I've been a contractor since 1972 and an accredited appraiser and real estate broker since 1990 and a HERS Rater since 2006. I'd like to know why everyone thinks poking sharp sticks at appraisers will get you more help? If I came to your job and started telling you how to do your business do you think I'd get your cooporation? I think a lump sum line adjustment will be easier to get into the mainstream valuation arena. Appraisals are not Energy Reports. Most appraisers aren't energy raters and most raters aren't appraisers but I am.

The key word is experience. Appraisers have guidelines set by federal & state authorites and then the banks usually have additional guidelines. There are guidelines on line adjustments. The golden rule is that the people who have the gold (banks) make the rules. Appraisers are made scape goats on both sides of the fence, appraisers jobs are much harder than the average energy rater can imagine. You may think you know but you don't.

There are alot of newbies in the energy business and a lot more that only think they know what they're doing. I've inspected too many new homes that had efficiency labels that shouldn't have. There are widespread problems in the weatherization program. When you start the blame game it can go on and on. Remember when you're pointing fingers at someone you have three more pointing back at yourself.

Valuation is an opinion of the markets reaction based on willing buyers making decisions of comparison and substitution. Why pay a dollor more for the same thing you can get for less. Value is reached by comparing what people pay for it. Have you asked the builder why he isn't marking up the energy efficient items and selling them as a premium option rather than sweeping it under the granite counter tops. Go ask the buyers why they aren't offering more money for what you're doing in energy efficiency. Convince the banks that they should be doing more to promote EEMs and change the regulation and guideline restrictions they put on appraisers. Banks are getting more than one appraisal and many times it doesn't include an inspection, then they're underwriter makes the final decision not the appraiser. Work on competency and ethics in your own field. Go to congress and ask them why they don't write better laws concerning building codes that should be in place already for energy efficiency. 

FNMA forms are the only ones that count in conventional loans. FHA has been doing energy efficiency loans since the 1980's. This ain't nothin new folks it's just more high tech; like everything else it still has the old stigmas attached by the money mongrels, no matter what, it's business as usual when they're making the money and the laws. Go tell the stock market how they should be making more investments in our energy economy. Let me know how that goes. Energy efficiency is a good thing, how is your PR marketing it to the consumer to change their minds? That's where the buck stops.

 

 

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Comment by William H Nickerson on October 13, 2011 at 2:03pm

I personally had to take down yrs worth of solar hot water project do to fear of the recent appracer not seeing as a positive.Good thing because he wrote up my geothermal as a new HP,the triple pane windows as replacements and my sealed combustion tankless as just a new water heater.when I asked him about valueing solar panels on a roof he said there has to be comperable homes sold with panels to rate them.So 20-50K4would be worth nothing.I hear your frustration but you also seem better positioned to make a change that we all seek to happen.

You write that there is big problems in the weatherization industry.I would like to hear more about that offline of the blog,Bill N  

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