Opinions of Value

Your source for appraisal news and trends

Tips for Success in ‘Green’ Valuation

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The future for residential and commercial properties shows that all lights are “green” for energy-efficient valuation. As green and energy-efficient buildings become increasingly mainstream, appraisers who are regarded as knowledgeable and experienced in this area of practice Green_Valuation_1may find new opportunities for assignments.

The majority of construction firms of single-family homes responding to a McGraw-Hill Construction survey reported that more than 15 percent of their projects are green, with that number expected to rise to 84 percent by 2018. Green also is growing in commercial construction with 40 to 48 percent of nonresidential construction being classified in that category.

The Appraisal Institute is providing the tools appraisers need to hone their skills, to be recognized as leaders in green valuation and to provide clients with the most current information available.

[Read more…]

AI Addresses ‘Green’ Issues at White House Roundtable

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I’m excited to share that the Appraisal Institute has secured a terrific general session speaker for its 2014 Annual Meeting, taking place August 4-6 at the Hilton Austin in Texas! Registration is now open, so be sure to sign up today.

AI Announces Annual Meeting Speaker

Mark G. Dotzour, Ph.D., chief economist and director of research for the Real Estate Center at Texas A&M University in College Station, Texas, has accepted our invitation to speak at a general session of the 2014 Annual Meeting. As chief economist, he is currently doing market research to monitor how global and national trends are likely to impact residential and commercial real estate markets, and he will share his insights with Annual Meeting attendees.

Attendees will experience first-class education and extensive networking options, the opportunity to earn Appraisal Institute CE credit and state credit, cutting-edge exhibits from valuation profession vendors, an awards dinner honoring top valuation professionals and the chance to explore numerous social and recreational activities in Austin.

Learn more about the 2014 Annual Meeting and register today. [Read more…]

What’s New in Real Estate Valuation Education

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In the organization’s latest video, the Appraisal Institute invited Craig Harrington, SRA, chair of the AI’s Education Committee, to discuss what’s new in AI’s real estate valuation education offerings, which include classroom and online courses, seminars and webinars covering commercial, residential and combined topics. The AI also addresses the Uniform Standards of Professional Appraisal Practice, commonly known as USPAP. [Read more…]

Not All ‘Green’ Created Equal

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The popularity of green building continues to rise, as more property owners opt for green features. However, green features can often be difficult to classify, and can be even harder to value. [Read more…]

Consumer Interest in Solar on the Rise: Appraisers Must Keep Up

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Recent signs show the popularity of green home features is growing, and solar power is no exception. 2012 saw the demand for solar panels more than double, with the U.S. poised to become one of the biggest markets. Along with reduced costs for consumers and better environmental implications, this rapid growth in popularity also ushers in a whole new set of terminology and valuation issues for appraisers evaluating solar features. [Read more…]

What is the Value of ‘Green’?

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An academic study released last year found that homes with green labels provide a market premium of 9 percent compared to similar homes without the labels.

The study, “The Value of Green Labels in the California Housing Market,” examined how green and energy efficient features impacted the sale price of homes in California. It was published by Nils Kok, Maastricht University, Netherlands/University of California, Berkeley; and Matthew E. Kahn, University of California, Los Angeles.

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[Read more…]

Candidate for Designation Advisors Needed

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This month I would like to tell you about an easy way that you can share your knowledge and experience while giving back to the valuation profession.

Will you consider giving back a little to the profession that has given you so much?

The Appraisal Institute is seeking Designated members to serve as Advisors for Candidates for Designation. Before thinking you don’t have time, consider the following:

  • To become an Advisor, you need merely take a short (less than one hour) online orientation course.
  • You can choose how many Candidates for Designation you’d like to advise – from one to 10 individuals.
  • Each Candidate for Designation will require a minimum of just four phone calls, emails or visits per year.

Your achievement of a prestigious Appraisal Institute designation undoubtedly has helped you reap many benefits over the years. By encouraging AI Candidates for Designation and monitoring their progress as needed – encouraging Candidates to manage their own learning and guiding them to appropriate resources – you will help secure the future of the Appraisal Institute and will help elevate the professionalism of other appraisers. And you may earn up to 25 hours of AI continuing education credit!

Please take a moment now to view the free online Advisor orientation on the Appraisal Institute website.

It’s important that you act now. Please respond before Nov. 15. And thank you in advance for your participation!

Also, don’t forget that the Appraisal Institute is offering a program fee discount of

$25 to those who enroll by Oct. 31.

For more information, visit the Candidate for Designation page or email admissions@appraisalinstitute.org.

AI Refutes Realtor Claims on ‘Low’ Appraisals

In response to the National Association of Realtors again blaming faulty appraisals for holding back the housing recovery, AI spoke with key national media outlets to refute these claims and to set the record straight. AI was quoted in The New York Times, The Washington Post and other major media outlets. Visit the members-only AI in the News section on the Appraisal Institute’s website to see all recent media coverage.

As part of that effort, I had the opportunity to tape an interview with the National Association of Realtors’ “Real Estate Today” program, which will air this weekend on 180 stations in all 50 states, along with Sirius XM satellite radio (XM channel 168) and on 11,000 Realtor web sites. During the interview, I addressed how homeowners can help improve the appraisal value of their property, discussed how Realtors can work effectively with appraisers, and cleared up misconceptions about so-called “low” appraisals “killing” home sales.

Click here to see a state-by-state list of stations and times; I hope you’ll tune in and listen to the interview this weekend.

AI to Work with Colorado on Valuing ‘Green’ Homes
 
The Appraisal Institute has signed a memorandum of understanding with the state of Colorado to promote a wide use of tools to document home energy features. The groups also will jointly develop valuation studies.

The memorandum of understanding, signed by Colorado Gov. John Hickenlooper and Appraisal Institute CEO Frederick H. Grubbe, seeks to address a need for data in valuing homes with green and energy-efficient features. Click here to see the MOU.
 
Other News Around AI

And finally, here’s some other important news from the Appraisal Institute:

  • The Appraisal Institute has published a book. “Self Storage Economics and Appraisal” will be available Oct. 29. Click here to purchase.
  • The Appraisal Institute is now offering two online courses: “Introduction to Green Buildings: Principles & Concepts” and “Case Studies in Appraising Green Residential Buildings.” Learn more about these courses and AI’s Valuation of Sustainable Buildings Professional Development Program here.
  • AI has created a Knowledge Center, which is available on the website. The Knowledge Center features programs developed by the Appraisal Institute, and downloadable electronic materials are immediately accessible.

If you have an “opinion of value,” please share your comments.

Appraisal Institute Agrees to Work with State of Colorado on Valuing ‘Green’ Homes

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The nation’s largest professional association of real estate appraisers has signed a memorandum of understanding with the state of Colorado to promote a wide use of tools to document home energy features. The groups also will jointly develop valuation studies.

The Appraisal Institute will work with the Colorado Energy Office to identify Colorado market-specific trends in energy valuation. The organizations plan to collect information about the impact of energy efficiency on the residential real estate market and to share that data as trends emerge.

The memorandum of understanding, signed by Colorado Gov. John Hickenlooper and Appraisal Institute CEO Frederick H. Grubbe, seeks to address a need for data in valuing homes with green and energy-efficient features. In addition to aiding appraisers, that data can help consumers decide which improvements to pursue as they seek to maximize the value of their homes. [Read more…]

AI Urges FHFA Action on Enterprise Underwriting Standards

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The Appraisal Institute sent a letter to the Federal Housing Finance Agency Sept. 13 urging it to integrate a credible appraisal process into any plan involving loans backing properties with sustainable or energy-efficient features.

The letter was in regard to the Property Assessed Clean Energy program whose purpose is to encourage residential property owners to make energy-efficient improvements to their residences and finance those improvements through a tax lien. [Read more…]