review appraisals: Another over inflated value - 01/27/11 12:21 AM
I just finished reviewing a condominium appraisal in Davenport, Florida from October of 2005.  Another appraiser who over inflated the value by $50,000!   When you have to go 6+ miles for comps, and ignore 222 closed sales within a 5 mile radius…you are REALLY working hard to hit that sales price!

Appraisers are not supposed to ‘hit a number’ or ‘support a sales price’.   They are to be auditors of the transaction. 

Imagine if this buyer, who now has lost this unit to foreclosure and perhaps faces judgments and financial hardship as a result, could have been told, … (12 comments)

review appraisals: When desk reviews hit home - 12/27/10 11:56 AM
I just got a request to do a desk review.   Just one problem.  I am the appraiser!
So yes - had to decline that assignment, with the ordering party apologizing and thanking me at the same time!  Always a funny situation!
So now the real question is this : How will I do in the eyes of someone else?  It sure does keep you on your toes - if you will perform each appraisal as if someone else were going to scrutinize it!
Knowing this makes me work harder to write reports that truly make sense to all readers - from … (8 comments)

review appraisals: Lender cutting appraised values? - 07/15/10 06:33 AM
In a recent Fannie Mae Selling Guide update – the GSE addressed this issue of lenders who have been reducing opinions of market value:
In the past, Fannie Mae did not provide requirements concerning lenders making changes to the opinion of market value reflected in the appraisal report. During Fannie Mae’s post-purchase reviews, cases were identified where the lender had reduced the opinion of market value in the appraisal report based upon underwriter judgment, automated valuation models, or other methodology. Therefore, Fannie Mae has updated its appraisal policies to address the practice of lenders changing the appraiser’s opinion of market value … (2 comments)