Special Notice for FHA Roster Appraisers
On March 24, 2005 , Fannie Mae released new and revised appraisal reporting forms. All Federal Housing Administration (FHA) Roster Appraisers are instructed to continue to use the existing (pre March 2005) Fannie Mae reporting forms until further notice. FHA will be adopting, at a date to be announced, the following Fannie Mae appraisal reporting forms, which must be used when appraising the following specific property types:
- Uniform Residential Appraisal Report (Fannie Mae Form 1004) for all 1 and 2 unit single family dwellings
- Manufactured Home Appraisal Report (Fannie Mae Form 1004C) for all manufactured homes
- Individual Condominium Unit Appraisal Report (Fannie Mae Form 1073) for all condominium units
- Small Residential Income Property Appraisal Report (Fannie Mae Form 1025) for 3 and 4 unit single family dwellings
If you have any questions, please do not reply to this email, please contact the HUD Homeownership Center (HOC) that serves your state. You can find a directory of states that are serviced by HUD's homeownership centers (HOC) on the web at: http://www.hud.gov/offices
Hybrid Appraisals – Is One in Your Future?
You have probably heard of Appraiser Assisted AVMs (AAVM). Have you heard of the AVM Assisted Appraiser? This is where the appraiser utilizes AVM technology to assist in determining a property valuation? Either way, these types of valuations are starting to be known as “hybrid appraisals” within the industry.
Jeff Bradford, President of Bradford Technologies recently spoke at the Predictive Methods Conference on the future role of hybrid appraisals in the industry.
Jeff Bradford’s presentation was titled “At the Crossroads: The AVM and the Appraiser.” He opened by questioning why the industry was asking appraisers to validate AVM results? It comes down to the strengths and weaknesses of approaches, he said. For example, appraisers have local expertise and the ability to inspect property, but their turnaround times are longer than that of an AVM. On the other hand, AVMs are fast and cheap but lack quality data and geographic coverage.
Adding the appraiser strengths leads to the stronger AVM, and adding AVMs’ strengths to the appraiser side makes for a stronger appraiser, he said. Most hybrids today are appraisal-assisted AVMs, he said, with appraisers validating AVMs by adding more comps or making other adjustments.
The most common is the AVM with a desktop review. The problem with that approach is that when the AVM value is off, more comps won’t help, Bradford said. AVMs with property inspections might be better in that case, although that model has the disadvantage that the inspection probably isn’t done by an appraiser.
One problem with AAVMs, he said, is that the AVM isn’t integrated into the appraiser’s desktop software, so there’s too much data reentry involved. In addition, AAVMs don’t address the weaknesses of AVMs, including lack of access to quality data.
A role reversal may be in order, he said: the AVM-assisted appraiser. AVM technology can help with data aggregation and analysis and valuation processes. For example, the software can sort and organize data on comparables faster than the appraiser. “This is where the AVM front-end loader can really help the appraisal process,” he said. Adding an AVM to the process lets let’s appraisers add statistical validity to what they’re doing, he said. It also reduces overall turnaround time and help combat lender pressure. In short, AVM-assisted appraisal could represent the fourth major method of valuation, he concluded.
Want to see how an AVM can help do pre-research and strengths you’re value conclusion, check out the built-in Veros Property Analysis report in ClickFORMS. It’s located under the Services menu. Call your account representative at 800-622-8727 to get a free trial subscription to the Veros Property Analysis Report.
Tech Tip – Wireless Office Example
The Mobile Appraiser should be completely wireless – even in the office. But what should you buy?
A friend of ClickTalk, an HP engineer, recently outfitted his office with some cool wireless stuff.
And the best part of it is – it works!! Here’s what he bought:
- Netgear 108 Mbps 802.11g Wireless Firewall Router (WGT624RV) $79.99
- 54 Mbps 802.11g Wireless Print Sever with 4-port Switch (WGPS606) $99.99
- GN Netcom GN-9120 2.4 Ghz Wireless Headset $199.99 (RF but not BT)
You can buy the wireless headset, including a cool headset lifter at HelloDirect.
It’s not cheap but it’s arguably the best on the market ($309.99): http://www.hellodirect.com/catalog
