Tom Horn

Lenders, attorneys, consumers; have you ever regretted hiring an appraiser after the fact? Did they tell you they met certain qualifications and later you found out they didn’t? Let’s face it; every profession has members that are more qualified than others. By being more knowledgeable about the qualifications of the appraiser you choose you can save yourself from a headache before it’s too late.

According to their website, the Appraisal Subcommittee (ASC) states the following:

“The ASC's mission is to ensure that real estate appraisers, who perform appraisals in real estate transactions that could expose the United States government to financial loss, are sufficiently trained and tested to assure competency and independent judgment according to uniform high professional standards and ethics”.

By logging onto the ASC website you can search to see if the appraiser you want to use is AQB compliant. According to the ASC website this means that “the appraiser met the Appraiser Qualifications Board’s Real Property Appraiser Qualifications criteria ("AQB criteria") on education, experience, and examination, when obtaining and/or maintaining the credential”. If the appraiser is not AQB compliant this could indicate two things: “A “no” in the column typically means the appraiser was not required to demonstrate the hours of experience set forth in the AQB criteria for the credential level. It, however, may also mean the appraiser failed to demonstrate the hours of education or continuing education set forth in AQB criteria”. This site can help identify those appraisers who have not provided proof.

The quality of work provided and/or integrity of the mortgage transaction can be increased when you know that the appraiser you want to use has demonstrated his competency by providing his credentials to the Appraiser Qualifications Board.

Appraisers can be retained for various reasons. They can provide appraisals for home purchases, refinances, construction loans, marketing (FSBO), PMI reduction, estate planning, and litigation. You can check to see if they have met the requirements set forth by the Appraiser Qualifications Board by clicking the following link.

http://www.asc.gov/content/category1/nr_intro.aspx?id=10

In addition, ask for references from past clients. You can only make informed decisions when you have all the facts.

Mr. Horn provides real estate appraisal services in the Birmingham, Alabama metro area where he concentrates on residential properties, which includes single family homes, 2-4 family homes, lake homes, condos, vacant land, and manufactured homes. You can learn more about him by visiting his website at www.Appraisal-source.com.

I live in Alabaster, Alabama. It’s a great city situated in Shelby County, just south of Birmingham in the northern part of the state. Today I want to spotlight the neighborhood I live in called Weatherly. Weatherly is a modern swim and tennis club development with over 600 home sites. In addition to the swim and tennis club it offers several lakes and a clubhouse. The subdivision offers numerous home styles and home sites, including garden homes, lakefront homes, mountain top homes and estate size lots. With a neighborhood this size it is easy to get lost in the crowd and feel overwhelmed by the number of neighbors you have. This can affect your sense of belonging to a community by making you feel isolated.

I’m sure everybody reading this has probably seen the old Andy Griffith series on T.V. We all enjoyed the antics of Opie and his friends playing cowboys and Indians, or Andy and Barney working on the latest case in Mayberry, and of course Aunt Bea trying to make the best batch of pickles for this years fair. Mayberry was a small town where everybody new one another. A community where everybody saw each other more often, did things together, and helped you out when you needed anything.

These days life is different. It’s faster paced, we’re on the road more, and we don’t get to see our neighbors and friends as much as we may want to. One thing the Weatherly neighborhood is doing to promote a closer knit community is to take advantage of the internet by creating an online presence. Because most everybody these days has a computer and an internet connection the website provides an online meeting place for residents of the neighborhood.

MyWeatherly.com was created by Iveta Thetford. She says that her motivation for creating the website was to have an online community for the neighborhood, where neighbors can find out about the other neighbors, their interests, services offered, and to meet new friends that live in the same community, but never see because of the different work schedules. The website brings together all of these aspects of what makes a small community appealing. It includes current news (both neighborhood and city), services offered by local residents, and articles written by people in the neighborhood. There is even a classified section for those wanting to buy, sell, or trade anything. In addition, anyone trying to sell their home can add information for potential buyers to view. Lastly, there is the forum section where residents can communicate with each other. By providing a website that brings together all of the facets of a community, the neighborhood can grow closer and everybody can get to know one another better. Myweatherly.com is relatively new but it is already starting to build a sense of community among the residents of Weatherly.

This article by no means covers everything the website has to offer. To find out more about the neighborhood, and become a part of the community, check it out at www.myweatherly.com.

Most people, at some point in their life will probably get a home appraisal. Appraisals are necessary for the following reasons:

• Buying a home

• Selling a home (either a marketing appraisal or appraisal after contract is signed)

• Refinancing a home (either to get a lower rate or to get a home equity loan)

• Dropping PMI insurance

• Relocation appraisals (if you are being transferred in your job and your company will be buying your home)

By planning ahead it is possible to present your home in the best possible light in order to get the highest value possible.

While a little clutter here and there will not affect the appraised value it does not hurt to have the home in its best possible condition and presented nicely. By spending a little time on cosmetic details and minor repairs a good impression can be made.

Appraisers are human and they respond to a clean and orderly home the same as buyers do.

During the inspection we look at materials of construction and condition of the improvements and develop an effective age estimate of the home.

Items observed include the following:

Exterior

• Exterior condition of the home (including deferred maintenance-loose gutters, missing shingles, bad paint, broken windows)

• Landscaping (healthy plants and fresh mulched flower beds as opposed to dead plants and over grown grass)

Interior

• Type of floor covering and condition (stains, rips, etc.)

*Wall surfaces (wallpaper, paint, panel, etc.)

• Kitchen appliances (are they working)

• HVAC (is it working)

• Small things that, while not affecting value significantly, can give a bad impression of the home, such as missing electrical covers, doorknobs, etc.

Features or amenities of the home are noted as well as their condition and can include the following:

• Fireplaces

• Patios

• Decks

• Porches

• Fences

• Pools (once saw a pool that had been turned into a koi pond)

• Security system, intercom etc.

Because a minimum of three sales are used in an appraisal a range of value is developed. This is where the good condition and upkeep of the home can pay off. Within the range of value the appraiser can reconcile a final value estimate based on the subject’s condition and appeal as well as the marketability of the area. If the home is in good condition and shows well, it is possible that the upper end of the range could be justified. On the other hand, if the home has not been well kept, has necessary repairs, and does not show well, the lower end of the range may be chosen.

By spending a little money, and putting in some sweat equity, you can increase the chances your home will appraise for top dollar. Here is a list of some things you could do:

Exterior

• Mow grass and edge

• Add mulch to flower beds

• Buy some inexpensive plants and plant in beds for color

• If necessary touch up or paint home

• Repair any deferred maintenance such as broken windows, loose gutters, or missing shingles.

• Repair damaged decking if necessary

• Repair fencing if damaged

Interior

• Clean your floor, whether it be carpet, hardwoods, or tile

• Touch up paint or clean walls if dirty or if you have holes repair them

• If you have peeling wallpaper, either repair it or take it down and paint

*Make sure all appliances are in working order

• Make sure the HVAC is in good working condition

• Make sure small things such as loose door knobs or missing electrical cover plates are repaired or replaced

• Clean the home so there is no clutter

Because appraising is not an exact science, and a range of value is given from the sales used, a home which is clean and well taken care of can make a positive impression on the appraiser so that they emphasize the upper end of the range provided.