Check out my guest post on local Realtor/Broker Gena Riede’s blog today. The post is entitled “Lebron James, Over-improvement & Sacramento Real Estate.”
Appraisal Stuff
New Fannie Mae Appraisal Guideline is Old News to Appraisers
I had several emails arrive in my inbox yesterday to announce Fannie Mae’s “new” requirements for appraisers beginning September 1, 2010. In short, one of the things they are cracking down on is that appraisers must have knowledge of the local market as well as data sources for the market. Here is a snippet from Inman News:
“Fannie Mae has put lenders on official notice that they can only use appraisers who are knowledgeable about the area in which they are being asked to value property, and who have the ability to access records on recent sales in those markets.”
I don’t want to be the bearer of bad news, but this is nothing new for appraisers. We are supposed to be “geographically competent” already (know the local market) and it’s unthinkable that an appraiser would attempt to do an appraisal on a property when he/she does not even have data sources. In short, I understand the need for Fannie Mae to step forward here in light of some of the horror stories from HVCC, but this isn’t an earth-shattering revelation for appraisers because USPAP (our rules) already mandates us to know the local market. However, depending on how this rule plays out, that could be the interesting part.
My big question is how will it be determined that an appraiser is “knowledgeable about the area” where he/she is appraising? Will there be an essay test, quiz, series of questions to answer, or will it be based on the appraiser’s proximity to the property (say, the appraiser has to live nearby)?
What do you think about this new rule? How do you see it impacting the real estate market? Do you think it will increase the quality of real estate appraisals? What are the positives, negatives and potential consequences?
Flat vs. Hipped Roof: What is your vote for this Sacramento house?
I took this photo a few days back as a comp photo for an appraisal I’m doing near the Del Paso Heights area of Sacramento. This image tells an obvious story of a new roof being installed – but not just a newer roof, but a different type of roof. The house is being transformed from flat to hipped in style. The first image is an MLS photo.
The interesting thing to note while driving through this neighborhood is that there was at least one other house having a gable or hipped roof installed. Moreover, though there are still quite a few flat roofs in this neighborhood, many roofs have already been converted to a higher pitch. I’ve seen this same phenomenon in West Sacramento too. Does this say anything about the market?
Which style of roof do you prefer?
What’s going on in the Roseville real estate market?
If you woke up this morning itching to see a macro glance at the real estate market in Roseville, you’re in luck. I’m doing some research in the city of Roseville and I wanted to give a glimpse into sales over the past 18 months as well as current listings.
What do you see? Does anything stand out to you? What does it look like the market has done at the high and low end?
