[lvoc]

Originally Posted by strato58

Thanks for telling me the very nature of an appraisal...have you written a report lately? counter productive? you sound like a realtor that wants to put the screws to a non informed purchaser...good luck with that

You do not seem to get it Strato...we have a market that is over half cash in pretty much all segments. Higher at the lower ranges. We have lots of experience that appraisals are not hitting the same price as the cash buyer is paying. Now maybe these cash buyers are all paying too much...but they are over half the market so I would suspect they get to set the price line.

I happen to believe that appraisals should reflect market...but they don't.

And you really screw up the buyer when you tell them they do. They never get a house and start cursing at RE Agents and all the crooks in the RE world.

[strato58]

Originally Posted by ddrhazy

Yes, everyone is wrong except you. Defend your job tooth and nail lest you be outed as obsolete.

Im not defending my job...I hate this job. I want out of this job. It pays terrible for what is now involved. There are management company middle men because we can not have direct contact with lenders...it is now much more work and less money. Id rather work at walmart and im not kidding.

[strato58]

Ivoc, FYI cash sales that are arms length are usable comps. Get the hud1's and let the appraisers use them. If there are not enough comps in mls that is what can be done.

[strato58]

Hazy I might not know what im talking about but I have no dog in this race. You on the other hand appear to be pressing values for personal gain. FYI in 30 years of doing this I have been through several market inclines and busts so I think I have some experience in this.

[strato58]

Originally Posted by lvoc

And you really screw up the buyer when you tell them they do. They never get a house and start cursing at RE Agents and all the crooks in the RE world.

Maybe but I think you really screw up the buyer when they overpay at the top of a market bubble. What happens to them on the flip side? Buyer beware. There are people all over in NJ that are underwater on there home still. Its almost impossible for them to recover and get there lives back. If someone out there wants a home that badly and they have to overpay then so be it. I like to tell it like it is. You have a large uptick over the past year and now inventories are increasing.

[lvoc]

Originally Posted by strato58

[


Maybe but I think you really screw up the buyer when they overpay at the top of a market bubble. What happens to them on the flip side? Buyer beware. There are people all over in NJ that are underwater on there home still. Its almost impossible for them to recover and get there lives back. If someone out there wants a home that badly and they have to overpay then so be it. I like to tell it like it is. You have a large uptick over the past year and now inventories are increasing.

The top of the market bubble here was a factor of two from where it started. And all done with appraisals. Face it you guys are round heeled. At the moment we are fighting 3 to 6% kind of discrepancies - Pricing here has in fact eased a lot and I expected that to fix the appraisal problem but it has not. And sure inventory is up...all the way to two months.

In general my personal clientele are 80% or more retirees and it is not a problem. But I think it hurts first time buyers and the military people. And these are the same people getting whacked by the heavy investor action at the low end of the market.

[phillk6751]

Originally Posted by SportyandMisty

I'm wondering if the OP has the right real estate agent for his situation.

You know what....I think you're right on the money. I just talked to her manager on Friday...got him to have someone else on their "team" to show me some houses on Saturday and she's now my new agent. She has like 20 years in the biz (worked for Lennar homes, has connections to the builders, and flippers, etc). I noticed a huge difference in how this agent worked for me compared to my previous agent. I don't think the previous agent had the experience necessary to close deals in this market.


I ceased my search for homes with a pool and we found a home that I'm trying to buy now, it's newly renovated by home builders and if I use their preferred lender they'll even pay the closing costs for me (just like with a new house). She knows many of the people who did the renovation and even at the listing agency....what a difference it makes to have the right agent.

[ScoopLV]

Originally Posted by phillk6751

I noticed a huge difference in how this agent worked for me compared to my previous agent. I don't think the previous agent had the experience necessary to close deals in this market.

Just keep in mind that you're paying 3% for your buyer's agent. They'll tell you that they don't cost you a thing. But that is one of the biggest lies that Realtors tell their clients. The buyer is the one writing the big check. Buyers pay the 6% commission to the seller's broker, who then parcels out the money to the listing agent and buyer's agent's broker.

Just make sure you're getting your money's worth. These services are not free, even though Realtors will swear that they are.

[virg1123]

Originally Posted by PatsFan0630

This thread is helping to validate my decision that, if I am relocated to LV for work, I will just rent. Seems like too volatile a market and too much headache to make it worthwhile.

PatsFan

totally agree

[Tarzanman]

So, everyone agrees (more or less) that appraisals in LV are lagging behind the actual prices that buyers are paying. This is the trend seen again and again, correct?

Only strato58 has given a reason for why this is the case... and no one who disagrees with him has offered a very valid explanation as to why this is happening again and again except to say that it is a "seller's market", which is strange since credit is still fairly tight... unless cash investors are completely responsible for the behavior.

As a completely uninformed, objective observer... I put a lot more stock in strato58's explanation. He has explained a logical rationale for appraisals consistently being lower than sale price... and I don't think that anyone who isn't a real estate professional would be stupid enough to believe that anyone involved in the process doesn't see a buyer as a huge, walking dollar sign.

There is far more future-work associated risk with an appraiser who puts a lender at risk (versus the buyer). Whether this is because of a conflict of interest, or the current post-2008 climate is a matter of opinion. The end result is the same and the same party ends up holding the bag when all is said and done.

It certainly soundslike a racket to me.