Thinking Outside the Form: Tools, Techniques, and Opportunities for Residential Appraising
Almost everyone is familiar with the now worn-out phrase, “thinking outside the box.” It is an attempt to encourage people to be creative by moving beyond the simple and the routine. This seminar coins a new, similar phrase for residential real estate appraisers: “thinking outside the form.” Designed with a three-fold purpose: to review appraisal standards required for appraisal reporting; to provide practical ways to supplement residential report forms with techniques and examples that improve compliance with appraisal standards and produce meaningful and understandable reports; and to suggest and promote alternatives to mortgage appraisal assignments and encourage residential appraisers to search for new appraisal products and business opportunities.
Prioritize and apply pertinent parts of the Uniform Standards for Professional Appraisal Practice that govern effective appraisal communication. Discern the meaning of terms such as summarize, analyze, and meaningful, as they relate to professional appraisal standards. Perform and report a higher level of market analysis than is typically required by preprinted residential appraisal report forms. Recognize the value of spreadsheets, charts, and graphs in supporting assignment conclusions. Write an effective highest and best use summary. Identify and apply six critical tests for appropriate selection of comparable sales in the sales comparison approach. Provide real-world solutions to appraisal problems regarding comparable selection. Recognize the advantages of qualitative sales comparison analysis and use qualitative techniques to provide credible assignment results when data for quantitative analysis is limited. Support adjustments in the sales comparison approach using tools, techniques, and methods derived from market analysis. Improve on the development and reporting of the cost and income capitalization approaches in residential appraisal assignments. Benefit from using the restricted appraisal report format in non-mortgage residential appraisal assignments. Recognize the process of reconciliation as one of the most useful tools available to the appraiser for analyzing, summarizing, and supporting conclusions in the appraisal report.
