Marty Boardman

The real kiss of death for any real estate transaction is the ‘desk’ or ‘field’ review appraisal. Last month I had a deal killed because the desk review came in $32,000 below the full appraisal. To make matters worse, the desk review was done by an unlicensed appraiser from 360 miles away. The lender used this desk review to trump the original appraisal and the deal went up in smoke. Someone pointed out to me that the lenders are using these reviews like a home buyer uses the 10 day inspection period. If there is anything in the file the underwriter doesn’t like they use the desk review to weasel out of the loan. While I believe in the golden rule (whoever has the gold makes the rules), it is unfair to everyone involved in the transaction to go 25-35 days into escrow and then have the lender back out. There should be financial consequences for lender in this case. Marty Boardman Rising Sun Real Estate Group, LLC http://www.freerealestateeducation.com

I asked a VA appraiser recently if he knew how property values go up. He had no idea. Everyone knows how property values go down. But how do they go up if all that is ever used is historical data (comps)? Real estate values would always remain the same right? The HVCC is killing the real estate market recovery but entire appraisal process must be changed. Marty Boardman Rising Sun Real Estate Group, LLC www.freerealestateeduction.com (602) 319-5391

I find it surprising that 74% of homeowners agree that the rules of their HOA “protect and enhance” their community. I rarely meet a client who feels this way. From what I have seen the HOA boards are more concerned with flexing their muscles than they are with preserving their neighborhoods. Last year I had a client who was upside down on their home. We got a respectable offer that the bank approved. The HOA demanded that we repaint the home. If the home was not repainted the fine would be transferred to the new buyer. Keep in mind that I live in Arizona where it never rains and the home was only four years old. It did NOT need to be repainted. The HOA was willing to kill this deal over a paint job. So rather than gaining a new homeowner in their community that was going to keep up the home and pay their dues the HOA wound up with yet another liability. And because of these foreclosures the HOAs are trying to fill their bank accounts back up by gouging the new buyers and sellers. They are charging outrageous transfer, disclosure and future advance fees. Last month a client of mine paid more than $1,100 in fees. Talk about cutting off your nose to spite your face. Marty Boardman Rising Sun Real Estate Group, LLC My Blog: http://www.freerealestateeducation.com (602) 319-5391