A recent article from Mortgage Orb referenced the latest Fannie Mae letter to lenders, stating that
"appraisers must have the "requisite knowledge" to perform a professional-quality appraisal for the specific geographic location and particular property types"
So rather than bring an appraiser from out of the county, or from 4 counties away to appraiser something where a local appraiser exists....lenders (via AMCs) should select local, competent appraisers.
Part of the article stated:
Fannie further noted that it does not allow the same flexibility as the Uniform Standards of Professional Appraisal Practice, which allows an appraiser who does not have the appropriate knowledge and experience to accept an appraisal assignment by providing procedures with which the appraiser can complete the assignment.
That is right, USPAP does provide procedures for gaining competency in particular property types and locations. Namely, work with someone who has this competency, and learn! But Fannie Mae is telling lenders here, that this is not the time of on the job training!
So Realors, if you get a call from an appraiser, wanting to appraise your listing for the short sale, etc.....ASK them where they are from.
Also ask them if they have "geographic competency" for this market. Do they have local MLS data available? Are they familiar with the local economy, new schools being built, etc.
When it comes to closing your short sale listing, or your retail listing, or a liquidation sale, etc - expect LOCAL competency.
On a side note, perhaps there are not any competent appraisers in the local area. Ok, PERHAPS that could be the case. Here is a good follow up question for the out of county appraiser: "How long have you been appraising? Can you tell me HOW you are competent to appraise in this local area?"
We all have to work together. We all want better professional standards in our industry. So we have to know how to communicate with each other, and how to hold the standards high!
Make it a GREAT day!
AUTHOR: Richard D Ferris - AmcAppraisalsinc.com Phone 877-789-5249 or email me: firstname.lastname@example.org
Richard D. FerrisAMCAppraisalsinc.email@example.com(877) 789-5249One # Does It All - Voice/Fax
Residential Appraisals in Lake, Orange, Osceola, Polk, and Seminole Counties.
Also servicing Deltona, Deland, and Orange City in Volusia County.
Florida State Certified Residential Appraiser #RD4088
FHA Certified : Associate Member Appraisal Institute
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