Appraisal Waivers vs. Public Trust
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If the ASC grants the request for appraisal waivers, the precedent will have been set for other banks to follow…
TriStar Bank has requested appraisal waivers for the entire year of 2018.
According to the bank, they are having difficulty getting appraisals in the Nashville area and there is only one Certified General Appraiser in the the locality in which they are headquartered.
Below is an excerpt form their letter to the ASC. They offer options in lieu of appraisals:
- Obtain an estimated value from a Realtor, selected from a small group of trusted Realtors who are not involved in the property transaction, and have our senior officer validate the value; or,
- Obtain an evaluation from Clarity Appraisal Management and then have our senior officer validate the value; or
- Our senior officer will research comparable sales taken from MLS data to determine the appropriate value.
So what does this have to do with Virginia Appraisers? If the ASC grants this request, the precedent will have been set for other banks to follow, AND THEY WILL!
If the ASC grants this request, not only will that reduce the number of appraisals ordered, but the public trust will be eroded. The purpose of licensing of appraisers will be null and void.
See the entire letter here or below.
The Tennessee Appraisal Board discussed this request at their recent meeting. The discussion starts at 1 hour 56 minutes. This is a must see video! See the video here or below
VaCAP does not know what the procedure will be for the ASC to determine this request, however, we have heard there will most likely be a public comment period. If that is the case, we will ask each of you to submit comments to protect public trust.
In Other News
The Louisiana Real Estate Appraisal Board has filed a motion to dismiss the complaint against them by the FTC. This motion is 213 pages long and includes letters of support for the dismissal from many industry players. Of course the only comment in opposition of the dismissal is from REVAA. LREAB has done an excellent job of disproving their claims by citing excerpts from Dodd- Frank and Louisiana Statutes. See the motion here.
VaCAP will keep you posted on both of these profession changing events as they occur. Thank you for supporting VaCAP!