Appraisers

[Gary Farnsworth]

They are doing more home defect reporting, and lenders are depending upon them. Seems wrong. I can only assume that they are not as experienced as home inspectors, are not licensed, insured, or educated to do such reporting.

http://www.linkedin.com/news?actionB...0hradzZ04QhkY1

"5. Condition problems. With all the distressed properties on the market, and with most nondistressed sellers barely breaking even, more home-sale transactions than ever are falling apart due to condition problems with the property. Many lenders will not extend financing on homes where the appraiser points out problems like cracked or broken windows, missing kitchen appliances, electrical problems, or wood rot."

[Paul Pendley]

Just posted on this issue a few days ago. Wasnt aware that it might be nationwide. I posted assuming that each state had different laws regarding appraisers and have been really shocked at the number of defects that appraisers are now calling out. When did appraisers become home inspectors????

[Stephen W. Stanczyk]

I had this issue in WA. I called the State and their statement was that their hands were tied. The Federal Government made changes after the debacle that arose due to banks wanting appraisers to approve just about anything.

Now, anything that is readily visible, that affects the value of the home is required to be called out by the appraiser. This applies to any loan that is part of a government loan program like FHA or VA or will be sold to FNMA or FHLMC. The states do not have control over these requirements.

[Gary Farnsworth]

I thought this was a nationwide problem. Do you think RE agents are pushing home inspectors out of the way, because the appraiser is looking for defects? Why pay $300 to $400 for a home inspection when you pay for the appraiser at closing, who also calls out the defects? Why pay twice?

Young home buyers today are clueless, and listen too much to agents. Can buyers sue appraisers? I bet not.

Anything to get us out of the way of the transaction. Perhaps this is happening more in some states than others.

Buyers need to be aware, and properly informed about the condition of the home by licensed, certified, educated individuals. Perhaps InterNACHI should start training us on how to appraise homes.

http://www.nachi.org/property-appraisals.htm