Speak About Hybrid Appraisals at the VREAB Meeting Tomorrow!
The Virginia Real Estate Appraisal Board meets tomorrow for its quarterly meeting. The meeting will take place at DPOR Offices, located at 9960 Mayland Dr, Richmond, VA 23233 @ 10:00 AM. The agenda can be found on the Townhall. This meeting is important as hybrid appraisals will be discussed.
As you are aware by now, there is a question of compliance with Virginia Statutes and Regulations concerning products being pushed into the market where an unlicensed third-party completes the property inspection. Public trust is paramount in our licensure and these products are not only harmful to the public, they are harmful to the local economy and the profession. There will be a public comment period allowing anyone to speak for 5 minutes. Every licensed appraiser in Virginia needs to attend and speak at this meeting. This is a critical turning point in our profession.
By attending this meeting, you may receive up to 2 hours of continuing education. We encourage all appraisers to attend and share your comments concerning hybrid appraisals.
Continuing Education Opportunity
On March 18, 2019 the Southside Virginia Association of Realtors is sponsoring a 7 hour continuing education class, “It’s Always About Highest and Best Use.”
“Familiar topic, new wrinkles. Dealing with the importance of recognizing that nothing value-wise can be solved without first tackling the question of “What is the highest and best use?”, this seminar will explore several basic and advanced case studies and in-depth USPAP-related questions. It will challenge the licensed appraisers to look beyond just simply “thinking on their feet” once past accepting the appraisal assignment. For Market Value assignments, the foremost consideration is compliance to USPAP. This class will challenge students to solve problems presented in case studies”
The cost is $150 and includes lunch. To see the flyer and register, click here.
As an Appraiser I have seen these products as quite damaging consumers and their decision making. First of all they can be quite misleading in true market value and 2nd they are misleading in their true cost.
Example of a borrower walks into the bank and asks about an Equity Line. Loan Office states “sure, all we need is a “desktop thingy” to set your value. They order the “desktop thingy” and find out it is a 30 + year old 1.5 story home and the “valuation” comes in below what is desired. So they order an exterior appraisal with the same results. Now, they finally order a full appraisal to confirm a credible valuation which finds the home to be updated, with finished bonus area and an additional bath all of which effect value. The Appraiser is typically harassed at the home by the borrower with something like “I started this 8 weeks ago and was told all I needed was a “desktop thingy” and now you are here wasting my time and money!!”. I try and explain what has likely happened but the moral of the story is…. just do it right the first time. Sincerely.