A home for sale in Chandler, shown Thursday, October 14, 2010.
Current users sign in here.
[sad] I don't think I've seen so much misinformation in 1 article.
[Appraisals are based on market data which, in some cases is at 1970's & 1980's prices; Commentor is not qualified to make such overgeneralizations about appraisals or comments about appraisers] See below.
Orr also said appraisers are being conservative in their reports.
[False, unethical, illegal and not true - prohibited by professional standards] See below.
“All they need to do is come up with a number that justifies the loan,” Orr continued. He said appraisers are not particularly interested in providing a figure that represents the current state of the market.
[Also false, pending sales, listings, time trends/regression can isolate time for a time or market conditions adjustment; has this commentor seen an appraisal before?] See below.
In fact, he said, they really cannot represent the current market because the “comps” they use — data on values of comparable homes that are selling — is pretty much three months out of date.
But Orr there’s another factor at work.
[Accuracy is and shall always be the goal, not a "guess low" a term never before heard other than this article which coins the phrase; View Case Shiller historical trends, there is an obvious peak and valley to the market prices over the past decade; or better yet, check the CROMFORD report which tells the same information; Appraisers are messengers of the market and attempting accuracy; Lenders were stung by undocumented loans, mortgage brokers, falsified pay stubs and interest only negative amortizing loans, hyperconsumption of consumer goods compounded with HELOCs]. The change in value from the peak (when lending money) to the valley of the time trend (when foreclosing in unison with other banks) is what stings, not the appraisal. See below.
“They are under pressure to guess low,” he said. Orr said the lenders were stung when the appraisals done at the top of the market proved to be much higher than they could recoup when the buyers defaulted and the homes were sold in foreclosure.
Featuring sponsored content from local business leaders, sharing their stories of success, …
East Valley Tribune
Phone number: 480-TRIBUNE
Address: 1620 W. Fountainhead Parkway, Ste. 219
Tempe, AZ 85282
More Contact Information...
We're always interested in hearing about news in our community. Let us know what's going on!
Share your news
A Division of 10/13 Communications