Part 3 of Mary Thompson's valuable series on the changes in the appraisal system and what real estate agents can do to help provide data for the appraisal. Read parts 1 and 2 first.
If you have not seen my prior post on the UAD and how it affects you please go here now.
UAD is now in effect. I have already seen some Realtors adding comments in the FMLS/MLS system about renovations and updates to the home, especially kitchens and baths, which all appraisers must include in their reports effective 9/1/2011. So thanks to those who are doing this now!
The other thing that was not noted in my prior blog that also needs to be addressed either under the photos or in your FMLS comments is the number of other rooms finished in the basement aside from bedrooms and baths. We need the total number of other rooms or you can label them in your photos, ie: Theater, Kitchen, Family Room, Rec Room,etc. We have to know how many other rooms are FINISHED in the basement for all of our appraisal reports.
The good news about this is that owners may wind up getting more credit for rooms finished in the basements such as kitchens, theaters, baths, etc. Before we just looked at the total heated square footage and gave a per square foot adjustment depending upon quality and finish work, but now if we have details on what is finished in the basement, if the subject has more high end rooms finished such as kitchens and theater rooms that cost BIG bucks as opposed to just bedrooms, we can justify giving credit where credit is due for these basement variances. So do your sellers a favor and include this date in ALL of your listings.
Please take those photos of the basements and label them and remember give us the year the kitchens and baths were renovated and to what extent. This will save you lots of time from having to return calls to appraisers who need this information.
Thanks guys, Pass this along to all you know and make sure you pass along my other Blogs on this topic.