With all the posts and conversation about poor appraisers, I just wanted to take a moment to provide some insight to exactly what appraisers deal with from AMCs and underwriters. Remember, neither the AMC nor the underwriter have any local knowledge and limited, if any, appraisal training.
I recently I completed a very easy assignment within Traverse City when compared to most in Northern Michigan. My comps were within blocks, adjustments within range, and all items bracketted. I received the following from the Quality Control of the AMC:
Appraiser to provide at least two comparables that have closed within 90 days. If comparables are not available, appraiser to explain in detail on an addendum.
This was carefully and fully detailed in the report; but obviously the QC didn't bother to read the entire report. My response was:
Do reviewers NOT READ comments on report. Northern Michigan has an annual dormant marketing season during the winter months which actually spans +/- 7 months with the active season being May - September. I find hard to believe that a reasonably educated person could read the following from the appraisal report "Comps 2 & 3 are dated beyond 6 months but used due to limited sales volume with the most recent 5 months being part of the annual winter dormant marketing season with little sales volume." and still make a request for two comparable sales within the past 90 days, which being the latter part of February, easily falls within this dormant period. Further, the following statement "Marketing conditions in Northern Michigan are largely connected to the seasons. The market essentially hibernates during the late fall, winter, and early spring months with properties generally not selling, but remaining dormant and renewing in the spring at previous value levels." is included in the Neighborhood Market Conditions Comment. We really need to apply some gray matter to the Quality Control process.
I deleted the original report from their website and reloaded the same report which their computer recognizing it as a "revised report due to QC issues" and was then accepted by QC and filed as complete. Mind you, nothing was changed on the report.
Just another day in the life of a locally competent appraiser.
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