seller concession - Appraisers Blogs

Appraisal Bias Mantra is Largely False Reporting

Dave Towne — Wed, 08 Nov 2023 13:30:40 +0000

Just How Commonplace Is Appraisal Bias? Folks, about the only entity examining in depth the details behind all the allegations about appraisers being inherently biased is the American Enterprise Institute (AEI) Housing Center. They are proving that most of the allegations are mostly a dump truck load of bovine substance. Click here for their latest expose. Report: Just How Commonplace Is Appraisal Bias? – theMReport.com Within this report are these statements from AEI: “When comparing appraisals for people of color to those for non-Hispanic white people within the same geographies, a new study by the American Enterprise Institute’s (AEI) Housing...

USPAP’s Typical Buyer Standard in the Fair Housing Era The Irreconcilable Conflict Between USPAP's Typical Buyer Standard and the Current Fair Housing Compliance Regime. Retain this document as a…
The Real Cause of the Home Value Gap Is the Income Gap Blaming appraisers for the income gap will never solve the real underlying problem... Blaming appraisers for the income gap is…
NAR Report Paints a Different Picture The study also shows the appraisal was the LOWEST scored item on the list of discriminatory practices... On February 23,…

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Under-Valuations Unrelated to Racial Bias

AppraisersBlogs — Tue, 21 Feb 2023 13:30:52 +0000

Under-valuations that more accurately reflect the homes’ “true” value as opposed to the contract price will also alert the buyer, not just the lender, that he or she may be over-paying, which often triggers a renegotiation… when the seller and buyer settle on a new price after the appraisal, the new lower price reduces credit risk, costs to the borrower, and ultimately results in greater wealth for the buyer. The AEI Housing Center recently released an analysis revealing that reports by the Federal Housing Finance Agency (FHFA) and by Brookings, attributing the greater prevalence of under-valuations in home purchase appraisals...

AEI Research Critique of Freddie Mac's Misleading… More great research from AEI. This is an analysis of Freddie Mac's misleading and basically defamatory paper on Appraisal Gap.…
The Real Cause of the Home Value Gap Is the Income Gap Blaming appraisers for the income gap will never solve the real underlying problem... Blaming appraisers for the income gap is…
Census Data Used as Evidence for Bias I’ve previously written about how the various spear throwers at appraisers have used ‘census tract data’ in their assertions that…

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Mueller REO Hybrid Appraisal Report

VaCAP Board — Tue, 26 Mar 2019 12:30:58 +0000

Another Mueller Report has surfaced. The report is a Mueller REO Hybrid Appraisal Report and it was given to an appraiser as a sample. This one raises more questions than the last one! The photos from the property inspection do not tell the appraiser one thing. The photos are dark and the repairs the inspector states are needed, simply are not seen in the photos. It begs the question, does the appraiser have adequate information to complete a credible appraisal? Now take a look at the Mueller REO Hybrid Appraisal report. Pull up the report and follow along. Some things have...

Mueller Sample Report. You Decide! A recruiter for Mueller Services, Inc. (Mueller Reports) contacted a VaCAP member about joining their team as a W-2 employee…
Let Appraisers Train Their Own Inspectors If we are to make a third party inspector liable for the data they provide... FNMA's recent newsletter states that…
I'd Be Better off at McDonalds ...they provide no documentation as to how their algorithm produces this indicated value... I had to "jump in the pool"…

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Report Observation & Trigger Points

Dave Towne — Mon, 17 Dec 2018 13:30:50 +0000

Appraisers, this is another essay written about a report I have ‘observed.’ I’ve mentioned before that I “come in contact with” appraisal reports from a variety of sources. Those that I determine have significant issues I write about. Conclusions about the ‘real value’ will be disclosed below. Trigger points for having reports formally reviewed are discussed. I do this because a majority of appraisers do not participate and interact with their peers on a consistent basis, and therefore may not get exposed to items that clients and lenders see in reports, which they question. I believe it’s important to expose items in reports that...

It’s Time to Take Out the Junk: AMC Practices Exposed Appraisers have spent years carrying the weight of broken AMC practices, and this article pulls every one of those practices…
The Great Debate on Appraisal Fees She included several different fee split examples indicating AMCs retained as much as 70 percent of the total appraisal fee…
Is the GSE's "Appraisal Modernization" Really Just… Mass Appraisal tend to exhibit a regressive nature... In the intricate landscape of real estate mortgage financing, the notion of…

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Concession Reporting Confusion

Dave Towne — Thu, 12 Apr 2018 12:30:22 +0000

…how are these "lender contributions" identified… Appraisers are ‘required’ to report comparable sales or financing concessions that benefit a borrower in the GSE form appraisal report, on the second line in the comparison grid (as a negative adjustment). Secondly, for subject properties, appraisers are ‘required’ to report any concession benefiting the borrower on page 1 of the report form. Subject concession amount is NOT entered on the Comparable grid. Well now, FNMA has issued a modification to their Selling Guide (which takes effect as of 4/03/18) – SEL–2018-03 – (I have added type face enhancements): Lender Contributions With this update we are...

Quit Overreporting! Why Do Appraisers Keep Overreporting...? Appraisers, Another friend has provided a copy of an appraisal on the friend’s home. Good…
Concession Adjustments Missing Concession Adjustments are expected to be made... Appraisers, As noted previously, I ‘observe’ various reports from various sources. A new…
Rumor - GSE Forms Revisions Coming? GSE’s “really want your input” on the proposed revisions... Folks, Rumor has it that the GSE’s are ‘finally’ considering making…

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Update on Financing Concessions for Comparables

Dave Towne — Wed, 26 Sep 2012 12:30:03 +0000

Appraisers, The GSE’s have issued a UAD newsletter on Sept. 18, 2012. Mostly it has ‘stuff’ in it that appraisers should be doing, i.e., checking for proper UAD compliance prior to report submittal by using your report software on-board reviewer. However, this little gem is the last item on page 2: Update on Financing Concessions for Comparables The GSEs expect appraisers to determine the financing concessions, if any, for all settled sales used as comparables in appraisal reports. Appraisers are expected to do what is necessary to determine concession amounts through the normal course of business and not automatically default...

Uncovering Flaws in FHA Appraisal & Loan Review Process The story of this single mother's harrowing experience with a defective home purchase and HUD's negligent oversight exposes deep flaws…
Is the GSE's "Appraisal Modernization" Really Just… Mass Appraisal tend to exhibit a regressive nature... In the intricate landscape of real estate mortgage financing, the notion of…
Fannie Mae Filed a Complaint Against Me An appraiser shared the following with us which was posted on one of the appraisers’ groups. Fannie Mae filed a…

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Wake Up Call for Seasoned Professionals

IDFPR Board — Thu, 17 May 2012 12:30:09 +0000

Rookie mistakes by seasoned professionals are inexcusable. Here’s a disturbing trend that the board is seeing more frequently: Appraisers who do not know how real estate works. What do I mean by that? There are complaints pouring in where the appraiser doesn’t know how to read contracts, riders, leases, zoning restrictions, blue prints, or listings. I’m not talking about complex documents or Associate Trainees struggling with their first few assignments. I’m referring to seasoned professionals who’ve been in the business for five, ten, or even thirty years. We have complaints where appraisers can’t tell when they’ve been presented with a...

Promoting False "Racist Appraiser" Narrative Some Lenders promoting false "racist appraiser" narrative to optimize profits via AVMs Like most businesses lenders want to optimize their…
The Real Cause of the Home Value Gap Is the Income Gap Blaming appraisers for the income gap will never solve the real underlying problem... Blaming appraisers for the income gap is…
The Great Debate on Appraisal Fees She included several different fee split examples indicating AMCs retained as much as 70 percent of the total appraisal fee…

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Concessions – When & How Much to Adjust

IDFPR Board — Thu, 01 Mar 2012 12:00:54 +0000

There is a lack of consensus or understanding among appraisers regarding concessions paid to a buyer in a sales transaction. The focus here is on appraisals communicated via a current Fannie Mae/Freddie Mac form. The intent of this article is to bring some clarity to this topic, whether you’re appraising the property as a purchase transaction or using it as a comparable sale after it has closed. First, in your appraisal due to purchase, a concession to the buyer of the subject of your appraisal must be reported in the contract section of the appraisal report. However, you must remember...

Fannie Wants to Script Conclusions of Outside… Government-sponsored mortgage giant Fannie Mae is essentially forcing banks to repurchase any loan it wants if [the appraiser] refuses to…
USPAP’s Typical Buyer Standard in the Fair Housing Era The Irreconcilable Conflict Between USPAP's Typical Buyer Standard and the Current Fair Housing Compliance Regime. Retain this document as a…
The Town With No Bank: How Rural America Lost Its… For decades, we’ve been told that the problem is demand. That people don’t want to live in rural America anymore.…

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seller concession - Appraisers Blogs

Appraisal Bias Mantra is Largely False Reporting

Related Posts:

Under-Valuations Unrelated to Racial Bias

Related Posts:

Mueller REO Hybrid Appraisal Report

Related Posts:

Report Observation & Trigger Points

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Concession Reporting Confusion

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Update on Financing Concessions for Comparables

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Wake Up Call for Seasoned Professionals

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Concessions – When & How Much to Adjust

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