http://www.edcgov.us/emd/apcd/gpchecklist.asp
Per El Dorado Co Air Quality Dept.
Need Detailed
Statistics for the Neighborhood?
Check out
www.neighborhoodscout.com for information on owner occupancy and much
more. Some of the data is a bit dated. I checked out Folsom and the
information was from 2000 and it noted there was no mass transit – it
did not have information on the light rail here.
*********************************
HUD Mortgagee
Letter 2010-17 dated May 5, 2010, requires the appraiser to
disclose lead base paint issues in the “Improvements Section” of the
report. The specific requirement is as follows:
“If the
appraiser observes defective paint in a home that was built before
1978, in the
physical deficiencies or adverse conditions section of the
appraisal
report, the appraiser must enter an “X” in the “Yes” box, and
note all areas
affected.
However, if the
appraiser does not observe defective paint in a home that was built
before 1978, an explanation is not required in the physical deficiencies
or adverse conditions section of the
appraisal report.”
Alternatives to
Lender work
Working for
Homeowners
I have found that if
I spend time explaining that appraisals for lenders are less expensive
because the scope of work is set and you’re working with folks that have
set expectations and speak the language.
Working with homeowners requires more time, explaining what we are doing
and why in a language they can relate to not the jargon we are use to.
They don’t know why we would show them 3 closed sales and 2 pending or
listings, or why we chose the date range we do. Why are we using
distressed sales or not using them and this can also be effected by the
definition of market value they want to use which is another 15 to 30
minutes explaining the differences and how they can affect the outcome,
then again in the report explaining it again.
I explained to one homeowner that is a decorator - you do a beautiful
job and with your experience you make many quick decisions to do your
work and make it look easy. However if you were tasked to take someone
that has never done this and explain each decision you make, the
alternatives you consider and discard, it would take you much longer
(she could totally relate to that). Then if you (she) have to write up
a report stating what you did and how you did it to be sure all
conditions were covered . . . well by then her eyes were rolling and she
didn’t think I charged enough.
That is how I have been handling it and so far it works for me.
Are you an
Independent Appraiser? Or a Real Estate Professional?????????
We often hear and
see appraisers take issue with being questioned about their reports.
Interesting concept since we are the professional and it is our job to
clearly set out how we reached our conclusions. Questions from our
clients, be they lender or otherwise are truly opportunities to see our
work from someone else's eyes. How can we better explain how we reached
our conclusions? Are we doing what we can to help educate our business
partners on what goes into an appraisal or the appraisal process?
Patrick Egger wrote
a terrific article titled “Closing the gap between sales price and
appraised value”. He has generously shared it with us and hopes we all
will help to bring a better understanding to our business partners.
One good point he
makes is that while often we hear agents say “if we have a willing buyer
and seller that should be market value”, however as Patrick points out
market value is far more complex and includes a statistical probability
of the value to many not to one specific person. His article sheds
light on a difficult issue.
ARE YOU
COMMUNICATING CLEARLY??
You may have heard
this one:
Two hunters are out
in the woods when one of them collapses. He doesn't seem to be
breathing and his eyes are glazed. The other guy whips out his cell
phone and calls the emergency services. He gasps: "My friend is dead!
What can I do?" The operator says: "Calm down, I can help. First,
let's make sure he's dead." There is silence, then a shot is heard.
Back on the phone, the guys says: "Okay, now what?"
The need to clearly
communicate in our appraisals can help prevent a critical
misunderstanding with the intended user or others that may end up with a
copy of your report. The “shot” we may prevent could be to our
appraisal practice, the confidence in our ability by our associates or
our livelihood.
Listening to our
clients concerns, understanding the clear scope of work and then
communicating our reasoning, findings and supporting them well not only
builds confidence in you as an appraiser it can build your business as
well.
************************************
FHA and permitted
additions
Does FHA require
permits on any additions? Nowhere in the FHA handbook will you find the
requirement for permits. I’ve spoken to the Santa Ana HOA and they have
said they do not require them, they want us to give the value a typical
buyer would to the additional space, disclose if you know if permits
were obtained but they are not required by FHA. Ross Acheson recently
wrote in the local blog that he was told by FHA that it depends on if
that county or jurisdiction is enforcing permits, but overall they are
not required by FHA. Confusing? Most answers from FHA are at the very
least a challenge, but then that is appraising as we know it. One
answer does not fit all situations.
So What are Your
Options?
As of Feb 15th our established clients no longer are able to order FHA
appraisals the same way they have in the past.
Alternatives to AMC's include:
http://www.nvs.coop/home.asp
the National Valuation Service Co-op, a real by appraisers for
appraisers "With the National Valuation Service IT compliant
firewall, local, regional and national banks, bankers/brokers, attorneys
and credit unions can maintain established appraiser business
relationships across the platform and be in full HVCC compliance." Check
out their web site to learn more.
https://www.appraisalfirewall.com
which allows lenders to maintain their relationships and still comply
with the new requirements. Are you using it? If not, what are you using
and how will you and your lenders remain compliant?
https://aims.aimsdashboard.com
another alternative to retain your clients in a compliant format.
We'd love to hear what your doing and how it's working for you. No we
are not looking for who your clients are, they are yours. We are looking
for what is working for you so we can utilize the best solutions out
there and retain as much control as possible over our businesses in the
current business climate.
Times are A-changing! and they will continue to do so. Let's share info
and help each other to build a stronger tomorrow
From AVM's to RVM's?????????
Realtors Property Resource (RPR) &
RVM's - Realtor Valuation Model.
Did
you know NAR and MLS are working on a new valuation tool? You won't want
to miss reading this article from Inman:
Click to Read Article
So if realtors are giving property valuations are they doing
appraisals? Will this all be outside of appraisal licensing? So why
are we not hearing an outcry from the Appraisal Institute and other
Appraisal Organizations? This is expected to launch the second quarter
of 2010 IF they can get MLS to sign and and give them the data they
need.
It’s HERE ! ! !
!
Jan/Feb 2010
w
New requirements for FHA per mortgagee letter 09-28 will be effective
for all case numbers assigned on or after Feb 15th 2010:
re Prohibition of mortgage brokers and commission based lender staff from
the appraisal process . . . read full letter for details. The good
news is . . . FHA says you can put your fee in the appraisal report and
appraisers must be paid the “customary
and reasonable for appraisal services”. FHA appraisal reports will also
go from the current 6 month life to 4 months.
- USPAP: Changes to the ETHICS RULE require the appraiser to advise the client, and
disclose in the report, any services performed regarding the subject
property, during the three years prior to the (potential) assignment. The
term ”any services” would clearly include any listing/ negotiating a
sale of the subject, as well as possible other “services”.
- Effective January 1, 2010, no person or entity
shall act in the capacity of an AMC without first obtaining a
certificate of registration from the Office of Real Estate Appraisers.
To view the enrolled legislation,
click
SB237 - AMC.
As of
05/31/2010 – 93
AMC’s have registered
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FHA
TRAINING COMING OUR WAY
DIRECTLY
FROM HUD!!!!!!
This news
comes directly from HUD:
The Santa Ana
Homeownership Center recently received approval from the State of
California for two classes. Our main class is 7 hrs (7 CEU) and is
called ‘Completing Today’s FHA Appraisal”.
Tiana Gaertner, or
outreach organizer, is in the working on securing a location in Orange
County on or about June 4th (Sold out immediately).
She is also
working on a possible training in June in Sacramento. Still
Waiting!
*******************
June is here – still no update on FHA training in Sacramento area
directly from FHA. The Orange County class sold out immediately –
definitely a demand for this!
Starting
Jan 1, 2011 all new construction residential housing will require
what???
This from
the Sac Business Journal:
Development
consultant Brian Holloway was sitting in a meeting last week when the
Sacramento city fire marshal mentioned that new homes will be required
to have fire sprinklers beginning next year.
“The first thing I
thought was, ‘Why haven’t I heard about this?’ ” Holloway said. “The
second thing I thought was, ‘Who else hasn’t heard about this?’ ”
Turns out that there
are plenty like Holloway who don’t know, despite efforts by officials to
enlighten them.
Starting Jan. 1, all
single-family homes built in California will have to be outfitted with
fire-suppressing sprinklers under new building codes unanimously
reaffirmed by a state commission this year.
*****
On
Sept. 30th FHA had 8,072 appraisers in California and when
the new rules went into effect on Oct 1st there were 5,859, just over a
27% decrease.
FHA Roster Appraisers
CA FHA Roster
@ 10/30/2009 = 5,957
@ 11/20/2009 =
6017
@ 12/31/2009 = 6042
@ 01/31/2010 =
6120
@ 02/28/2010 =
6164
@ 03/31/2010 =
6207
@
04/30/2010 = 6223
@ 05/31/2010 =
6236
AZ FHA Roster
@ 11/29/2009 =
1206
@ 12/31/2009 =
1203 declined
@
01/31/2010 = 1217
@ 2/28/2010 =
1202 declined
@ 03/31/2010 =
1212
@ 04/30/2010 = 1212
@ 05/31/2010 =
1214
California Appraisers by
License Type
Effective June 4, 2010
|
AG |
3,488 |
|
AR |
6,489 |
|
AL |
3,106 |
|
AT |
1,642 |
|
Total |
14,725 |
------------
Where to send your updated or upgraded license for the FHA roster?
Fax to HUD at 202-401-0416
How to contact HUD?
hud@custhelp.com or
1-800-225-5342
-----------------
New FHA mortgagee letter 09-37 states in part “FHA
Roster Appraisers are required to review the applicable FEMA Flood
Insurance Rate Map (FIRM) and make appropriate notations on the
applicable appraisal reporting form. If the property is located within
a SFHA, the appraiser must attach a copy of the
flood map panel to the appraisal report. The appraiser must
enter the FEMA zone designation on the reporting form as well as
identify the map panel number and map date. If the property is not
shown on any map the appraiser should enter “not mapped”. It is noted
that FEMA is digitizing its maps to provide more detail and actual
pictures of existing buildings not seen on older maps which may benefit
lenders and appraisers.”
New
Property Manager for Anatolia!
The new management company is called Network Community Management. You
can read the specifics about the change here:
http://www.anatolia hoa.org/node/ 311
Thank you Ryan Lundquist for that update!
Check
out the New side link to the DEA website of homes which have had raids
for possible drug labs.
Information alert -
Special Considerations:
Boardwalk Condos in Elk Grove have an unusual note buried in their
CC&R's which require a seller to pay .005% to the builder anytime a unit
sells. Wow, that's a new one on me. As of Dec 2010 the owner occupancy
rate was reported as 76% and the delinquency rate of the HOA dues as
16.5%.
*****
Networking enhances you business!
What do you need to know to make talking to friends you have not yet met
easier???? FORM . . . . yes just remember that word and this is how it
relates.
You'll never be at a loss of what to say again. Here is topics which
will allow you to talk to anyone.
F = family
O = occupation
R = recreation
M = money
That formula, easy to remember and simple to use, will allow you to
connect with more of your friends that you haven't met yet. It's a
win/win situation, helping others feels good and brings good things into
our lives. Enjoy!
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2010-2011
7hr National USPAP Update Course
