Appraisal Report Quality Check

QC

Appraisal Report Review-Quality Check

Appraisal reviews serve many important purposes. One of the difficulties that reviewers face in appraisal practice is recognizing that it is the work product being reviewed, and not the appraiser.

USPAP defines appraisal review as:

It is the process of developing and communicating one's opinion about the quality of the work performed by another appraiser in the course of an appraisal or appraisal review assignment.

Why are appraisal reviews needed?

Seven reasons why appraisal reviews are useful and necessary:

1) A professional review of an appraiser’s work often makes sense as a prudent business practice for users of appraisal services. It is not unusual for clients in other professions to seek second opinions, so the appraisal profession is no different.
2) An appraisal review serves as a tool in measuring the credibility of the report by determining whether it supports a relevant development process.
3) The review serves as a test of reasonableness to see if the methods and techniques used are appropriate to the assignment.
4) An appraisal review can reinforce a client’s confidence in the appraisal report. The reviewer ascertains whether appropriate data has been gathered and examined, if the data has been analyzed logically, and whether the conclusions are consistent with the information presented in the report.
5) A review can help a lending institution client manage risk. Descriptive portions of a report can alert the lender to any additional risks associated with the property, while the value conclusions lend credence to the business decision.
6) Appraisal reviews are helpful in supporting litigation and dispute resolution matters. Often, more than one appraisal report is prepared in these instances. Appraisal reviews lend credibility to conclusions of each, or demonstrate shortcomings.
7) Appraisal reviews are used to assess work products of appraisers for clients who have little knowledge of appraisal and/or have no internal appraisal capabilities.

Appraisal Report Review Key Features

Perform 100% Manual Review
Highly trained professionals/reviewers
Well versed with different appraisal forms, Lender Requirements
Follow client/lender customized checklist
Multi-level quality assurance checks
Using ValuTrac, Engage, Mercury, eTrac k, Appraisalscope, Anow etc.

Ensure Accurate & Error free Appraisal Report delivery
Quick turn time: 2 Hrs & RUSH within an Hr.
Weekly/Monthly Feedback Analysis with client & team
Handling 10000+ files per month
24*7 support (Call, Email, Chat, Skype)

Types Of Appraisal Review Reports:

The three most common report types include:

Fannie Mae 2000 (Freddie Mac 1032): One-Unit Residential Appraisal Field Review Report is the most commonly requested type of report for quality control and compliance for single-unit properties.
Fannie Mae 2000A (Freddie Mac 1072): Two-to-Four Unit Residential Field Review Form is used for small residential income properties.
Forms for other property types are more numerous and less standardized than residential forms. Some client groups have developed their own forms to meet their specific needs.
Software providers offer a variety of residential and commercial review forms for various types of appraisal reviews.
All forms should be checked for USPAP compliance and supplemented when necessary.

Customized checklist is used as per client/lender to meet their requirements.

Reviewer generally creates his or her own format, although there are some software providers who offer narrative report formats.
Content must comply with appropriate USPAP Standards.
Narrative reports must meet the needs of the client and any other intended users.

Having a team of trained reviewers, we can provide a thorough review of any residential report and deliver it to the lender or resend it to the appraisers for corrections (if not in compliance with the client's requirements). Apart from reviewing appraisal reports in compliance with UAD, the team is also knowledgeable about UCDP (Uniform Collateral Data Portal).