other to me on the phone until I finally said Ill be at the house at 9 on such and such a day please make sure the house is open; got to the property and they were 30 minutes late, its not our job to mediate between realtors. We arent here to get stuck in the middle of agent arguements we need to do our jobs and must have property access if their buyer had missed a rate lock- guess what the appraiser would be blamed because the appraisal wasnt completed as a rush I couldnt get in the house for two weeks that should never have happened.

As far as the comment from the cali realtor stating she feels that realtors are more adept at the market and valuation I beg to disagree based on the information I have seen come from realtors; bias is a consideration as well as lack of in depth knowledge of the appraisal process to assume you know more than an experienced appraiser is not a good way to look at your job or ours. As both I can tell you that most excell at one or the other very few are excellent at both.  I'm not a sales person therefore I appraise as I am more analytical most successful realtors are excellent sales people it doesnt mean you know more or are better it means that our speciality in real estate is different. That attitude is why alot of appraisers think poorly of realtors and vice a versa. Attitude is something that has always been problematic; both sides need to learn to respect the other in their field of expertise.

Also note as someone who was born and raised in the areas I appraise (4-6 counties depending on my work load)and I am a 6th generation native of my state an appraiser who goes into a county other than the one their office is located in does not mean the appraiser is inexperienced or incompetent to appraise in your county. In some cases you may have a certified appraiser in your county who has lived in your state less than two years, knows nothing about the history of the market-be wary of the appraiser stating im in the county they may not have been around as long as someone who lives in an abutting county. In my situation Ive probably had family living in your area for generations be very careful about your assumptions as truely a good appraiser goes above and beyond and has access not only to mls and public record (which realtors use) but other 3rd party sources as well for research and market data.

The ideas are great if you keep it withing reason and respect each other as professionals, know and accept that the appraiser is educated in their profession above a realtors small amount of appraisal education in course work and by all means keep the mls up to date, correct and return calls this will make life better for all involved.

Hi there.  Most of the information is article is nice in theory, but in practice a competent ethical appraiser will know you are only giving information that "(if it's to your advantage)" as noted in the article.  Due to comments like that most ethical, honest and competent appraiser's will put very minimal weight into your data.  You are an advocate, we are not.  We are a disinterested 3rd party with no motivation to hit a specific number other than the one the market data tells us.

If you really want to help, but HONEST in your MLS listing data. Remove the fluff.  REALTORS and APPRAISER read listings, buyers should be getting the FLUFF from the selling or transaction broker.

Also put CORRECT information in your listings.  A mobile home is NOT a single family home...  All that does is give the appraiser and fellow Realtors a negative impression of you and therefore a negative of impression of all properties you are related too.  (I have been both a sales agent and an appraiser!)

If you want to help the process, but be brief, fully disclose and be competent...

Frank & Sharon:

Good article.  As an Appraiser, it seems that all of your advice could be helpful from time to time and certainly harmless in any event.

I would add that it might be helpful to both parties, and save a lot of paper & toner, if you offer to e-mail the Realtor-provided comps in advance of the inspection appointment.  In the vast majority of cases, the Appraiser will already have completed their own analysis before the inspection appointment.  Having the Realtor's suggested comps and additional information on-hand before completing that initial analysis will enhance the impact of the Realtor's information sicne it will be considered before any initial range of values is determined.

Also, Realtors should be aware that a given Appraiser's LOCAL area is not defined by the business address of the Appraisal Company.  Many small Appraisal Companies have Appraisers located in several different counties and the business address or phone number are no indication of that specific Appraiser's local competence.  In other words, just because a business card or the address on the report indicates a location many miles from the subject, that is not a strong indicator that the Appraiser is from some far-flung outpost.  My own company, for one small example, has our billing / business office located 30 miles outside the Columbus metro area, but our Appraisers live and work in three different counties surrounding the metro area.  In one case, the Appraiser's home office would be approximately 75 miles from the billing / business address, and he is far more-competent in his own home territory than he would be in the billing / business office locale.  If a Realtor is concerned regarding the Appraiser's local competence, just ask.  We all know this issue has been widely promoted lately and it doesn't take long to allay those concerns.

As a full time appraiser for 10+ years... I would like to agree with some points already touched on in some of the replies. 

Please leave the lockbox on and do not insist on meeting me at the property whether to present information or ask me questions.  I have a rythym or flow to my inspections and know what to look for and where to look for it.  Nothing is more aggravating to me then a micro-managing agent or homeowner that wants to direct my attention.  I LOVE having a written list of items that they would like me to know about left behind for me to review when it's appropriate - but to follow me around the house and pull my attention off of the inspection to point things out is counter productive and tends to break my concentration away from what I already know I need to look for. I find that I have tended to miss details when chatty agents or realtors have kept my attention directed towards them.  My most thorough and accurate inspections occur when I am left on my own at a house to take my time, see what I need to see when my train of thought is going that direction and not be distracted.

Also... when I leave the office to go out looking at homes, I generally see several homes in a day - then spend the next few days working the appraisals up.  This means that my schedule is pretty tight and it is very difficult to arrange my schedule around meeting up with the agent and a time of arrival cannot be pinpointed.  It is very nice and welcome to have the flexibility of a lockbox in case I am running ahead of or behind schedule.   It is true, that many AMC clients penalize the appraiser for not setting appointments or turning in the appraisal within their timeframes.  They often do this by "scoring" the appraiser on these and other items.  It is very important that the agent return the appraiser's call in a timely manner and is cooperative to their schedule as any delays up front wind up turning into a rushed appraisal in the end.  I have even had many agents insist that I come to their office to pick up and drop off the key.  Why not just leave the lockbox on to make it easier for everyone involved??

I would tend to be one of the appraisers that would tell an agent that I wish to pull my own comps and that I must remain unbiased.  For that same reason, I also reject any prior appraisals that are being handed to me.  But - I'll let you in on a secret.   If you put your information together in a packet or envelope addressed to me and left out on a counter at the home - I will take it and wind up looking through it later as I am working up the appraisal.  Out of curiousity, to see how far off my own conclusions are from what was expected and to get an idea ahead of time of what follow up or feed back might come after the appraisal is completed and doesnt happen to meet the expectations.  With this information, I tend to make sure that my report will be self-explanatory regarding the information  and why it is or is not relevant for use. And yes, to see if there is anything I might of missed.

Bottom line - yes, put information together ESPECIALLY hidden features, construction components or recent renovations that you want to draw my attention to.   Any inside information that you might have about potentional comparables that isn't reported in MLS.  Surveys, inspection reports, seller disclosure and sales contract.  But please leave them for me at the home or send them to my email or office and leave the lockbox on and do not insist on meeting me there or micro-managing my inspection.

Great Post.  As an appraiser, I can say that one of the biggest values to us is the MLS Pictures.  Take 'em! 

I don't believe the flowery prose in the remarks, all the time but a picture is worth a thousand words.  Remember, when we use comps, we don't get inside them, but realtors do when they list them.  The subject may have a beautiful kitchen with all the latest appliances and brands so, for us to give them credit for their expenditures, we need to know that the comps do/don't have the same thing.  We want to see the difference. 

As a real estate broker & appraiser for 40 years, just a couple of thoughts.  (Realtors are members of NAR, both brokers and appraisers.)  The article as well as the comments taken all together show just how little brokers and appraisers really understand about each others' role in the real estate sale, not to mention their opposite view of the real estate world.  Brokers are always looking toward the future and the higher price while the appraiser is looking at the past for that is the only source of verifiable data of real estate sales. 

Most of the brokers that I have known over the years are honest and competent but they have no clue what USPAP is and why appraisers must follow its rules.  On the other hand, appraisers do not understand the whole concept of the broker spending days, if not weeks, showing houses to the few buyers who today are both qualified and willing to buy a parcel of real estate.  And if they do not buy, no one gets paid and that includes the appraiser, mortgage broker as well as the real estate broker. 

Brokers, if you want to really understand appraisers, you might remember what an MAI appraiser once told me.  Appraisers become appraisers because they like real estate but do not necessarily like dealing with buyers, sellers and brokers.  Appraisers tend to be somewhat laid back and not very assertive until someone with little or no knowledge questions their appraisal.  When that happens, brokers need something more factual than "the appraiser was from out of town" or "the house next door sold last year for more than my contract".  To make any real progress with an appraiser, it would probably be best if the broker did not start off by questioning his professional expertise or parentage.

Appraisers, it might help you when dealing with brokers that they are in the business of making good things happen and to do that, they have to be assertive.  If they get a little pushy sometimes, you might want to remember that had they not pushed for the sale, you would not have the appraisal assignment.  Try giving them some slack and let them blow off some frustration once in a while.  After all, if the sale fails to close, the appraiser still gets paid but the broker will have lost thousands of dollars and, in this economy, that may very well be difference in the broker being in business or not in business next month.

Too many politicians are using the housing crises to divide us and then over regulate us in the real estate market.  We must find ways to understand the roles that each of us play in the process of helping the American public have the opportunity to have the American Dream of home ownership.  We need, actually me must, work together and not let people like the Attorney Gerneral of New York encourage us to fight among ourselves.  Believe me, we have too many enemies out their already.

Now, that's a good post. We do need to try and understand eachothers roles. As an agent and appraiser. I have been on both sides.  Buyers in Cali. are writing offers well above asking price just to get the offer accepted, then letting the appraiser figure out the value so they have a negotiating tool.

I have had 2 deals fall through in the last 2 months because of the appraisals.One was an out right bad appraisal. Many mistakes. Subject on septic, appraisal stated sewer. Just 1 example. I did complain to the bank, not about value, just all the mistakes. Bank said "value is solid" that's all we care about....

This is a great business, I hope we can work together to keep it that way.

Great suggestions.  I'd like to add two  more. 

1) Be on time.  Being late is disrespectful  and rude.  The appraiser has a schedule to keep. The appraiser's time is just as valuable as yours.

 2) Here in the northeast an Appraiser's job is more difficult when there's snow or ice on the ground.  Make sure the owner has cleared  walkways and driveway of snow and ice.   Sand or salt icy areas .  You don't want the appraiser falling on her #$% when she gets out of her car!  

regarding mistakes.. 1)  no one is perfect  - this includes Realtors  2)  I suggest the  realtor call the supervisor appraiser and let them know about the errors.  Most reputable firms want to know if one of their appraisers makes an error or behaves ( or dresses)  unprofessionally.  A reputable firm will also want to correct any errors on the appraisal.

As noted in your post, many appraisers working for large, national lenders now receive the appraisal assignment from a management company. That management company takes any where from 10% - 50% of the appraisal fee.  Many appraisers are working harder and longer hours for less pay. Some find they must cover larger areas and have started traveling further. 

good

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