drive-by appraisal

drive-by appraisal

A value estimate made without examining the interior of a property.There is nothing inherently wrong with such an appraisal, as long as it is disclosed.

References in periodicals archive ?
The court considered the Petitioner's appraisal to be a drive-by appraisal of the Property with the limitations inherent therein as they "relate to basic and fundamental elements of the Property." The court found the number and extent of the assumptions and limiting conditions rendered the [Petitioner's] appraisal unreliable and legally insufficient to estimate of the Property's value.
About a year later, the same lender asked the appraiser to perform a drive-by appraisal of the same property for a refinance loan to the same borrower.
For example, a drive-by appraisal of new housing stock is more likely to produce an accurate market price than it would for older, distressed housing stock.
In a drive-by appraisal, the appraiser never goes into the home.
About a year later, the appraiser was called back by the lender to do a drive-by appraisal of the same property in connection with a refinance loan.
The court also was concerned that plaintiff's appraiser had attached no significance to the sale price of the subject property of $19,500,000 within three years of the assessment date, omitted seven fireplaces in the analysis, failed to perform even a drive-by appraisal (limiting the comparables to a computer database search), and lacked familiarity with the prestige of the property's location.
* The Exterior-Only Inspection Individual Condominium Unit Appraisal Report, used as a drive-by appraisal for condos; and
Although neither a complicated nor accurate protocol, it is perhaps useful as a first approximation for some limited purposes-like a drive-by appraisal may be useful as a first approximation for some limited purposes.
The product features faster delivery, significantly lower pricing than a standard drive-by appraisal, and upgrade discounts on traditional appraisal services, according to SMI.
The shortcomings of providing a drive-by appraisal for this type of property are obvious.
In today's world and in an effort to balance cost, quality and competitive advantage, home-equity lenders need valuation products that meet risk guidelines but don't require the cost and time associated with traditional full or drive-by appraisals. With availability of robust data and analytics, hybrid products can now be looked to as a viable alternative.