Another NAR Slap in the Face of Home Appraisers
We need to combat NAR negative stereotype and flood the various media outlets continually to discuss why home appraisers are not bound by the ‘sale price’ of a property.
The National Association of Realtors has put out another news release extolling the increase in August home sales, while still BLAMING you. This is a common theme of theirs. Excerpts of the release found in the e-newsletter marketwire on marketwatch.com 9/21/2011:
Existing-home sales increased in August, even with ongoing tight credit and appraisal problems, along with regional disruptions created by Hurricane Irene, according to the National Association of Realtors(R). Monthly gains were seen in all regions.
NAR President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I., said
“The biggest factors keeping home sales from a healthy recovery are mortgages being denied to creditworthy buyers, and appraised valuations below the negotiated price. Buyers may be able to find more favorable credit terms with community and small regional banks, and Realtors(R) can often give buyers advice to help them overcome some of the financing obstacles.”
Contract failures — cancellations caused largely by declined mortgage applications or failures in loan underwriting from appraised values coming in below the negotiated price — were reported by 18 percent of NAR members in August, up from 16 percent July and 9 percent in August 2010.
We need writers in the appraisal profession – meaning appraisers who write well – to combat this negative stereotype in their own local areas. And the appraisal associations should be sending their own news releases to the various media outlets continually to discuss why appraisers are not bound by the ‘sale price’ of a property.