Frequently referred to as comps comparable properties are a key aspect of most real estate transactions. The Ohio Real Estate Appraiser Board has revoked the appraiser license of Danny E.
The knowledge about what makes a condition hazardous is rooted in the building code but home inspectors are not code enforcers.
Do appraisers look for code violations. You can also call your own appraiser or inspector in specifically to check for work that looks like it may have been done off the books and then cross-check that against the sellers disclosure. If they even KNOW that theyre violations--which will depend entirely on that appraisers experience with the codes of the area. When a municipality receives a code violation complaint a city inspector will visit the property to verify that the complaint is valid.
The appraiser will assess the value of the home and report it to the lender. The appraiser is not there to be code enforcement. Sagstetter of Delaware Ohio for preparing an inflated appraisal of one Marion property and failing to adhere to state law regarding appraisals on four others.
Code creates a hazy gray area for home inspectors and their customers. One of the most common issues resulting from the bank appraisal is that the bank appraiser cites repairs that are needed on the home. An appraisal is required by law.
Thus when I call to verify if there are permits on something I dont typically say Hey is there a. The workfile must be in existence at the time that the report is transmitted to the client. To avoid disciplinary action keep a clean workfile do a thorough report and always think that somebody from the state could end up looking at the report and the workfile.
Most importantly it is a violation of USPAP to create a workfile after the fact. If it is he or she will notify the property owner. About the author.
Again the bank appraiser is not inspecting the property as thoroughly as a home inspector however the bank appraiser is looking for certain deficiencies in the home. Agents use comps to help sellers determine a listing price appraisers use comps to help confirm market value and prospective buyers often take. Appraisers look at recently sold nearby homes that are similar to the one in question.
Code violations will often come up in a title search and in many cases unpermitted work is what causes code violations. Appraisers will also look closely and itemize all appliances and fixtures installed in the home including the. IF they know of a violation they might note it in their appraisal and depending on how persnickety the lender is that could be a PITA but unlikely.
If the requested loan amount is high relative to the value of the home the homeowner may have to pay private mortgage insurance on the refinance. This is one reason its important to know what the appraiser is looking for during a. The gray area creeps in where a code violation and a defect cross paths.
A home inspection identifies defects and dangerous conditions. If the home has undergone a major remodel it is hisher job to check the code compliance requirements for certain renovation projects. Banks Appraiser Cites Repairs.
Appraise the value of any amenities such as a swimming pool finished basement or built-in bar Note any health or safety code violations for the appraisal report Record the layout of the. Bill has helped people move in and out of many Metrowest towns for the last 34 Years. The above Real Estate information on what home appraisers look for during a real estate appraisal was provided by Bill Gassett a Nationally recognized leader in his fieldBill can be reached via email at email protected or by phone at 508-625-0191.
October 09 2006 Ohio Appraiser Board Revokes License for Five Violations.