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Post Statistics: 8,412 Views, 56 Replies
Latest Post: Thu, Jan 8 2009 10:33 PM by apicarsic
  • Tue, Jan 6 2009 7:30 AM

    I am not quite sure I understand why Mortgage Professionals call an appraisal a "Comp Check".  Is it because many appraisers themselves use this improper term?   What do you call you all call the abbreviated credit reports you run on potential applicants?    Do you call it "Cheapy Credit Report"?

    A rose by any other name...

    Ralph, I did not forget your earlier extensive reply back to one of my post.  I am busy and am only making short replys as a break from work. Smile 

     

     

     

     

  • Tue, Jan 6 2009 10:27 PM

    No those are Pre-quals not Pre-approvals!Yes

     - View My Profile
    Broker
    Finance One Mortgage
    financeone@juno.com
    (530) 644-5395
  • Wed, Jan 7 2009 10:44 AM

    Stephen Ames:
    >>>What do you call you all call the abbreviated credit reports you run on potential applicants?   

    Never heard of that...

    To any Mortgage Professional:

    What do you call it and how much does one cost?

    Do they give you the credit report as an added value to there service? 

    If the Score is lower then what you need they:

    1. See if they can raise it?

    2. Refund your money?

    If they wont do either of the above do you put them on "The List" as uncooperative?

    Does you potential Closing attorney do a pre-closing title search to make sure everything is cool?

    Does the attorney do it for free as an added value service?

    Does the attorney forgive the fee if the loan does not close?

    thank you

    andrew

    www.charlotteAppraisals.com

     

     

      

     

     

     

     

     

  • Wed, Jan 7 2009 11:27 AM

    apicarsic:

    To any Mortgage Professional:

    What do you call it and how much does one cost?

    Do they give you the credit report as an added value to there service? 

    If the Score is lower then what you need they:

    1. See if they can raise it?

    2. Refund your money?

    If they wont do either of the above do you put them on "The List" as uncooperative?

    Does you potential Closing attorney do a pre-closing title search to make sure everything is cool?

    Does the attorney do it for free as an added value service?

    Does the attorney forgive the fee if the loan does not close?

    thank you

    andrew

    www.charlotteAppraisals.com

      

     

    Well, I can choose just as relevant a comparison as you have chosen.  My title company will do a title search for me and tell me if there are any problems that I should be aware of.  They don't charge for this service if the loan doesn't close.  They even do all of this work with the same accuracy upfront without payment as they would if they had already received my payment. 

     

     

     - View My Profile
    Mortgage Consultant
    M & M Mortgage, LLC #213677
    kmikkola@themmmortgage.com
    (651) 558-9807
  • Wed, Jan 7 2009 12:38 PM

    Kent,

    I can understand where Andrew s coming from.  The idea and purpose of an appraisal is more than just valuation purposes.  It is to exemplify public trust in value within the entire real estate market.  It is to look at more than just final sales prices to determine a market value of a home.  And if you do the job right, the work itself is EXTENSIVE.  Your average form filling appraiser may take 5-6 hours on a report, including driving time and inspection time.  A single report for me takes anywhere from 8-12 hours.  Going over scorns of data, dating back 3 years to establish market trends and forecasts.  Calling some 20-30 agents versus just the 3-4 in my report...in which case, a lot of appraisers dont even do that.  Adjustments in a report may be standardized and based on no real evidence.  Pool adjustments may always be positive (when in a lot of markets here in CA, they have no value or negative value because of maintenance on many foreclosures).  Point is, with all the concessions, credits, or incentives given to a buyer these days, just to get them to buy a home, a final sales price with a range based purely on size and recent sales is very misleading.  1 year ago when Nehemiah was available, there was 3% credits on all FHA sales.... Which equated to a concession adjustment on every comp, in essence lowering the sales price, in turn lowering an initial value range.

    So the hard part for an appraiser becomes trying to tell your client....after you already gave them a range on a preliminary run, that the value isnt going to work, or may not work.  We sometimes dont know until we actually do the entire report.  In which case, I can see Andrew's point.  Thats a lot of work for 'no' money... or half the fee, in an industry which is now facing the HVCC, which looks to totally destroy the profession in the lending industry altogether.  Our fees are being skimmed, and reduced.  With the introduction of the 1004MC form coming later this year, we have already started being asked for it, with no fee increase.

    We are being hammered like no end.  I can understand on your side too, fees are going down.  But one major problem..... when the market is good... you do good.  That is to say, a lot of your monies are commissioned on the sales price, to my understanding, so when the market goes up, your income went up.  When the market declines, your monies decline. 

    In our case, when the market went up, I saw not one single fee increase over the period from 2000-2005.  From there, they only went down.  And part of that is our own fault, part blames the mortgage industry accusing us of price fixing, or inflating.  So when you do get appraisers who warrant a fee for what they do, i just assume, there are other products out there that can give you a free valuation.  Many AVMs can, some even charge to run those.  What like, $25?  So why we dont get something for them stems from our own competition and idiocy, but can also be attributed to the phrase 'you get what you pay for'.

    Most guys i know that do it for free, typically have no clue.  I only offer the included service to my regular, and loyal clientele.  Everyone else, i charge them based on what they want.  The only free service i offer them is a list of sales within a 1 mile area, and let them run it themselves, given some county information that my online sources say.

  • Wed, Jan 7 2009 12:43 PM

    how do i stop receiving replies from this thread?

     - View My Profile
    Sr. Mortgage Consultant
    banker0679
  • Wed, Jan 7 2009 12:47 PM

    Robert,

    At top of page is a bar that says turn off email notifications.

  • Wed, Jan 7 2009 12:50 PM

    thank you!

     - View My Profile
    Sr. Mortgage Consultant
    banker0679
  • Wed, Jan 7 2009 10:11 PM

    apicarsic:

    To any Mortgage Professional:

    What do you call it and how much does one cost?

    Do they give you the credit report as an added value to there service? 

    If the Score is lower then what you need they:

    1. See if they can raise it?

    2. Refund your money?

    If they wont do either of the above do you put them on "The List" as uncooperative?

    Does you potential Closing attorney do a pre-closing title search to make sure everything is cool?

    Does the attorney do it for free as an added value service?

    Does the attorney forgive the fee if the loan does not close?

    thank you

    andrew

    www.charlotteAppraisals.com

      

     

    You are off topic!!

     - View My Profile
    Broker
    Finance One Mortgage
    financeone@juno.com
    (530) 644-5395
  • Thu, Jan 8 2009 7:04 AM

    Yes, I went off topic a little and I apologize.   I did not think you would mind after reading your post #'s; 27,31,37, and 41.   I am new and dont have a solid grasp of the Forum Hierarchy.  None the less I am truly sorry and I wont do it again. 

    The Thread Topic is in the form of a simple question and it uses a term, "comp check", that must first be defined before the question can be answered. 

    Definition of comp check:  Dependent upon state law a comp check is an appraisal.

    Question:  Are comp checks legal?  

    Answer:     Yes! I dont know of any State law that forbids a comp check, aka Appraisal.

    End of Thread!

     

     

  • Thu, Jan 8 2009 8:23 AM

    apicarsic:

    End of Thread!

    Don't we all wish it were.  lol  This thread may never die...Big Smile

     - View My Profile
    Mortgage Consultant
    M & M Mortgage, LLC #213677
    kmikkola@themmmortgage.com
    (651) 558-9807
  • Thu, Jan 8 2009 11:30 AM

    Kent,

    I understand.  This thread was not nor will it ever be about the the legality of Comp Checks/Appraisals.   That is because the answer is always the same; Comp checks are appraisals and appraisals are a legal service in all 55 states and possessions!

    My transgression of house rules is because I believe discussion of this topic brings about mutual respect for both professions.  I am sure everyone at this forum of professionals would fundamentally agree with me.

    I like this place. I am actually quite impressed with the quality of topics and responses.

    Kudo's to all who precede me.

    andrew

    www.CharlotteAppraisals.com

     

     

  • Thu, Jan 8 2009 6:50 PM

    apicarsic:
    Yes, I went off topic a little and I apologize.   I did not think you would mind after reading your post #'s; 27,31,37, and 41.   I am new and dont have a solid grasp of the Forum Hierarchy.  None the less I am truly sorry and I wont do it again. 

     

    The Thread Topic is in the form of a simple question and it uses a term, "comp check", that must first be defined before the question can be answered. 

    Definition of comp check:  Dependent upon state law a comp check is an appraisal.

    Question:  Are comp checks legal?  

    Answer:     Yes! I dont know of any State law that forbids a comp check, aka Appraisal.

    End of Thread!

     

    LOL--sorry you had to read through my drivel!! # posts???? LOL

    You'll fit in nicely here!!

    Ames just trying to start another War....love it.

    Now, where's my comps?

     - View My Profile
    Broker
    Finance One Mortgage
    financeone@juno.com
    (530) 644-5395
  • Thu, Jan 8 2009 10:33 PM

    I never get this right. 

    Is it 52 states and 3 possessions for a total of 55?  Or is there really 52 states and five possessions.

    Embarrassed

     

     

     

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