A series of forms are being released by the [Appraisal Institute] to address the needs of its members will be ready for use on January 1st 2006. Its the first of a series of new forms in development. The revision of all residential appraisal forms by Fannie Mae on November 1st 2005 are not usuable for purposes other than for mortgages unlike in the past. It will fill the void since software vendors would likely discontinue their support for the old FNMA forms in the future. Its a valient effort and the forms look great.
Download a sample watermark protected copy of the form [AI – pdf].
On a lighter note, the final form does not appear to have the complete copyright text at the bottom. You might see that type of presentation on a web site with a link to more disclaimers. You usually see “all rights reserved” as a suffix, but I am not a lawyer. 😉
The forms are tailored toward their members with their logo and have checkboxes for designations, etc. Understandably self-serving so I predict that they will not be universally accepted as a replacement. The opportunity remains for others to develop forms for non-lending purposes.
I think the Appraisal Institute has been short sighted from a marketing perspective and likely squandered an opportunity to make these forms the standard to be used by all. The advertising on the form will only be to their own membership which has its purpose but does not gain new members. A subtle notation at the bottom of the form would have been a far more powerful marketing tool.
Tags: Soapbox Blog, Appraisal Process, Appraisal Forms
While I only spent a few minutes looking it over, I like the proposed form and much of what it details. It really levels the playing field, as it requires residential appraisers to address many issues they tend to gloss over (i.e. scope of work, cost and income approaches, site values, etc.). I also like the fact that the AI is trying to put itself back into the residential appraisal market. If the AI forms are adopted (assuming they produce more forms like the multi-family, condominium, land, cooperative, etc.), it should create greater demand for the AI courses, and I love the AI courses. The only problem is, and it’s a big one, most of the market is not interested in paying the extra money to get such a report. My guess is the old Fannie Mae forms will still be in use for years to come for most of the non-lending work. Overall I believe you are right, and once again the AI has squandered another chance to be developed to its “highest and best use”.