Real Estate Appraisal Between The Lines

Episode 103 - ANSI Standard Goes Into Effect 04.01.2022

Dun, dun, dun!!! Fannie and Freddie have finally spoken and have set April 1, 2022 as the date for all appraisers to use ANSI to measure properties. This will have wide ranging changes so you better get ready.

SHOW NOTES

• 01:15 – Fannie Mae and Freddie Mac will require all appraisals with an effective date of April 1, 2022, or after to comply with ANSI measurement standards.
• 03:20 – Two standards that exist.
• 04:10 – Consistency is very important across the industry.
• 06:45 – This is not a requirement for agents, but this change will trickle down to agents. Pay attention!
• 09:00 – Public demands this. Agents should be very aware of this and handle it properly.

SHOW LINKS

• Fannie Mae Guidance - https://singlefamily.fanniemae.com/media/30266/display
• Real Estate Agent Liability - https://www.findlaw.com/realestate/selling-your-home/wrong-square-footage-on-mls.html
• >

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 102 - My Predictions for 2022

Not that you cared, but Brian thought he would give some predictions for 2022 on the real estate market, appraisals, and a few other very important subjects.

SHOW NOTES

• 01:20 – What does your crystal ball say?
• 02:30 – Real estate industry predictions: will remain mostly the same.
• 06:55 – Elephant in the room: foreclosures and evictions.
• 07:50 – Appraisal predictions: values will continue an upward trend. Big regulatory changes.
• 09:40 – More appraisal requirements, desktop appraisals, appraisal reviews, and questions.
• 11:15 – Appraisal bias will not go away and will focus on the industry.
• 12:10 – Pop culture predictions.
• 15:40 – Personal predictions.
• 18:15 – Steve and Brian are working on our new format.

SHOW LINKS

• Movies coming out in 2022 – https://www.movieinsider.com/movies/2022
• Obi-Wan Kenobi - https://disneyplusoriginals.disney.com/show/obi-wan-kenobi
• Indiana Real Estate Institute – indianarealestateinstitute.com
• A-Ha! Real Estate Exam Prep – ahareep.com

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 101 - End of Year Wisdom

Changing the typical format to give my take on 2021 and how to have a better 2022. Remember, breathe in, breathe out.

SHOW NOTES

• 02:45 – Media and news are biased toward themselves.
• 04:38 – So much anger and hatred.
• 05:27 – Just be kind.
• 06:20 – Not much we can do to make a change.
• 07:10 – Mr. Miyagi, Breathe in the nose and out the mouth.
• 08:15 – Hear both sides of the discussion.
• 09:45 – Even in the real estate industry be patient, kind, and understanding.
• 11:40 – Leave the year better than you found it.

SHOW LINKS

• Just Be Kind - https://www.facebook.com/Just-Be-Kind-Its-Easy-1633257020274602/
• Miyagi, "Breathe" - https://www.youtube.com/watch?v=XemAlj9_qKE
• A-Ha Real Estate Exam Prep – ahareep.com

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 100 - 100th Episode Celebration

Celebrating 100 episodes and sharing a quick tip on how to "work" with appraisers in these busy times. Don't be too mad about the joke at the end.

SHOW NOTES

• 02:30 – How to handle appraisal issues in getting them back on time and are not communicating.
• 04:30 – Appraisers are very busy with huge increases in requests.
• 05:25 – There isn't much you can do to get things done quicker.
• 08:50 – Push on the lender for them to push the appraiser to get it done.
• 09:20 – Appraisers, stick by your commitments.
• 11:25 – Mariah Carey joke.

SHOW LINKS

• Mariah Carey "All I Want for Christmas Is You" - https://www.youtube.com/watch?v=aAkMkVFwAoo

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 099 - Successfully Challenge an Appraisal

It's the holidays and we wanted to give you a gift. One of the most commonly asked questions is how to challenge an appraisal. In this episode, Brian talks about the do's and don'ts to working with an appraiser. Listen closely because Santa is checking his list.

SHOW NOTES

• 01:35 – It's the gift giving season. Brian has something for you.
• 02:00 – How to successfully challenge an appraisal report.
• 03:00 – To effectively make a change and have input, get information before they finish their appraisal report.
• 04:20 – Appraisers can talk to agents about the appraisal process. Appraisers are collecting data. Communicate with each other. It's okay!
• 06:40 – No rule that says the appraiser must talk to you.
• 07:14 – Once appraisal report has been written, the appraiser is very limited in what they can talk to you about.
• 08:22 – Communication can only happen through the lender and that is very difficult to accomplish. Don't try to change the report after the fact.
• 09:30 – If you want to try to change the report after it has been written, you will need facts to make a change.
• 11:20 – Brian's gift: communicate with the appraiser BEFORE they write the appraisal report.
• 13:02 – Appraisers: Be nice, accept the agent's information, and look at it.

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 098 - What is the Quality of Your Condition

Quality and condition are two elements in valuation that quite often get mixed, combined and confused. In this episode, Brian explains the difference between these two important elements and how to better describe them.

SHOW NOTES

• 02:30 – Quality and condition are important to consider.
• 02:57 – Condition is what most people think about when looking at a property.
• 03:55 – Quality has nothing to do with condition. It are the elements made from.
• 05:25 – Stop making the wrong argument.
• 06:20 – What has been updated and in what quality?
• 06:52 – UAD ratings on appraisal reports.
• 08:07 – Quality and Condition ratings and definitions.
• 10:09 – Pay attention to the difference between condition and quality.

SHOW LINKS

• Quality vs. Condition – https://www.appraisalbuzz.com/quality-vs-condition/
• UAD Ratings – http://www.bradfordsoftware.com/uad/UAD_Glossary.pdf

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 097 - The Value of a Bedroom

Not only is the debate of what constitutes a bedroom a source of frustration, the value of a bedroom can also be hotly contested. Brian gives his opinion of the value of a bedroom and elements to consider that might change your outlook on the subject.

SHOW NOTES

• 02:05 – These are Brian's opinions based upon data and experience. Bedrooms rarely add value.
• 03:10 – Things to consider when valuing a bedroom: square footage, other rooms, and functionality of the space.
• 07:40 – Avoid this issue altogether, use the same bedroom and layout for comparables unless the differences affect other elements.
• 09:05 – On rare occasions, an adjustment is needed. Paired analysis might show the needed adjustment. However, an adjustment should never be the automatic default.

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 096 - What I'm Thankful For

Happy Thanksgiving! What are you thankful for? Brian gives thanks to all of the people that stand by him and help him be a better man.

SHOW NOTES

• Thank you to my family, my friends, my listeners, and even my laser measuring device. I appreciate you! Have a legendary Thanksgiving!

SHOW LINKS

• Homer Simpson - https://www.youtube.com/watch?v=E2dmfnSarDI

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 095 - Credible Equals Worthy of Belief

The estimated value in an appraisal report is only one component. It may be the most important one to you, but that value doesn't mean anything unless the value is credible. That is to say it is worthy of belief. The next time you encounter a "low" appraisal, you might want to consider if the value you hoped to attain is believable. Supporting your value is even more important that writing down a number. Brian talks about the value of credibility in an appraisal.

SHOW NOTES

• 03:00 – Appraisals can stir up emotions.
• 04:38 – Brian has been affected by an appraisal that didn't come in at what he thought it should.
• 06:35 – Credibility is huge in writing a report. Appraisers do not like coming in low on an appraisal.
• 08:18 – Credibility equals worthy of belief.
• 09:45 – Lender can ask to change or even throw out an appraisal because it is not a believable report.

SHOW LINKS

• CMP Appraisals - https://www.cmpappraisal.com/about-our-services/
• Aspen Appraisals - https://www.aspenappraisalservices.com/

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?

Episode 094 - Uncommon Appraisal Issues

Appraisal issues and defects come up often enough in properties. Don't let the uncommon issues blindside you. Brian talks about an concerned agent's phone call to him about a problem we almost never see. It was bad news for that agent. Don't become the next cautionary tale.

SHOW NOTES

• 00:58 – Happy Veteran's Day!
• 02:27 – Property issues and defects.
• 03:05 – Buried fuel tank example and FHA rules.
• 06:17 – Pay attention to external obsolescence.
• 08:40 – Train tracks with noise and rumble.
• 09:23 – Smell issues: sewer treatment plant.
• 10:05 – Most uncommon issues are external to the property.
• 11:15 – Agents don't ignore these issues. Look around the property. If you have a problem, ask the lender or another expert to find out how to deal with it.

SHOW LINKS

• FHA rule on fuel tank – https://hudgov.dynamics365portals.us/knowledge-details/?code=KA-05032#:~:text=If%20the%20subject%20property%20line,is%20ineligible%20for%20FHA%20insurance.
• External obsolescence – https://www.clearcapital.com/resources/glossary-of-terms/external-obsolescence/

BETWEEN THE LINES LINKS

Email

[email protected]

Web

brianclee.com

Facebook

https://www.facebook.com/groups/realestatebetweenthelines/

https://www.facebook.com/Brian-C-Lee-111822417027919/?

YouTube

https://www.youtube.com/channel/UCcv4dHU39-b5_QVVCIhbcBA?