U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
 [Register]
Please register to participate in our discussions with 1.5 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Jump to a detailed profile or search
site with Google Custom Search

Search Forums  (Advanced)
Business Search - 14 Million verified businesses
Search for:  near: 
 
 
Old 11-05-2011, 06:06 PM
 
Location: OK
2,523 posts, read 4,218,893 times
Reputation: 1485

Advertisements

Quote:
Originally Posted by ETex2 View Post
Sssshhhhhh......

It makes them feel better to give us a list.

Seriously, giving a list of recent improvements is sometimes helpful when the appraiser is trying to estimate accrued depreciation of short-lived building components in the Cost Approach. In other words.....it MIGHT make a little difference, you never know. If your home has a new roof, new carpet, new fence, remodeled kitchen, new water heater, new HVAC system, etc., it might be "above average" in condition compared to the market comparables used for comparison.
Yeah, but we have our own method to establishing depreciation
Quick reply to this message

 
Old 11-05-2011, 06:09 PM
 
Location: OK
2,523 posts, read 4,218,893 times
Reputation: 1485
Quote:
Originally Posted by SmartMoney View Post
They must reach out to make sure there aren't any comps that contribute more to value than the comps they found.

.
Comps or sales?

I frequently am presented with "comps" from realtors that are completely inappropriate. With few exceptions realtors have a hard time seeing the difference between a "comp" and a "sale".

Present realtors excluded, of course.
Quick reply to this message
 
Old 11-05-2011, 09:32 PM
 
Location: MID ATLANTIC
4,032 posts, read 8,732,468 times
Reputation: 3042
Quote:
Originally Posted by Annemieke Roell View Post
Comps or sales?

I frequently am presented with "comps" from realtors that are completely inappropriate. With few exceptions realtors have a hard time seeing the difference between a "comp" and a "sale".

Present realtors excluded, of course.
It's fairly obvious you've never been on the VA Fee Panel.

VA has been painfully aware of it's "tough" reputation, and actually ran a test program known as the "Tidewater Initiative." It was an attempt to fast track appeals to the VA Notice of Value. The initiative, as a whole, was rescinded in 2007, but this is where the process regarding the preliminary notification of a low VA appraisal was born. VA will never apologize that their priority in the transaction is, and always will be, the Veteran.

Here are the instructions to the VA Fee Appraiser that survived the Tidewater Initiative:

The process involved when this scenario occurs is typically referred to as the Tidewater Initiative. (See VA Circular 26-03-11) If you determine your final market value will be less than the contract sales price you must:

Contact the indicated Point of Contact (POC) shown on VA Form 26-1805 in
block 30. If no POC is indicated contact the requestor shown at the bottom of
the 26-1805.

Ask the POC if they or any party of interest to the transaction have any
additional data they would like you to consider. You are not to provide any
other information or discuss the contents of your appraisal.'

Give the POC two workdays to provide information. If no information is
forthcoming, complete your report and upload to e-Appraisals.
Review information provided for consideration. This information must be
submitted to you in a format similar to the comparable sales grid and must
include sales verification data.

Review and analyze this additional data and complete your report based upon
your findings.

Comment on the additional sales submitted, if they will not allow you to meet
the contract sales price. Here you must state the reason(s) for either not using
this additional information or show how this additional information did not
support an increase.

Make sure you document the date you contacted the POC, the date the
information was provided, and then upload your report.

A low VA appraisal is rarely overturned, but I have seen this process save a transaction. Many times, especially in the case of new construction, there are sales not in the MLS. While some appraisers deem it inappropriate, many recognize it as data they may not have readily available.

Source: http://www.benefits.va.gov/homeloans...s/26_03_11.pdf

http://www.benefits.va.gov/denver/docs/AppraiserTG.pdf
(pages 40 & 41)
Quick reply to this message
 
Old 11-09-2011, 07:02 AM
 
Location: OK
2,523 posts, read 4,218,893 times
Reputation: 1485
Quote:
Originally Posted by SmartMoney View Post


A low VA appraisal is rarely overturned, but I have seen this process save a transaction. Many times, especially in the case of new construction, there are sales not in the MLS. While some appraisers deem it inappropriate, many recognize it as data they may not have readily available.
I do 99% of my appraisal work in rural areas that have no MLS. There are other sources to get sale information, such as CHR and local Realtors. I also ALWAYS welcome sales that Realtors and homeowners want to give me because, as you said, there may be appropriate sales our there that I may have missed.

That VA process seems cumbersome, which explains a lot. I do a fair number of reviews on VA appraisals and frequently find the property over valued. Perhaps the appraiser doesn't want to take the time to go through that process?
Quick reply to this message
 
Old 11-10-2011, 01:44 PM
 
21 posts, read 41,741 times
Reputation: 22
I did not mean to offend any veterans, believe me when I say that I am thankful for, and proud of, the men and women who serve in the military. I think that the VA loan process can make it harder for these service people to purchase homes. Where we live, the market has remained stable and most sellers won't even look at a VA offer.

We had our appraiser out 2 days ago. The buyer (the veteran, who as I said originally, is a great guy) called the VA and discovered that the lender never requested the appraisal. He was waiting for something to clear underwriting and just kept telling our realtors that the appraisal was ordered.

Once it was truly ordered, the appraiser came out the next week. Now we just await the report. I am confident that we won't have problems. We need to move and so we priced our house to sell. I mean really to sell. I mean this veteran got himself one heck of a deal. Sometimes it's all about timing. We needed to move, and he needed/wanted a house.

Thanks for all of your comments.
Quick reply to this message
 
Old 11-10-2011, 10:18 PM
 
Location: MID ATLANTIC
4,032 posts, read 8,732,468 times
Reputation: 3042
Quote:
Originally Posted by Camps2002 View Post
I did not mean to offend any veterans, believe me when I say that I am thankful for, and proud of, the men and women who serve in the military. I think that the VA loan process can make it harder for these service people to purchase homes. Where we live, the market has remained stable and most sellers won't even look at a VA offer.

We had our appraiser out 2 days ago. The buyer (the veteran, who as I said originally, is a great guy) called the VA and discovered that the lender never requested the appraisal. He was waiting for something to clear underwriting and just kept telling our realtors that the appraisal was ordered.

Once it was truly ordered, the appraiser came out the next week. Now we just await the report. I am confident that we won't have problems. We need to move and so we priced our house to sell. I mean really to sell. I mean this veteran got himself one heck of a deal. Sometimes it's all about timing. We needed to move, and he needed/wanted a house.

Thanks for all of your comments.
I believe you misunderstood my comments. VA is the only appraisal where the concern is about the customer, the VA buyer. It started after wartime when Vets would return and buy homes and lose their life savings buying homes made with shoddy construction. VA came out with standards that properties had to meet. When you have an FHA loan, it's concern about HUD's risk on the property and on Fannie and Freddie, it's about their interest or the lender's interest, but never about the customer.

When I say VA doesn't apologize, they really do not want Veteran's buying properties with less than what they consider minimum property standards. Other loan types have the same, but not as strict. By this practice, VA has earned a reputation of being tough on appraisals.
Quick reply to this message
 
Old 11-12-2011, 09:13 AM
 
Location: El Dorado Hills, CA
3,036 posts, read 3,959,143 times
Reputation: 2849
We recently had a week delay in a close because though the appraiser viewed the house within 4 days of the request, it took 2 more weeks for him to turn it in. Sadly there is little recourse because the lenders have no choice in the appraiser assigned to them. Many phone calls later, it was turned in. All this is designed to protect the buyer and the lender. Hah!
Quick reply to this message
 
Old 11-15-2011, 07:55 PM
 
Location: OK
2,523 posts, read 4,218,893 times
Reputation: 1485
Quote:
Originally Posted by NinaN View Post
We recently had a week delay in a close because though the appraiser viewed the house within 4 days of the request, it took 2 more weeks for him to turn it in. !
What kind of property was it?


Quote:
Sadly there is little recourse because the lenders have no choice in the appraiser assigned to them. Many phone calls later, it was turned in. All this is designed to protect the buyer and the lender. Hah
Would you rather have an appraiser who turns reports in overnight? I guess I am asking the wrong person. I specialize in rural and other complex properties and frequently need 2 weeks (or more) to write and well supported, well researched and analyzed report. THAT is what we supposed to do to protect the lender and the borrower.
Quick reply to this message
 
Old 11-17-2011, 10:42 PM
 
Location: MID ATLANTIC
4,032 posts, read 8,732,468 times
Reputation: 3042
Quote:
Originally Posted by NinaN View Post
We recently had a week delay in a close because though the appraiser viewed the house within 4 days of the request, it took 2 more weeks for him to turn it in. Sadly there is little recourse because the lenders have no choice in the appraiser assigned to them. Many phone calls later, it was turned in. All this is designed to protect the buyer and the lender. Hah!
We're seeing some real charms out there.....I had one last week that had the wrong sales price (duh) and spent half a page (okay, 3 lines) addressing seller concessions of $7,000 (when there were none). I'm glad I caught it before the underwriter. Nothing like a red flag to tear that appraisal apart.
Quick reply to this message
 
Old 02-03-2012, 10:41 AM
 
2 posts, read 2,486 times
Reputation: 11
We are military , and we have to move to Guam so we have put our house on the market also. Va loan appraisal seem to come in really low and we are still waiting for the appraisal to come back also. Being in a military area its hard not to accept VA appraisals. It seems to be a big scam. Before we put our house on the market we had it appraised so we knew what we could list it for. The realtor called and said it was still lower than our asking price . This is crazy and so far it 6,500 lower. Sounds fishy
Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


 
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:
Over $84,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
Similar Threads

All times are GMT -6.

2005-2014, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25 - Top