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Author: VeryAnnoyingDuck Big funky green star, 20000 posts Old School Fool CAPS All Star Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 127258  
Subject: Re: Jane the Illegal Appraiser Date: 1/18/2003 4:52 PM
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No kidding! Real estate appraisers are living in a fantasy world and are reporting whatever numbers they feel like reporting??? I'm shocked! Shocked I tell you.

Thanks for the slam, Dave.

Some people will tell you to depend on an independent appraisal to determine the value of a house, but I don't buy that story. Appraising houses is an occupation, but it's not a profession, and appraisers tend to value houses at whatever value they're told to find. ....You can consider appraisal reports in your buying decisions, but I think they're close to worthless.

Many of us (including those like me who wish to get into the profession just enjoy slams like this, it's no wonder there are a shortage of good appraisers.

The industry has been trying to change, which at this time most states are required to change their standards and licensing to comply under the FIRREA act of 1989.

Are their problems? Yes, but appraisers aren't just sitting back and assuming that their work has to be driven by the requesters of the appraisal. Here is one attempt right now:

http://www.appraiserspetition.com/

Most states' appraisers have to follow and pass licensing tests and implementing standards of the Uniform Standards of Professional Appraisal Practice.

Of the basic rules that appraisers must follow in the USPAP, the foremost ones are included here on page 7 of the USPAP, 2003 version:

An appraiser must not accept an assignment that includes the reporting of predetermined opinions and conclusions

In appraisal practice, an appraiser must not perform as an advocate for any party or issue.


On page 8 of the USPAP:

It is unethical for an appraiser to accept compensation for performing an assignment when it is contingent upon:
1. the report of a predetermined result (e.g., opinion of value)
2. a direction in assignment resutls that favors the cause of the client;
3. the amount of a value opinion
4. the attainment of a stipulated result; or
5. the occurrence of a subsequent event directly related to the apprasier's opinions and specific to the assignment's purpose


You'll find out from appraisersforum.com, appraiserUSA.com, and other sites that many out there are indeed there are pressured appraisers, but most are trying to make this an honest profession.

Disclaimer: No, I'm not an appraiser yet. In my state I will need 75 hours of training for the first level (apprentice) appraisal license and I have 30 hours yet to go. But I have passed the minimum 15 hours of USPAP 2003 traning and exam required in my state.

Yes, I would like to go into the appraisal profession, but I don't need someone to go slamming appraisers as though they were child-molesters and used-car salesmen.


As I said, thanks for the slam, David.


Duck!
...not an appraiser...yet.
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