So Cal's Housing Market on the Rise Signaling Good News for Real Estate Appraisers

There is good news for real estate appraisers.

Southern California's home sales increased over year-ago levels for the first time since September 2005, climbing above 20,000 transactions for the first time in 13 months. After having gone without a sales increase for a record 33 months and sales down every month but February 2007, things are starting to look up.

DataQuick reported that home buyers are taking advantage of discounted prices and buying foreclosure properties in more affordable areas. Although this has led to a decrease in the median price, it has driven up sales numbers. Foreclosures accounted for 44% of all resales.

With every house sale requiring a home appraisal, this opens the door to opportunities in real estate appraisal. The increased activity will eventually lead to an upswing in the real estate market -- leading to more opportunities for the licensed appraiser.

It's the perfect time to start an appraisal career and be prepared for opportunities on the horizon!

Labels: California real estate, California real estate appraisal, Real Estate Appraisers

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Federal Housing Bill Leads to a Higher Standard of Real Estate Appraisals

President George Bush recently signed a comprehensive bill into law in an effort to halt the rising number of home foreclosures. In addition to several large housing-related initiatives, the bill contains provisions that reinforce the importance of competent real estate appraisals to the mortgage lending process.

The part of the bill that pertains to appraisers is the Federal Housing Finance Regulatory Reform Act, H.R. 3221. The act amends the FHA Appraiser Roster requirements by requiring certification by a state or "a nationally-recognized professional appraisal organization" as well as "demonstrate verifiable education in FHA appraisal requirements."

H.R. 3221 is welcomed by the Appraisal Institute, as it promotes the use of highly- qualified real estate appraisers to address today's valuation issues. Bill Garber, Director of Government and External Affairs for the Appraisal Institute, says that, "Our organization believes that quality valuations performed by competent and ethical appraisers are an essential part of government guaranteed loans and we're delighted that Congress has taken steps to ensure the government's lending policies are safeguarded."

Most importantly, the bill prevents other people interested in real estate transactions -- from lenders to bankers -- from trying to influence appraisers. This provision protects appraisers working under the Hope for Homeowners Program and the FHA Appraiser Roster.

The Hope for Homeowners Act came to fruition under H.R. 3221. It is a voluntary program that allows homeowners facing foreclosure to refinance into a more affordable, secure FHA-backed mortgage. It requires that all appraisals done under this program be conducted in accordance to Title XI of FIRREA and performed by an appraiser who meets the competency requirements of the Uniform Standards of Professional Appraisal Practice.

"This is the first step in working to make appraisal standards uniform across the nation," Senator Mel Martinez, R-Fla, said. "This provision strengthens standards for FHA appraisals and ensures the integrity of the new FHA program that offers foreclosure assistance."

Labels: Federal Housing Finance Regulatory Reform Act, Home Foreclosure, Real Estate, Real Estate Appraisers

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Types of Appraisal Reports

The appraisal report is a detailed description of the process the appraiser used in estimating the value of a specific property. An appraiser collects market data and thoroughly analyzes it using industry-standard methods. Based on the analysis, a value is determined for the property and presented in an appraisal report.

Appraisal reports can take different forms depending on how the information will be used. However, each report includes standard sections and types of information -- this can include an introduction, factual descriptions, data analysis, the appraiser's opinions, and an addendum.

The appraisal report is designed to provide information to assist people making real estate decisions. They can be complex and include detailed analyses of market data and procedures for estimating value. The report should always provide information in a clear and effective manner.

Types of Appraisal Reports

Oral report -- This report is used when the client does not need a formal written report. It should include a description of the property and the facts, assumptions, conditions, and reasoning on which the conclusion is based. The appraiser should keep detailed notes and data providing written evidence of his or her analysis and conclusions.

Letter report -- This report usually contains the appraiser's investigations and analyses only. Certain items must be included, such as the certificate, property identification, valuation date, limiting conditions, indication of the contributions of others, and a statement of non-bias. Please note that use of the letter report is limited.

Letter-form appraisal report -- This report is primarily used by governmental and financial institutions. The form provides a clear-cut way to locate information and ensures that no item required in the review process is omitted. However, it restricts additional information, which must be introduced as a supplement.

Narrative report -- This report provides the most complete appraisal information and is the most commonly used by appraisers. It provides a thorough documentation of all reasoning and data in the appraisal process (within financially feasible constraints). The report includes four parts: introduction, factual descriptions, data analysis and appraiser's opinions, and addendum.

Whatever type of report the appraiser decides to use, he or she should ensure that all of the included information provides the client with an understanding of the basis for determining the value. The sections should be tied together and lead to a clear-cut, reason-based conclusion.

Labels: Appraisal License, Appraisal Report, Real Estate Appraisers

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Top Reasons to Get Your Appraisal License Now

Now is the perfect time to start a career as a real estate appraiser. A licensed real estate appraiser is a necessary part of every real estate transaction. Each year, countless people buy, sell or refinance their homes. It is a flexible, challenging and vital career that enables you to build a solid future. There are new 2008 regulations approaching - take advantage of options that can lead you to your new career.

- Receive a complete appraisal education ahead of everyone else: A solid foundation is essential for success as a real estate appraiser -- a strong educational background can lead to a rewarding career. The new 150-hour educational requirements provide you with the tools to complete your appraisal training and pass the state exam. Meet your state appraisal requirements before the competition -- the 150 hours are available now!

- Partner with a quality mentor -- A quality mentor can help you fulfill your required hours and give you an advantage in your appraisal career. Make sure that you get paired with a qualified appraiser -- you'll receive valuable hands-on experience that prepares you to transition into a job.

- Be essential to the real estate market: Appraisal services are a vital part of the real estate process -- no home can be sold without an appraiser. You will play an integral role throughout the entire real estate field as a licensed real estate appraiser.

- Increase your opportunities with refinance appraisals: Even in a slow market, there is refinance activity -- your services will be in demand. When people refinance their home, a real estate appraisal is essential, providing an accurate value of the home.

- Start a challenging career: A real estate appraisal career is perfect for individuals looking for a stimulating and thought-provoking opportunity -- those that like to rise to the challenge.

- Enjoy a flexible schedule -- A career as a licensed appraiser affords you the opportunity to set your own schedule. You are not bound to a specific set of hours --arrange your appraisals at times that work for you. Enjoy flexibility in your life with a career that works around your schedule.

- Be your own boss: Imagine being in control of your appraisal career. That is what it's like to be a real estate appraiser. You are in business for yourself, with the ability to make decisions about your future. Marketing, managing and growing your business are all up to you -- you are in charge!

- Work out in the field: As a residential real estate appraiser, you can enjoy work in a variety of settings -- you aren't confined to a desk all day. Enjoy working outside and meeting new people on a daily basis.

- Have a different day, every day -- As an appraiser, each day is different -- you will appraise different houses in different neighborhoods and interact with different people. One day might be spent in the field, while the next is spent in the office preparing your reports. Enjoy a career that offers variety in your workday.

Labels: Appraisal License, real estate appraisal school, Real Estate Appraisers

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Real Estate Appraisal - A Rewarding Career Choice

Appraisers are in Demand
The continued boom in real estate has caused an increase in demand for real estate professionals nationwide. One of the professions benefiting most from this boom is Real Estate Appraisal. Real estate appraisers play an important role in the real estate industry. Their assessment of real estate directly affects the approval of mortgage loans and the final selling price of homes. Their importance in real estate, combined with the current real estate boom, has significantly increased the demand for their services. There’s never been a better time to become a real estate appraiser!

Working as an Appraiser
Real estate appraisers appraise homes based on location, upgrades, the average neighborhood home value, and the current demand for homes in the area. Most appraisers work for large appraisal companies, however, some work directly for banks and even run their own real estate appraisal businesses. But regardless of whom you work for, career opportunity and success is high in real estate appraisal.

Becoming an Appraiser
Real estate appraisers must be licensed by the state. To get your state license, you need to complete a state-approved real estate pre-licensing education course and then pass the state exam.

If you want to enter the exciting field of real estate appraisal, call Allied Appraisal School. Allied offers a convenient state-approved appraisal licensing course you can take from home. Allied’s Appraiser License course is approved in California, Colorado, the District of Columbia, Idaho, Iowa, Louisiana, Nevada (only 75 hr), New Hampshire (only 75 hr), South Dakota, Virginia, and Washington.

Labels: Real Estate Appraisers

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