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Category Archives: Appraisers

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VT Governor Advocates Hiring Independent Appraiser For Pipeline Cases

Posted in Appraisers, Eminent Domain

Vermont Gov. Peter Shumlin wants the VT Department of Public Service to hire an independent property appraiser to participate in eminent domain proceedings for the Addison-Rutland Natural Gas Project. “I am concerned at the transparency and equity issues that have been raised by Vermont Gas’s negotiations with landowners,” Shumlin wrote in a letter Monday. “I… Continue Reading

Appraisal Institute Releases “Standards of Valuation Practice”

Posted in Appraisers, Valuation

The Appraisal Institute has produced its Standards of Valuation Practice which may, in certain circumstances, be used as an alternative to “USPAP.” USPAP – the Uniform Standards of Professional Appraisal Practice – is provided by the Appraisal Foundation and is described as “the generally accepted standards for professional appraisal practice in North America. USPAP contains… Continue Reading

AI Member Appointed to Pa. Board of Certified Real Estate Appraisers

Posted in Appraisers

Joseph Pasquarella, MAI, has been appointed by Gov. Tom Corbett to the Pennsylvania State Board of Certified Real Estate Appraisers for a four-year term, the Appraisal Institute reported July 14.  Pasquarella, senior managing director at Integra Realty Resources’ Philadelphia office, will help establish professional standards for all real estate appraisers throughout the state and help… Continue Reading

Appraisal Institute Produces State Appraisal Regs Compilation

Posted in Appraisers

Each state has its own set of appraiser regulations. Although there are substantial similarities, they can vary. The Appraisal Institute has assembled a document titled “Provisions of State Appraiser Licensing and Certification Laws Applicable to Appraisal Review” which is available free to its members and may be purchased by non-AI professionals. The document provides information… Continue Reading

Lawsuits Targeting Appraisal Reviews on the Rise

Posted in Appraisers

According to an article in the Appraisal Institute’s Valuation magazine, litigation regarding appraisal reviews has been increasing.  One possible explanation cited in the article is that there are simply more appraisal reviews.  It also states that some review appraisers lack the necessary competency to perform the work. One of the major categories of claims is… Continue Reading

PA Court Addresses Deficiency Judgment Valuation

Posted in Appraisers, Valuation

The PA Superior Court recently addressed issues regarding determining the fair market value of property in the context of a “deficiency judgment” proceeding.  In Liberty Philadelphia REO, LP v. EFL Partners V, L.P., the Superior Court held that it was proper in that case to fix the fair market value of condominiums based on the… Continue Reading

NJ Bill Would Eliminate State Appraisal Board

Posted in Appraisers

The New Jersey legislature is considering a bill that would abolish NJ’s Real Estate Appraisers Board and transfer regulation of appraisers to the state’s Real Estate Commission. Bill A2387 was unanimously passed by the Regulated Professions Committee March 13.  The Appraisal Institute strongly opposes the bill.  The Bill’s sponsors, Troy Singleton, and representatives of the… Continue Reading

Fannie Mae Launches Appraiser Quality Monitoring Website

Posted in Appraisers

The Appraisal Institute announced that Fannie Mae launched a website focused on its new Appraiser Quality Monitoring process, which evaluates appraisals for data accuracy and consistency. The site gives lenders access to a list of appraisers whose reports will be subject to 100 percent review or no longer accepted by Fannie. Sellers and servicers approved… Continue Reading

Appraisal Institute: Solar Electric Systems Positively Impact Home Values

Posted in Appraisers

The Appraisal Institute has released a study concluding that solar photovoltaic systems typically increase market value and almost always decrease marketing time of single-family homes in the Denver metropolitan area. A PV system is a solar electric system that is designed to convert sunlight into electricity. The Appraisal Institute worked with the Colorado Energy Office… Continue Reading

Appraisal And Mortgage Fraud Declines

Posted in Appraisers

According to a recent report by LexisNexis, appraisal and mortgage fraud has decreased nationwide. The FBI’s pending fraud cases was 1,954 during fiscal year 2012 as compared to 2,691 cases reported the previous year. The biggest category of fraud was application fraud which accounted for almost 70%. 9% involved appraisal fraud which was a very… Continue Reading

Appraisal Institute Offers Appraisal Advice For Consumers

Posted in Appraisers

The Appraisal Institute recently published “tips” designed “to help consumers understand the role of appraisals in the lending process.”  The tips are. 1. Understand the role of mortgage appraisals. 2. Make sure the lender hires a qualified appraiser, such as an MAI or SRA Designated member of the Appraisal Institute. 3. Accompany the appraiser during… Continue Reading

Agencies Issue Proposed Rule To Exempt Some Mortgages From Appraisal Requirements

Posted in Appraisers

  Six federal financial regulatory agencies recently issued a proposed rule that would create exemptions from certain appraisal requirements for a subset of higher-priced mortgage loans. According to the agencies, the proposed exemptions are intended to save borrowers time and money and to promote the safety and soundness of creditors. The appraisal requirements for higher-priced… Continue Reading

Appraisal Institute Discusses USPAP Changes

Posted in Appraisers, PennDOT

Paula Konikoff, JD, MAI, chair of the Appraisal Institute’s Professional Standards and Guidance Committee recently discussed the 2014-15 USPAP updates, including the process the Appraisal Standards Board used to adopt the latest edition of USPAP, the new Report Options that will be part of the 2014-15 edition of USPAP, and other changes made that might… Continue Reading

Georgia Adopts Rules for Evaluation Appraisals

Posted in Appraisers, PennDOT

The Georgia Real Estate Appraisers Board recently adopted its final regulations regarding standards for developing and reporting an “evaluation appraisal.” The regulations state that, where permitted by federal law and policies, a state-licensed or certified appraiser performing an evaluation appraisal need not comply with the Uniform Standards of Professional Appraisal Practice. The new regulations state… Continue Reading

42 Appraisal Firms Form Valbridge Property Advisors

Posted in Appraisers, PennDOT

Forty-two U.S. appraisal firms announced March 18 that they now are operating as Valbridge Property Advisors. The new firm is comprised of independent, local-market valuation firms with each office run by the local practice leader who must hold an MAI designation of the Appraisal Institute. The new firm will specialize in office, industrial, retail, multifamily,… Continue Reading

PA Considering Bill Expanding Brokers Ability To Provide Comparative Market Analysis

Posted in Appraisers, PennDOT

Legislation was introduced in the Pennsylvania General Assembly to expand the ability of real estate sales professionals to provide Broker Price Opinions and Comparative Market Analyses outside of the real estate brokerage context. This legislation would amend the Real Estate Licensing and Registration Act and the Real Estate Appraisers Certification Act. A Comparative Market Analysis… Continue Reading

Report: Ban Distressed Home Sales As Comps

Posted in Appraisers, PennDOT

The Bipartisan Policy Center issued a report proposing changes to current appraisal policy. Although it was primarily focused on reducing the government’s role in the nation’s housing finance system, it had appraisal related recommendations. For example, it recommended banning the use of distressed home sales as comparables which the BPC said was helping to decrease… Continue Reading

Appraiser Qualification Board Issues Second Exposure Draft

Posted in Appraisers, PennDOT

The Appraiser Qualification Board issued the Second Exposure Draft of Proposed Interpretation and Revision to the Real Property Appraiser Qualification Criteria. The AQB is an independent board of The Appraisal Foundation and composed of at least five practicing appraisers who are appointed by the Foundation’s Board of Trustees for three-year terms. Under the provisions of… Continue Reading

Appraisal Foundation Releases New Pamphlets for Consumers and Lenders

Posted in Appraisers, Eminent Domain

The Appraisal Foundation, a national non-profit organization dedicated to the advancement of professional valuation and protecting the public trust, has released two new pamphlets benefitting consumers and lenders. According to the Foundation, A Guide to Understanding a Residential Appraisal was developed specifically for consumers. This pamphlet is intended to provide consumers an overview of the… Continue Reading

New Appraisal Standards Approved for Higher-Risk Mortgages

Posted in Appraisers

A new rule passed Jan. 15 gives mortgage lenders an additional year to institute appraisal standards for higher-risk loans. Six agencies were involved in approving the rule, including FDIC, the Consumer Financial Protection Bureau, the Office of the Comptroller of the Currency, the Federal Reserve, the Federal Housing Finance Agency and the National Credit Union… Continue Reading

Tax Court Eliminates Draft Reports from Discovery

Posted in Appraisers, Eminent Domain

One important issue for litigation experts to always consider is whether their draft reports can be obtained by another party via discovery. The rules vary by jurisdiction. Recently, the US Tax Court amended Rule 70 of its Rules of Practice & Procedure to exclude drafts of expert reports from discovery. This protection applies regardless of the form in… Continue Reading

Sandy Will Delay Loans And Require Reappraisals

Posted in Appraisers, Eminent Domain

Loans involving properties in the path of Hurricane Sandy will certainly be delayed according to National Mortgage News. In addition to the obvious business interruption, many properties will need to be reappraised to determine if the Hurricane caused a decrease in property value. Given the volume of reappraisals, the loan process will be severely impacted. David Stevens, president… Continue Reading

Foreclosures Reach Lowest Level Since 2007

Posted in Appraisers, Eminent Domain

The New Jersey Department of Banking and Insurance performed 173 examinations of mortgage licensees in 2011. According to National Mortgage News, these examinations concluded that 90 percent of the mortgage firms had some type of violation. The examinations showed a total 4,347 violations, or 25 per examination. The most common violations were deficiencies in loan… Continue Reading

NJ Agency: 90 Percent of Mortgage Firms Violate Laws

Posted in Appraisers, Eminent Domain

The New Jersey Department of Banking and Insurance performed 173 examinations of mortgage licensees in 2011. According to National Mortgage News, these examinations concluded that 90 percent of the mortgage firms had some type of violation. The examinations showed a total 4,347 violations, or 25 per examination. The most common violations were deficiencies in loan… Continue Reading