Displaying posts tagged with

“Appraisal”

Nov
9
2009

MLS Misrepresentations of Distressed Properties’ Conditions are Causing Inaccurate Appraisals


  Listing photographs of short sale properties almost always represent the condition that a property ’was‘ in, not ‘is‘ in. Predictably, over time, differences in a property’s condition can be quite significant.  Unfortunately, appraisers do not visually inspect all of the properties that they use as ‘comparables’ when estimating the value of pristine properties.  Instead, they rely on MLS photographs of nearby properties and then make [...]

Oct
24
2009

Housing Valuation Ratios: Price To Income, Price To Rent And The “Mystery Component” Price Formula


  Many economists believe we still have further house price depreciation ahead of us. Price metrics have not yet come back in line with historical averages, and until sound metrics return, they opine, house prices will not have reached bottom. One metric used to gauge pricing fundamentals is the Price to Income ratio, which according to HSBC research, deviated dramatically in the 2000-2005 period. Overall, the U.S. median [...]