Appraisal Scoop

What Would MacGyver Do? - eo UMPC Upgrades For Appraisers

I'm sure that eveyone remembers MacGyver as being famous for knowing how to make useful  things from practically nothing!  I wonder if MacGyver was given a tabletkiosk eo UMPC, and the task of taking it into the field on a typical residential appraisal assignment, just "What Would MacGyver Do?" to get the job done?!

Let's face it . . .the tabletkiosk eo UMPC is a great little device but it doesn't take long to see that it is does have its shortcomings in terms of being a "Full Featured" data collection device for appraisers.

What Are Its Shortcomings?

• No Ethernet Port (10/100 RJ-45)
• No Flash Card / SD Memory Card Reader
• No PMCIA slot ( for EVDO - HSDPA )
• No VGA port (full monitor)
• No Port Replicator (currently available)
• Short Battery Life (1.5 - 2 hours standard)
• No Built-In MIC (microphone)
• No Built-in Camera
• No Built-in GPS

The good news?  There's a great selection of add-on hardware and software solutions to overcome many of the eo's deficiencies.     MacGyver HELP!!!! . . . read on:

Humor: Bin Laden Seeks to Refinance al-Qaeda Debt

Left: "These interest rates are killing us..."

(Afghanistan) As more adjustable rate mortgages (ARM) spike upward, and as housing prices begin to dip, terror leader Osama bin Laden believes the time is right to lock in a low fixed rate on al-Qaeda debts.

"I was a first-time buyer. I was blind. I didn't know what questions to ask," he said of the al-Qaeda ARM, which is now at 11%. "And the mortgage brokers are there telling you what you want to hear just to get you in the mortgage."

Bin Laden said that the rise in interest rates has hurt the terror organization's ability to meet its debt.

"Between the asset freezes and the interest rates, we can hardly afford to buy a case of RPGs," he said, drumming his fingers on the table. "And we have to think about our credit rating. It's hard enough getting a car loan with all the suicide bombers these days - the dealers are afraid they'll have nothing but a burned-out frame to repossess."

Bin Laden added that he worries about smaller terrorist cells and their ability to meet debt service.

“For those on low incomes an increase in interest rates, no matter how small, has a big impact on their ability to keep their heads above water,” he said. “We are dealing increasingly with rising numbers of terrorists who have fallen off the mortgage merry-go-round."

Thanks to the National Nitwit Blog for this article!

Appraiser/Appraisal Requirements: Scope of Work and Defensible Reporting

Verification steps take time! Being clear in what we do in this regard, includes letting the client and users of the appraisal know what steps we took, what we did and did not do.

As market cycles go, when a down turn occurs, suits against appraisers go up. Those who were the cheapest, most aggressive about the values they needed, will be the first to sue. Unless we do our jobs right, instead of our reports becoming our best defense, they leave us in deep doo-doo.

I don't recall who sent me these Appraiser/Appraisal Requirements? View this photo Probably a lender or client?  Regardless, they make for good procedure and would make any report more supportable/defensible.  Try embracing them on one report per week to start, until you get used to the procedure. Then, work it into your routine, until it become a natural part of your processes and procedures.

Being sued, even with insurance is nerve wracking, unsettling to most. Maybe not to those with a criminal mind. Being tied up in a suit for years, aggravates the average person and has an impact on all aspects of ones life.

Embracing and employing good appraisal procedures is a good thing, even mo-better in a down market. It might be the best insurance one could provide, as it becomes deterrent to law suits.

READ ON . . .

Mortgage Fraud Suit Says ‘Trust Us’ Led to Fleecing

According to the New York Times story (click here) , dozens of residents of Martinsville, VA, were persuaded to join a mortgage investment group.  Using their "church" connections, according to a recent lawsuit, two women and another relative in Indianapolis perpetrated one of the largest mortgage frauds in American history, victimizing dozens of local residents and, according to sources with knowledge of the accusations, at least $40 million in fraudulent loans — perhaps even twice that amount.

Most of the participants appeared to be pawns in a quick-flip mortgage scheme, designed to gain control of a property at a low price and sell it quickly at a profit. The game is often rigged at every level — from doctored applications, to bogus property appraisals, to the loan approvals themselves. (see Mortgage Fraud - "Universal Truths" - Part 1)

The Countrywide suit asserts, for instance, that the founder of the group, Robert Penn (the son of Beulah Penn and brother of Sharon Penn), acting through a variety of companies, secured purchasing agreements for Indiana properties at market value, then had them appraised at substantially higher rates.

Mr. Penn’s group then bought the homes, according to the lawsuit and documents reviewed by The Times, in the names of the Martinsville residents at the inflated prices — or even higher — but paid only the agreed-to market price to the seller. Mr. Penn’s companies then received the substantial difference, the documents contend.    For the full N.Y. Times story click here.

For more on Mortgage Fraud - click here.

What Is The Difference Between A Website And A Blog?"

As the parking lot of opportunity begins to fill, and more and more real estate professionals are grabbing their surfboard in an attempt to ride this wave of change called Web 2.0, one question rings most frequent: "What is the difference between a website and a blog?" Sounds innocent enough.. but most still don't grasp the distinction.

Wikipedia insufficiently defines the blog (or weblog) as "a type of website where entries are made (such as in a journal or diary), [and] displayed in a reverse chronological order." Although, in essence, that's what happens on a blog, there is much more defining to do.

If real estate professionals are going to recognize the value of blogging, they first need to recognize it's distinction from their personal website.

Appraising "Golf Course" Homes

We have a high end appraisal of a home on a golf course to do. There are some things I have learned over the years that I thought I would share for those who are interested in the nuances of locational values of golf course properties.

Let me know what your experience have been, if you have seen similar things, or other things too.

Much of this I learned from one appraisal, involving golf balls. I call it my golf ball case. A buyer sued the seller, the listing and sales office three years after purchasing a $2.6m home, saying he got golf balls in his yard, even though he had a Golf Ball Easement on his deed, and this was his third home in the project.

They got a PhD, MAI, to say homes on the golf course are worth 40% less than those that are not. IMHO, the appraisal was a fraud. But, the case was built around it.  READ ON . . .

Microsoft PowerToys for Windows XP Tablet PC

They're here! PowerToys are additional programs that developers work on after a product has been released to manufacturing. They'll add fun and functionality to your Tablet PC experience.

Microsoft Says "Note: We've taken great care to ensure that [XP Tablet] PowerToys operate as they should, but they are not part of Windows XP Tablet PC Edition and are not supported by Microsoft. For this reason, Microsoft Technical Support is unable to answer questions about PowerToys. PowerToys are for Windows XP Tablet PC Edition only."

Check out a few "select" PowerToy choices below:

Federal Officials Expect U.S. Home Sales, Prices to Stagnate

"Homeowners face a long period of stagnation in housing sales and prices—perhaps as long as a decade—in the aftermath of the five-year housing boom that doubled or tripled home prices in Washington and other coastal cities according to federal officials. In addition, the proliferation of risky mortgages with payments that balloon in the out years raises the possibility that the housing bust will result in serious economic dislocation."  complete story

UMPC Desktop and Mobile Solutions - You've Got To Accessorize!

If you click on the Tablet PC / UMPC category in the Appraisal Scoop blog you'll find many of my experiences with the  tabletkiosk eo™ UMPC v7110.   They include both software and hardware installation topics as I continue integrating a ultra mobile PC into my appraisal and data collection work flow.

My eo model is the v7110 with a 1.0Ghz processor, 1GB of RAM, a 60GB HDD, Bluetooth, 802.11b/g wireless networking, and MS Windows XP Tablet Edition.  GOSH!  Doesn't that sound like it's got everything a "Mobile Appraiser" could ask for?!  No so "UMPC-Breath"!  I quickly discovered that I needed a few more things to get productive.  So I ordered what I considered to be MY . . .

MUST HAVE ACCESSORIES . . .

• USB to Ethernet Adapter (for when you don't have WiFi access)
• WriteShield Screen Protector  (better safe than sorry)
• Automobile Charger (the standard battery runs down quickly)
• Bump case (the eo has a rather slippery finish and no "grip")
• USB / Bluetooth Keyboard
• USB Memory Card w/ Adapter or Thumbdrive
• 6-Battery "extended" battery

My plan was to blog about each of these devices as they arrived but I'm finding that the REAL experts in UMPC technology have the same idea and are doing a much better job of showing. . .

How To Accessorize Your UMPC!  Read on . . .

Pre-Listing Home Valuations - Who Hits The Bullseye?

On yesterday's PressReal blog there was a great post called "There's a difference between asking price and value" where the author says: "They just don’t seem to understand what you and I take for granted. Just because I put a price tag of $1 million on my home doesn’t make it worth $1 million. It’s not worth $300 per foot or even $100 per foot. It’s really worth exactly what someone will pay for it. Not a penny less, not a penny more."

PressReal was going to do a follow-up piece on the "Right Way" to price a home but Greg Swann's blog at Bloodhound Blog beat him to it. In Greg's piece entitled “Ask The Broker: Where can you get the most accurate real estate estimates” he lists the ways real estate professionals place value.

Following are a “reader’s digest” version of his suggestions in order of accuracy:

1. An appraisal by a competent appraiser, with substantial experience in the neighborhood in question.
2. A Broker’s Price Opinion (BPO) with the same stipulations of competency.
3. A Competitive Market Analysis (CMA) done by a Realtor.
4. An Automated Valuation Model (AVM -such as Zillow).

In closing his piece, he talks about when it’s appropriate to use each. This isn’t anything you don’t already know, but it’s tightly written, and well worth the review. I suggest you take the time to look through it.  Click here for the complete article.