Discussion in 'General Appraisal Discussion' started by dfwarsenal, Oct 20, 2010.
client doesent understant why the appraised value is not the highest comp in report,
That's why they ask for three. If they needed only one, then you could use just the highest one.
wish that would work but it wont.
Work in what way? The highest sale in the grid is not necessarily just like the subject. Did you make adjustments? Were there any differences in that sale and your subject? Even if it was identical, the one sale comp still applies. The typical buyer will look at more than one listing won't they? There will be differences in the listings and differences in the sales and sales prices, because each seller/buyer has different motivations.
What floats my boat may not put out to sea with another buyer. If your subject is identical to the highest comp, you are permitted to give more weight or reliance on that one, as long as you explain why. It would have to be pretty darn similar (or identical) to give that much reliance.
And, BTW, it sounds like someone is pressuring you into a higher value and that is a big no-no.
yes they want higher value and have explaned to them why there is a low comp high comp etc. The differences and adjustments I also explaned. They still arent happy,
Send them this
Because the Definition of Market Value references the "most probable" sales price--not the highest. There can be a plethora of reasons why the final value is not the highest.
Well, it sounds like you did your best. Wait until you get called names. At least the HVCC has prohibited anyone from yelling at me on the phone lately......even though there was no enforcement.
It sounds like you are fairly new if you have avoided having people get angry at you. My advice to you is......do you want to risk your license and your life's work to make that person happy? If it is a good client, you must try to maintain your professionalism and good clients typically don't pressure you over one appraisal and something as obvious as that. If they don't understand, then there is little you can do. Just avoid getting into shouting matches (I didn't always ) Simply tell them that you have required guidelines and procedures that you must follow. It doesn't sound like they would ever understand what you are saying, so it is useless to argue.
The value we seek is not the highest possible price, but the most probable price it wouls sell for, yadda, yadda, yadda.
The reconciliation should explain in detail why your opinion of value isn't on the high side of the adjusted comparable range.