Appraisal Scoop

Geek's Corner: Productivity Boosters for Email, Word, Excel, and More

Rich McIver of the Codswallop technology and productivity blog has published a list of 131 Productivity Boosters .  To paraphrase the lead-in for Rich's post:

Appraisers often have to wear many hats: accountant, boss, quality control, marketing department, and beyond, which can leave you feeling like there’s just not enough time in the day to do everything you’d like. Fortunately, there are a number of tools designed to help you speed up the process of working. Check out these productivity boosters for documents, communications, and more.

Here's just a few of the tools from Rich's list that I thought would be fun, valuable, or . . .just kewl!

FlipMail: For email on the go, sign up with Teleflip’s FlipMail, a service that forwards email as a text message to your phone.

ScanR: Snap photos and turn them into emailable PDFs using ScanR.

Pinger: Forgot to send an email? Don’t worry, you can send an audio email message to your recipient instead using Pinger.

TripIt: For appraisers on the go, check out TripIt, a tool that automativally organizes your travel itinerary using email.

Monkey On Your Back: Remind coworkers and clients of deadlines using Monkey On Your Back, a tool that sends scheduled email reminders to others.

H.R. 3837, The Escrow, Appraisal, and Mortgage Servicing Improvements Act of 2007

Update: Oct 17 - Inman News: Click Here - A new bill aimed at cracking down on deceptive practices in mortgage servicing and coercion of appraisers has the support of consumer groups and a group representing appraisers.

WASHINGTON, Oct. 16  - The nation's largest professional real estate appraisal organization, the Appraisal Institute, applauds Representative Paul Kanjorski (D-PA) for introducing H.R. 3837, The Escrow, Appraisal, and Mortgage Servicing Improvements Act of 2007.

Introduced today in the House of Representatives, H.R. 3837 is aimed at protecting consumers and financial institutions by addressing shortcomings in the appraisal regulatory structure, among other things.

The proposed legislation includes provisions that ensure an independent appraisal process, strengthen regulatory authority over bad actors and recognize the importance of professional designations when selecting an appraiser.   See H.R. 3837 on THOMAS for the official source of information on this bill.

The bill has support from Representative Barney Frank (D-MA), Financial Services Committee Chair, and Congressmen Charlie Wilson (D-OH) and Paul Hodes (D-NH) as original co- sponsors of the measure.

"With mortgage fraud a hot topic and borrowers and lenders feeling the squeeze, this legislation is an opportunity to remedy problems inherent in the system," said Don Kelly, the Appraisal Institute's Director of External Affairs. "We applaud Congressman Kanjorski for introducing H.R. 3837, and we look forward to working with him and other Members of Congress on its swift passage."

The Appraisal Institute has been active in Washington as a vocal advocate of many of the provisions in H.R. 3837.

"We are particularly pleased to see that H.R. 3837 promotes appraiser independence because an independent appraiser is best able to help ensure the integrity of the lending process for the benefit of the consumer and the financial institutions involved," stated Kelly.

Video - Ride the "Home Value Roller Coaster"!

Would you like to FEEL the Irrational Exuberance of Robert Shiller's A History of Home Values 2nd Edition housing values (from 1890 to present) plotted to a realistic roller coaster?!

Come on!  Take a BREAK!  Climb aboard the Home Value Roller coaster . . . .

If you'd like to take a peek at what the data REALLY looks like, here it is in the traditional graph:

Leica DISTO™ D3 - Pocketable - Light Sensing - Tilt Measurement - Area Calculation

Matt Johnson of www.lasermeters.com and ww.appraiserdepot.com has announced the introduction of yet another product to the Leica line of laser measuring devices. 

The new DISTO™ D3 is a multi-functional "pocketable" measuring device with an integrated tilt sensor and a lighting detector that automatically switches on the display and keypad illumination.  THAT should help when working in those dark REO properties!

Measuring made easy – your versatile partner with a modern look!

• Tilt measurement The instrument's inbuilt tilt sensor quickly and simply determines tilts up to ± 45°. The tilt sensor can also provide you with true horizontal distances. Reliable measurements are therefore guaranteed.
• Multifunctional end piece Aim the instrument straight at the target point, whether measuring out of corners, slots or from edges: with this end piece you are prepared for all measuring situations. The instrument detects the end piece automatically, which helps you avoid expensive measuring errors.
• Automatic keypad and display illumination A built-in sensor detects if the environment is dark and switches on the illumination of the keypad and display. You can also measure in the dark without any problem.
• Multiple functions The Leica DISTO™ D3 can also calculate areas, volumes, room dimensions and various types of Pythagorean functions. A time delay release and enough memory for up to 20 measurements finish off the instruments wide range of functions – a concept designed to make
  your work easier.

Included items - practical and clever:

• Holster: Stows everything away neatly
• Target plate: Allows accurate measurement on a non-reflective surface.
• Wrist strap: Secures the instrument at all heights

FREE On-Line Webinars - Marketing "Town Hall Meeting" & Working In A Paperless Office

If you liked the Marketing eBook from a la mode, inc … or if you’re interested in learning about getting more appraisal jobs in any market, a la mode invites you to a special FREE Appraiser Town Hall Meeting (on-line) this Wednesday - October 17th!

Because of the overwhelming response they've gotten from appraisers about the eBook (download it here), a la mode has decided to hold a free town hall meeting on-line to discuss questions they're hearing from appraisers around the country. 

This open panel, featuring Chris Low (author of the eBook: “How to get more jobs in any market”) and other industry experts, will field questions from the audience. 

Join them and other appraisers as they get together and talk in more detail about marketing tips and strategies found in the eBook to meet this market head-on.

Date:  Wednesday, October 17th, 2007
Time:  3:00 PM (CST)
How to attend:  Just click here
Admission:  FREE

Then, next week (Friday October 26th) I'll be hosting my own free webinar: Pulp Fiction – Is the “Paperless Office” a myth? (aka Papercuts, do they HAVE to hurt?). Appraisal offices may never get rid of paper entirely - but minimizing its use can help appraisers cut costs and increase office efficiency.   

This free webinar is NOT a repeat of the PowerPoint presentation given in Las Vegas or previously recorded by a la mode. This will be a live step-by-step demonstration of preparing an appraisal report in a paperless environment.  Click here to register.

The free Paperless Office webinar will help you:

• Understand the real costs of paper;
• Learn how to create a paperless “mind set”, and
• Learn how to get your paperless office STARTED!   

This 1-hour class is NOT just for WinTOTAL users.  I'll be covering lots of free tools and services, available from the Internet, to assist you in creating a paperless environment.  We'll be working LIVE to demonstrate a paperless workflow from receiving an assignment through creating an electronic workfile.   

DATE	CLASS	COST
October 17	Marketing - Appraiser Town hall Meeting On-line	FREE!	Click here to sign-up
October 26	The Paperless Office - Pulp Fiction? with Brian Davis	FREE!	Click here to sign-up

Author: Brian J. Davis, RAA - Brian Davis & Associates - Brian has over 23 years of appraisal experience in Central, IL and hosts the Appraisal Scoop blog and the WinTOTAL Users Group an email forum for appraisers.

DOJ Antitrust Division Launches Web Site on Competition In The Real Estate Brokerage Industry

WASHINGTON -- The Antitrust Division of the Department of Justice launched a new Web site today to educate consumers and policymakers about the potential benefits that competition can bring to consumers of real estate brokerage services and the barriers that inhibit that competition.

Among its features, the Web site includes:

• maps identifying states with real estate laws that can inhibit competition,
• a calculator to help consumers tally their potential savings when brokers pursuing new business models compete for their business, and
• links to additional government resources.

The address is: http://www.usdoj.gov/atr/public/real_estate/index.htm

"Buying or selling a home is the largest financial transaction most Americans will ever undertake," said Thomas O. Barnett, Assistant Attorney General in charge of the Department's Antitrust Division. "This Web site will help consumers and policymakers understand the benefits of increased competition among real estate agents."

The estimated median commission paid by home sellers in 2006 was $11,672, according to the Antitrust Division. New real estate brokerage models have the potential to reduce that amount by thousands of dollars. For example, in states that allow open competition, some buyer's brokers rebate up to two-thirds of their commission to the customer, and some seller's brokers offer limited-service packages that let sellers list their homes on the local multiple listing service (MLS) for as little as a few hundred dollars.

In a number of states, however, laws have been passed making it illegal for brokers to offer rebates, or requiring them to offer a full package of traditional services regardless whether all consumers want them. The Antitrust Division Web site contains data showing that if these sorts of barriers to competition were eliminated, consumers could save thousands of dollars in real estate commissions when selling one home and buying another.

• What are the laws in your state?
• Buying? State laws on rebates increase prices
• Selling? State laws on brokerage services increase prices

The Web site also explains how consumers are harmed when states forbid competition between lawyers and non-lawyers to conduct real estate closings, and when brokers tailor the rules governing local multiple listing services to exclude lower-cost rivals.

Consumers are encouraged to contact the Antitrust Division of the Department of Justice if they have information concerning anticompetitive conduct in the real estate brokerage industry.

Why not make appraisal reports amendable?

When I read this article, The Jobs Report: 'Never Mind' , by James Picerno, it made me think of our reports. Why not make them subject to Revision? If the Federal Government can change the August Jobs report based on new information, and Economist revise their projections; Why not make the appraisal report amendable?

In the world of appraisal, the retrospective report is often the easiest. With an effective date in August of this year, it would be much easier to write an accurate report than one with a current effective date. There are lots of pending sales, expired and canceled listings in larger numbers and price reductions that might make our value estimate seem inaccurate, even out of date, no matter how recent our closed sales are.

Whether the housing market is going up or going down, if the market is anything but stable, amending our reports might make sense. The sense of it being, if things were discovered the day after a report was released, we could advise the client of what the changes mean to the value estimated.

Imagine sending this note to your client a week after a report was delivered:

• Please be advised that our report on XXX property effective October 1, 2007 may need to be amended
• New information was obtained today from the Federal Government, indicating that several factors we relied upon have now been amended by the various agencies that report them.
• Job Growth figures have been amended by the Federal Government {  } Upward, {  } Downward.
• Unemployment figures have been adjusted {  } Upward, {  } Downward.
• Foreclosure figures from the American Bankers Association, Mortgage Bankers Association, REO Managers Association, FDIC, OTS and OCC have been adjusted {  } Upward, {  } Downward.
• Sales Price Trends reported on by NAR have been amended {  } Upward, {  } Downward.

Click here to continue reading . . .

Appraiser Marketing Part 2 - Direct Response Vs. Institutional Advertising

The first article in this series by Ken Rossman: Appraiser Marketing Part 1: Getting the biggest bang for your bucks! discussed how appraisers need to survey their clients to find out what their What's In It For Me! triggers are. 

Ken says, "Nothing on earth will get someone’s attention better than something that will benefit them. Something that easily shows them the What’s In It For ME?" 

In Part 2, Ken shows us how to zero in on the single most important benefit to the intended client or customer - the "What's In It For Me" - if they were to take the action you request in your solicitation.

If you are unable to crystallize one benefit use a phrase something like: 7 Reasons why you should consider XYZ Appraisal whenever you or your client needs the services of a professional real estate appraiser type headline. Then use each of the seven (or three or six or ten etc.) benefits as sub headlines and go on to explain the What’s In It For Me benefit for each, in the body copy of the ad.

Most people in business including appraisers focus on themselves or their company, and not on their clients needs.  Does this seem too obvious? Look through your yellow pages. Pick them up right now and glance through.

Answer this question: Are most of the ads telling you what benefits you get if you become a customer?  Or are the ads telling you about the vendors, where they are, how big or wonderful they are, what they do, how great their quality is, how great their service is, and all about them?  Ninety-five percent of the ads are likely totally focused on the business and its technical features and not on what the business can do for the client (benefits - whats in it for me?).

Take a look at the ads in the newspapers, on the TV, and listen to the radio. You'll find the same thing happening there, consistently, every day. Most of this type of selfish advertising falls into the terribly wasteful category of institutional advertising;.

Marketing mistake #1 - most real estate appraisers rely on institutional (image) advertising.

Whether you are a single practitioner or the powerhouse mega shop in your market, few outside of the related industries who use appraisers on a regular basis are likely to know of you unless you spend mega bucks on an ongoing institutional advertising program.

When you are in a medium ie: Yellow pages that is designed primarily to bring in consumers and corporations, as opposed to lenders and attorney's, the potential client unless a previous client of yours or referral is unlikely to know who you are.  If they do know you they will find you regardless of the size or placement of your name in the ad.

Even in a small ad, every word is very important, so you must use them to your maximum advantage.  You must use a headline, and the headline must state a benefit to the potential client.

Click here to continue reading . . .

Which Backyard Features Add Value? Does it change with location? Is it constant?

The Kiplinger article Turn Your Backyard Into Paradise suggests several ways for sellers in slumping markets to make their homes stand out. 

This prompted me to think about those items in terms of market value.  And, more importantly, does the value change with the market cycle?

I just did a graph of two tiers of data in Palm Desert, homes with pools and homes without.  Not only were the pool homes prices higher per square foot, the time adjustment was lower.

That is, homes with pools were going down in value slower than those without. Between the pool, spa, water features, kitchens, guest houses and other backyard features packed into backyards in huge numbers since 9/11; there may be more value in the backyard than appraisers have ever even thought of.

How can an appraiser find out what things are worth? Is there an easy step or process that will reveal an adjustment? Is it OK to quote a national survey by some other industry? Or better to do primary research in the local market and under current market conditions? Actually, knowing what is published at a national level is a good thing for comparing and contrasting with the local indicators. 

According to the NAR study referenced in the Kiplinger article, a pool adds on average an 8% increase in property value.  Does it add more in a hot climate than a cold one? What about wet areas verses dry ones? Intuitively, we can realize quickly that it depends on several factors what a pool or pool/spa package might add.  What if you are working in an area where 9 out of 10 homes have a pool, but the only ones that have sold do not have them? Does that mean that homes with pools are worth less or that there is a functional loss in value because they have them? No, it might mean that there is more demand for homes with them!

Click here to continue reading . . .

Appraiser Marketing Part 1 - Get the biggest bang for your bucks!

Real Estate Appraisers typically have very little money to spend on advertising and/or marketing.  The onus is on any savvy business person to ask sufficient qualifying questions, and keep enough records, to determine what advertising and marketing expenses deliver sufficient return to justify continuation.

Your phone number, cell phone number, pager, fax number and email address are all listed in Appraiser Directories, like All Area Affiliate Listing, as well as most other appraiser Internet directories and portals, and potential clients can call you directly.

When you get an inquiry, you owe it to yourself to ask how the potential client making the inquiry found you. If the response is vague, try to get them to be more specific.  If they say they found you on the Internet . . .

• Ask them where on the Internet?
• If they respond I found your web page. Then ask them how they found your web page?
• Was it a search engine like Google?
• Was it an on-line directory etc.?

Like you, I am a practicing real estate appraiser. Since I primarily service non-lender clients, I am constantly marketing for new business. I keep a log of every inquiry I get, tracking the true source as well as the ultimate result.

I periodically cross check (particularly at renewal time) my inquiry log against my advertising budget log to ensure I am spending my money where it is most likely to generate business.

Another important concern is the ad itself.  The mere fact that you have placed an ad is no guaranty that it will generate results.  It is the advertising medium's responsibility to generate traffic to the ad. It is the advertiser's responsibility to ensure that potential clients that have been brought to your ad choose you.

This is an important objective of my blog articles - to help you design ads that generate inquiries.  They will all be analyzed and explored in depth in future installments to this blog.

Here are a few initial suggestions:

1. Use a Headline.
2. Concentrate on as many What's In It For Me! [the potential client] benefits of using your services as you can muster.
3. Make an attractive offer that will elicit an inquiry.
4. Ad size can matter - if you are allotted say 300 words - use them all wisely.
5. Test your ad.
6. Always include a call to action.

The only real opportunity most of us have to gain competitive advantage and grow our business is in marketing - there is little opportunity elsewhere.

Click here to continue reading . . .