If It’s Not an Appraisal, What Is It?
…do away with specifically ‘naming’ an appraisal report as to the “type” it is…
Folks, the Second Exposure Draft of proposed changes to the next USPAP was released by the Appraisal Standards Board on August 23. See embedded PDF below.
The ASB is encouraging all users to review this document, and provide commentary back to them on/before October 10, 2018.
One item of note is there is a proposal in the Draft to do away with specifically ‘naming’ an appraisal report as to the “type” it is. If it’s not an ‘appraisal’, what is it?? Currently we have “Appraisal Report” and “Restricted Appraisal Report.” The use of, and reporting requirements for, the Restricted type is somewhat confusing unless you have USPAP open on your desk when doing one. That type carries restrictions as to who may ‘rely on’ or use the report, and what must be contained in the report. The proposal is to have the appraiser identify usage requirements and specify other items within the Appraisal Report itself, tied to the appraiser’s Scope of Work. Read the Draft to examine this in more detail.
There is a certain amount of angst among appraisers, and others, about the constant changes to USPAP, currently every two years. According to John Brenan of TAF, this concern is well known among ASB board members. They have been discussing ways to lengthen the term of USPAP, but any change to the current policy probably won’t happen for some time. However, if you believe it would be better to not change our ‘operations manual’ so often, send your comment about this to the ASB.
Written comments on this exposure draft can be submitted by mail and email before the deadline of October 10, 2018.
- Mail: Appraisal Standards Board
The Appraisal Foundation
1155 15th Street, NW, Suite 1111
Washington, DC 20005
- Email: firstname.lastname@example.org
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It’s changing, that what it is. AVMs have all your appraisal data and has been logged into a data base. Companies like Core Logic, who has the Monopoly on a good percentage of that data, and business, are going to slowly push you out. Good luck.
Sure. I’ll just dive into the old memory banks, strike some content out, adjust subtle meanings, and then press the remember this version instead button, if I can find it. The living document approach is a bust.
Have you seen this new ‘virtual staging’ in realty listing photos? They’ve got computer geeks adding in virtual beds, virtual flower pots, virtual pictures on the wall. What a waste of time, people should be shown the home as is, not imaginary versions of it with photoshop touch ups. Who knows what else these guys are digitally touching up, if these units actually had appliances included, damages, scuffs, etc. With these advancements in technological practices that can so easily be used to deceive and conceal, it’s more important than ever to have an experienced licensed appraiser personally inspect these units. Will someone please tell these supposed professional photographers we need photos of the utility room and the rear of the home. Agents should learn to use cameras themselves, it’s not rocket science.
It’s a MONEY GRAB!
John Brenan is well aware of it BUT STILL The Appraisal Foundation does nothing about it! Perhaps their special interest masters wont allow this.
Its not angst Dave. Its further reducing the credibility of USPAP AND TAF as well as damaging the reputation of appraisers across America. AGA sent a lengthy letter expressing concerns.
The only real change needed to USPAP is to STOP CHANGING it! If they absolutely cannot resist the impulse, then make ONE last change to the newest version definitions:
DEFINE the term “Promote public trust.” Acceptable alternates are Protect Public Trust; or Preserve Public Trust (for those with a sense of humor). Dont tell us how you (TAF) purport to be doing this. Tell us instead what you think it means because your actions achieve just the opposite.
IF TAF were actually promoting/protecting/preserving public trust, then there would be no companies like Zilow; CoreLogicAVMs, Clarocity hybrids, Upraze.com; or any of the other numerous frauds being perpetrated on American consumers as to what an appraisal is and is not.
By eliminating defined appraisal types TAF (& therefore USPAP) remove the very few remaining protections American consumers still have with respect to credible valuation sources.