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Articles by December, 2015

ERC Appraisals

by Administrator on Dec 1, 2015 Homes 801 Views

Relocation appraisals are, like many other appraisal types, are specialized in that the data collected for them and the reporting required within them is different from what is needed for your typical mortgage lending report, PMI removal report or appraisal completed for an acquisition or disposition (sale). There is more of an emphasis on what is competitive in the market and how long it will take to get a sale in an ERC report. When an appraiser completes an Employee Relocation Council (ERC) assignment the client relies on the conclusions of the appraisal report for marketing. If you conclude a higher sales price for a subject property than can be achieved in a soft market and the client has to come back to you and have you update your report, since it was basically proven wrong, you may find that your pride has been ruffled. Your ERC client likely won’t say it but "you were wrong" is what is effectively communicated when they fail to make a sale and then you have to reevaluate

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Why Do Lenders Order Appraisals?

by Administrator on Dec 10, 2015 Selling 610 Views

Most appraisers will think that the answer to this question is somewhat obvious and they may even think that the question is bit funny, so I guess this article is directed toward appraisal clients who really want to know the why. As an appraiser I see the exterior and exterior of homes, often after someone has talked to me about the property. What I find out about homes when I'm inside is sometimes dramatically different from than what I anticipated from my viewing of the property from the street.

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Appraisers, Builders and New Home Assignments

by Administrator on Dec 14, 2015 Homes 724 Views

For builders an appraisal is just another hurdle that must be surmounted to reach their sales goals. Builders look at their properties as products. They know their costs and they have targeted prices that will provide them an acceptable return on their investment. Thus a builder approaches value based on an entirely different model than does an appraiser. Due to the nature of their business new home builders generally want to see their appraisals as high as possible, and they pay strict attention to past comparable sales and they reasonably use past sales as a basis for building higher prices. Builders can keep sales prices increasing in a subdivision by providing buyers with closing concessions, free appliances and by offering large commissions that often find their way back through brokers as partial credits to buyers.

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Long Distance Appraisals

by Administrator on Dec 19, 2015 Property Appraisal 2206 Views

As an appraiser in Nevada you can get an appraisal assignment offer that would require a 10-hour round trip drive. If you consider the fact that you will also have to find and photograph a number of comparable sales and the subject, a full day could easily be required. If you have to additionally deal with property that is located in an elevated area, like land on Mt. Charleston or sites in the Lake Tahoe area, the travel time and inspection times could easily double, and you may need a 4-wheel drive to get to the property. It's one thing to appraise a property that is located 30 minutes away from your office in the city but it is entirely something else to appraise a property that is located 3 hours away. When you get an assignment that you are licensed to complete that is five hours or more away by car it's time to consider flying and staying where the assignment is until the property, the comparable sales and the data need to complete the assignment is accumulated.

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