When is an appraisal not an appraisal?

Once upon a time, not too long ago and in a land not too far away, lived a couple.

*idyllic music*

They had just bought their first ever RV from a private seller, and decided to get an appraisal from a local dealer.

*more idyllic music*

The local dealer took the Motor Vehicle Appraisal Form and wrote on it. Then he checked off a few boxes.

*idyllic music slows*

Then he came to the box marked Appraised Value, looked the owner in the eye and asked:

‘How much do you want it to be worth?’

*ghastly screech as idyllic music abruptly halts*

The dealer then wrote down the value that the owner had paid for the RV.

The RV owner’s insurance company then instructed them to get an accredited appraiser to do the job.

That was me.

When I saw this report, I questioned the owner about contradictory information that the dealer had supplied in their report. Turns out, they had only looked at the RV from a distance; they didn’t even go inside!

That, in conjunction with asking the value that the owner wanted them to find for the RV, sat very poorly. I wasn’t the only one to cringe; the RV salesmen I discussed this matter with did, too.

Prior to the appraisal, I performed due diligence by reading up on RVs in general, the specific class of RV I would be appraising, visited dealerships and spoke to senior salesmen.

During my appraisal I made notes on everything, took numerous photos inside and out and made note of what little damage there was to the RV. Then I dug up comparables, put my report together and submitted it to both the owners and their insurance company.

As a Canadian Personal Property Appraiser, it is critical that I adhere to a very strong code of conduct and ethics. That includes being a completely neutral third party; I was not asked to find a specific value and would have refused to do so anyway.

I found its value based on research, not what the client wanted it to be worth.

Had I performed an ‘appraisal’ like the one performed by the dealer, and that report gets audited, I would at the very least get a severe warning if not stripped of my credentials. My reputation as an honest, thorough and ethical appraiser is on the line.

So, in closing, be wary of any appraiser who is quick to simply tick off boxes and asks what value you would like to have found…especially if they don’t even examine the item of appraisal closely.

That’s all for now folks!