Appraisers' Free Forum

Alisa · by **Alisa** on Tue Aug 14, 2007 11:05 am

I really like this topic and know others will find it useful BUT we need
some of you great report writers to post here.

Pleeeeeezzzeeee!!!

Christine Marie · by **Christine Marie** on Wed Aug 15, 2007 7:01 pm

The accompanying report is based upon a physical inventory of the improvement, investigation of the
subject's market segment area of influence, and review of sales data and listings for similar properties. This
appraisal has been made with particular attention paid to value-influencing economic conditions and has
been processed in accordance with nationally recognized appraisal guidelines.

The local Land Records office provided information regarding taxes, deed book and page number, copy of
deed and legal description, dimensions for lot size from plat books, [if applicable], age of dwelling and
outbuildings, total value, assessed value, taxing district, and land value (basis), and prior sales history.

The subject property was inspected and interior floorplan sketch drawn to identify functional obsolescene,
the actual heated and cooled square footgage was obtained by measuring the exterior dimensions. Any
outbuildings of contributory value were also measured. The subject's site was visually inspected to ensure
conformity with the market segment.

Cost and income approaches were considered, Cost approach was not utilized due to age of subject and
subjectivity of the depreciation; Income approach was considered, but eliminated due to lack of reliable
rental data. Neither of these approaches are necessary to render a credible value opinion, most emphasis
was applied to the Direct Sales Comparison approach, which is normally most indicative of value for
properties of this type.

Land Records and or the local Multiple Listing Service and Real Estate Agents and or Realtors interviewed
to ascertain comparable sales. The comparable sales were compared in the adjustment grid and adjusted
for any items based upon superiority or inferiority to the Subject.

Upon reconciliation, the Comparables were considered and provided a range of value for the subject,
further consideration based upon gross and net percentages led to a final value decision based upon the
percentages, the appraiser may or may not have weighted the findings to arrive at a conclusion, for an opine
of value, depending on several factors and the appraiser's judgement in regards to the subject property.

Okay, let the dissections begin... :shock:

Otis · by **Otis** on Wed Aug 15, 2007 7:16 pm

Christine, a.k.a. Tina wrote:The accompanying report is based upon [b]a physical inventory of the improvement, investigation of the
subject's market segment area of influence, and review of sales data and listings for similar properties. This
appraisal has been made with particular attention paid to value-influencing economic conditions and has
been processed in accordance with nationally recognized appraisal guidelines.

I don't inventory properties - I observe, note and report. FWIW.

The local Land Records office provided information regarding taxes, deed book and page number, copy of
deed and legal description, dimensions for lot size from plat books, [if applicable], age of dwelling and
outbuildings, total value, assessed value, taxing district, and land value (basis), and prior sales history.

The subject property was inspected and interior floorplan sketch drawn to identify functional obsolescene, the actual heated and cooled square footgage was obtained by measuring the exterior dimensions. Any
outbuildings of contributory value were also measured. The subject's site was visually inspected to ensure
conformity with the market segment.

I don't inspect - see above comment. Also, functional obsolescence can be the result of other factors. And, hehehehehe, I may or may not measure out building - depends if there is the potential for a market indicated significant factor, based upon my geographical competency.

Cost and income approaches were considered, Cost approach was not utilized due to age of subject and
subjectivity of the depreciation; Income approach was considered, but eliminated due to lack of reliable
rental data. Neither of these approaches are necessary to render a credible value opinion, most emphasis
was applied to the Direct Sales Comparison approach, which is normally most indicative of value for
properties of this type.

Go from "not utilized due to ...." to "eliminated"? hmmmmm

Land Records and or the local Multiple Listing Service and Real Estate Agents and or Realtors interviewed
to ascertain comparable sales. The comparable sales were compared in the adjustment grid and adjusted
for any items based upon superiority or inferiority to the Subject.

So all people who sell real estate are Realtors?

Upon reconciliation, the Comparables were considered and provided a range of value for the subject,
further consideration based upon gross and net percentages led to a final value decision based upon the
percentages, the appraiser may or may not have weighted the findings to arrive at a conclusion, for an opine
of value, depending on several factors and the appraiser's judgement in regards to the subject property. [/b]

Okay, let the dissections begin...

[font=Comic Sans MS]You requested and we (me) are (is) more than happy to "hep".[/font]

Mentor · by **Mentor** on Wed Aug 15, 2007 7:50 pm

I'll attach a PDF, but I do have it in editable form somewhere. Yes, I wrote it stole some parts fair and square from other posters. It has been extensively tested by appraisers that swiped it from me. Per a survey of two prolific users, there have been zero investor complaints to date.

There is no warranty of any kind. For all you know I pulled out of my $$$. The assumptions may not fit your area. Parts may be lacking, etc. Feel free to ask me about the logic of some of the parts & if I remember, I'll tell you:)

Jim Plante · by **Jim Plante** on Wed Aug 15, 2007 8:40 pm

Christine, a.k.a. Tina wrote:The accompanying report is based upon a physical inventory of the improvement, investigation of the
subject's market segment area of influence, and review of sales data and listings for similar properties. [s] This
appraisal has been made with particular attention paid to value-influencing economic conditions and has
been processed in accordance with nationally recognized appraisal guidelines.[/s] This appraisal has been developed according to the requirements of Standards Rule 1 of the Uniform Standards of Professional Appraisal Practice (USPAP); it is reported in summary form according to the requirements of SR2-2 of USPAP.

The [s]local[/s]Tishomingo County Land Records office provided information regarding taxes, deed book and page number, copy of
deed and legal description, dimensions for lot size from plat books, [s][if applicable][/s] (If it's not applicable, then leave it out), age of dwelling and
outbuildings, total value, assessed value, taxing district, and land value (basis), and prior sales history.

The subject property was inspected and interior floorplan sketch drawn to identify functional obsolescene,
the actual heated and cooled square footgage was obtained by measuring the exterior dimensions. Any
outbuildings of contributory value were also measured. The subject's site was visually inspected to ensure
conformity with the market segment.
I don't agree with Otis here. Although FO can stem from many sources, one specific source is the floor plan. And it's two words, not one. And you should know better than to "inspect" anything by now. "Observe" is safer.

Cost and income approaches were considered, Cost approach was not [s]utilized[/s] used **due to age of subject and
subjectivity of the depreciation; Income approach was considered, but eliminated due to lack of reliable
rental data. Neither of these approaches are necessary to render a credible value opinion, most emphasis
was [s]applied[/s] given to the Direct Sales Comparison approach, ***which is normally most indicative of value for
properties of this type.
**Suggest: because it loses strength when applied to properties of the subject's age and state of renovation.
***Suggest: because that approach most accurately reflects the actions of buyers seeking to occupy the property that they purchase.

Land Records and or {Yechh! Which was it? Be specific} the local Multiple Listing Service and Real Estate Agents and or {Barf!} Realtors interviewed
to ascertain comparable sales. The comparable sales were compared in the adjustment grid. [s]and adjusted
for any items based upon superiority or inferiority to the Subject. [/s] Each element of comparison was adjusted with respect to the subject.

[s]Upon reconciliation,[/s] The Comparables [s]were considered and[/s] provided a range of value for the subject,
[s]further consideration based upon gross and net percentages led to a[/s] The final value decision was based upon the
[s]percentages[/s]number and quantity of the adjustments required for each comparable.[b] the appraiser may or may not have weighted the findings to arrive at a conclusion{Oh, Barfbarfbarf}, for an opine
of value, depending on several factors and the appraiser's judgement in regards to the subject property. [/b] [/color]

Okay, major criticism of boilerplate (or boilerplaque, as Pina Colada characterizes it). You can't just drop this in and forget about it, relying on and/or's and "may or may nots" to do your job for you. Use it as a template. It takes only a few seconds to customize it for each report. And you never can tell when that little touch will get noticed and pay off big time.

Okay, let the dissections begin...

Lynn · by **Lynn** on Wed Aug 15, 2007 9:54 pm

WOW Thank you for this thread. If feel very fortunate to have found all of you.

Do you think the state will mind I have so many Mentors?

Otis · by **Otis** on Wed Aug 15, 2007 10:18 pm

Jim Plante wrote:The accompanying report is based upon a physical inventory of the improvement, investigation of the
subject's market segment area of influence, and review of sales data and listings for similar properties. [s] This
appraisal has been made with particular attention paid to value-influencing economic conditions and has
been processed in accordance with nationally recognized appraisal guidelines.[/s] This appraisal has been developed according to the requirements of Standards Rule 1 of the Uniform Standards of Professional Appraisal Practice (USPAP); it is reported in summary form according to the requirements of SR2-2 of USPAP.

Agreed, but I didn't intend to "pick it apart" that much but excellent points - mine says that and "aka" knows it - she has a copy - just can't do anything with these blondes now-a-days. :rof:

The [s]local[/s]Tishomingo County Land Records office provided information regarding taxes, deed book and page number, copy of
deed and legal description, dimensions for lot size from plat books, [s][if applicable][/s] (If it's not applicable, then leave it out), age of dwelling and
outbuildings, total value, assessed value, taxing district, and land value (basis), and prior sales history.

The subject property was inspected and interior floorplan sketch drawn to identify functional obsolescene,
the actual heated and cooled square footgage was obtained by measuring the exterior dimensions. Any
outbuildings of contributory value were also measured. The subject's site was visually inspected to ensure
conformity with the market segment.
I don't agree with Otis here. Although FO can stem from many sources, one specific source is the floor plan. And it's two words, not one. And you should know better than to "inspect" anything by now. "Observe" is safer.

My point was to not "LIMIT" it so much to the just the floor plan. I did not elaborate as far as you did, but agree with you - should be one of the first and primary concerns.

Cost and income approaches were considered, Cost approach was not [s]utilized[/s] used **due to age of subject and
subjectivity of the depreciation; Income approach was considered, but eliminated due to lack of reliable
rental data. Neither of these approaches are necessary to render a credible value opinion, most emphasis
was [s]applied[/s] given to the Direct Sales Comparison approach, ***which is normally most indicative of value for
properties of this type.
**Suggest: because it loses strength when applied to properties of the subject's age and state of renovation.
***Suggest: because that approach most accurately reflects the actions of buyers seeking to occupy the property that they purchase.

Land Records and or {Yechh! Which was it? Be specific} the local Multiple Listing Service and Real Estate Agents and or {Barf!} Realtors interviewed
to ascertain comparable sales. The comparable sales were compared in the adjustment grid. [s]and adjusted
for any items based upon superiority or inferiority to the Subject. [/s] Each element of comparison was adjusted with respect to the subject.

[s]Upon reconciliation,[/s] The Comparables [s]were considered and[/s] provided a range of value for the subject,
[s]further consideration based upon gross and net percentages led to a[/s] The final value decision was based upon the
[s]percentages[/s]number and quantity of the adjustments required for each comparable.[b] the appraiser may or may not have weighted the findings to arrive at a conclusion{Oh, Barfbarfbarf}, for an opine
of value, depending on several factors and the appraiser's judgement in regards to the subject property. [/b] [/color]

Okay, major criticism of boilerplate (or boilerplaque, as Pina Colada characterizes it). You can't just drop this in and forget about it, relying on and/or's and "may or may nots" to do your job for you. Use it as a template. It takes only a few seconds to customize it for each report. And you never can tell when that little touch will get noticed and pay off big time.

Okay, let the dissections begin...

Agreed with the "dump it" and move on aspect. Too many reports have such "canned" statements that are totally disproven in a review that the "not utilized/used" aspect was immediately disproven by the use of the income or cost approach - tends to raise more questions, IMHO (it does with me - what else was just a canned statement?)

Jim Plante · by **Jim Plante** on Wed Aug 15, 2007 10:29 pm

Otis wrote:Agreed with the "dump it" and move on aspect. Too many reports have such "canned" statements that are totally disproven in a review that the "not utilized/used" aspect was immediately disproven by the use of the income or cost approach - tends to raise more questions, IMHO (it does with me - what else was just a canned statement?)

And THAT's why boilerplate's dangerous. You forget that you boilerplated the CA out of it, then you leave the same SOW for a new construction assignment. BAM! Credibility crash. Or you use the same SOW on a rare SFR assignment in which the income approach might be relevant. Same story.

But each assignment has its own quirks, and sometimes those little twists need to be addressed specifically in the SOW.

Mr. Knowitall · by **Mr. Knowitall** on Thu Aug 16, 2007 2:10 am

I always love reading someone elses bs...LOL However you may want to check your spell checker before you send out any more reports...LOL IE:FOOTGAGE?

Christine Marie · by **Christine Marie** on Thu Aug 16, 2007 10:27 am

Mr. Knowitall wrote:I always love reading someone elses bs...LOL However you may want to check your spell checker before you send out any more reports...LOL IE:FOOTGAGE?

Oops, nice catch, :shock:

Christine Marie · by **Christine Marie** on Sat Nov 10, 2007 3:57 pm

Mentor wrote: Feel free to ask me about the logic of some of the parts & if I remember, I'll tell you:)

Thanks, and i have only ONE question, so far... Please explain what "and free of multiple collinearity complications" is.. Last line first page, latter half of sentence in case you need to read the whole sentence....

Cindy E · by **Cindy E** on Sat Nov 10, 2007 8:32 pm

What's functional obsolescene? :lol:

Christine Marie · by **Christine Marie** on Sat Nov 10, 2007 8:40 pm

Cindy E wrote:What's functional obsolescene?

Another of those darn Grammatical errors, HEY give the dogs a bone, theory, eh?

To Whom It May Concern... and
Cindy,

Please do not misinterpret that post...... I am soooo trying to just laugh at myself, at this point, because that cwap is already in reports..... and i needed to justify it somehow...

Christine Marie · by **Christine Marie** on Sat Nov 10, 2007 8:54 pm

For what it is worth, I did find some misSteaks in Roger's contribution, but notice, I am not dogging him or seeing "get a seer for spell check."...

Sorry Roger...

Jim Plante · by **Jim Plante** on Sat Nov 10, 2007 9:37 pm

Please explain what "and free of multiple collinearity complications" is..

I'll give it a try, but I hope somebody more knowledgeable speaks up. Multicollinearity is one of the problems which may arise in a multiple regression analysis. To illustrate what it does, lets consider only a single collinearity problem. Suppose one of your independent variables was GLA, and another was room count. But the market distinguishes only for GLA, and indicates no particular preference for, say, four bedrooms vs. three. So GLA and Room Count are co-linear; as one increases, so does the other. This screws up the regression analysis. Multicollinearity is even more ornery; you'd have three or more independent variables which behaved that way.

Appraisers' Free Forum

Okay, who else will post some wording?

Okay, who else will post some wording?

i will give my sow, if you will stitch me up after the cuts

Re: i will give my sow, if you will stitch me up after the cuts

Here's an example of some patch work for a 3/5 1004

Re: i will give my sow, if you will stitch me up after the c

Re: i will give my sow, if you will stitch me up after the c

Re: Here's an example of some patch work for a 3/5 1004

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