Senate Bill 223 prohibits anyone with an interest in a real estate transaction from improperly influencing or attempting to improperly influence the results of an appraisal sought in connection with a mortgage loan. Find out more.
Full text of Senate Bill 223
Now before you fall asleep or click off to another spot take a minute here. This sounds simple yes? Most of us do not want to improperly influence the results of an appraisal but how is this interpreted by others? I was in a meeting with our state officials and they are asking appraisers to let state licensing boards know if we get requests or emails that state anything to the effect "you will get the appraisal if there is a minimum value of XX or please comp this we need xx to make this deal work" innocent question? Not everyone thinks so and some appraisers are so "starved" for work they take that statement as a challenge to "find a value" even if that is not the spirit in which you intended it.
With Senate Bill 223 you can lose your license (any California License) if you are found guilty of this. I do not know how this is determined or the process in which it is determined but your license is your lively hood. So be careful! Appraisers cannot give you a value without an appraisal, no way around that, no loop holes and no joke.
I felt it was important to post this as in my last post I said I felt giving appraisers all the information you can would not be considered "pressure or improper" but others may interpret what you say and how you say it differently. So make your self familiar with the SB223, because what you don't know CAN hurt you.
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