The appraiser, real estate agent relationship is often an uneasy one. The lack of true understanding of the appraisal process creates this unease when values do not arrive where the real estate agent was thinking. They are killing our deals! is often the sentiment following such an issue.
Hank Miller, an associate broker and certified appraiser in Atlanta, Ga., and lead agent for HMT Atlanta, made this case in a post on Inman and provided some tips for real estate agents.
“It’s important to note that appraisals are a ‘look back.’ While consideration is given to active and pending comps, closed sales are given most support,” Miller noted.
Some of his tips during the appraisal communication process included:
- Understand the appraiser’s role, requirements and what underwriters expect. If nothing else, understand what they are required to look for when considering comparable data for the report.
- Meet the agent at the listing if possible. Agents can talk with an appraiser, but they cannot exert undue influence. Give the agent an info packet on the area, home and the contract, and include appropriate comps that might be considered. Leave a packet of info if you don’t meet them.
- No discussion should last more than five to 10 minutes. Everything you touch on should be in the packet you give them. Do not sell the appraiser — just point out things that might not be obvious. Be certain to leave your contact info and respond as/if needed.
- Don’t try to exert any type of authority or expertise. The appraiser could care less if you are a “top agent.” They are there to complete the appraisal. Be a peer and be helpful, then leave. The data speaks louder and more effectively than anything said.