Appraisal Matters

We use MRIS, a large regional multiple listing service. Here are our rules for using the system; they also apply to other MLS systems:

1. Consider the source - brokers don’t always report a property type correctly. For instance, is a converted home residential or commercial? Is an industrial condominium that is used/converted to an office, an office condominium? It’s not uncommon to search more than once with different property type classifications.
2. Never trust the closing date. If the deal doesn’t close, many brokers don’t update the closing date. What incentive do they have? You need to call to verify if it closed, if it doesn’t show up in the tax record.
3. Many fields are only sparsely populated. For instance, ceiling height, sprinklers, year built, etc. If you put in these parameters, you will miss comps because the information is not in there.
4. Search with wide parameters. See the rule above.
5. What is it like inside? The MLS record is often the only source for getting this information to help adjust for condition. Beware of the broker’s bias, though (hopefully you’ll be able to contact the buyer or seller, but if not, the broker may be your only source.
6. Never trust the mapping features. Some brokers are lazy and do not take the time and effort to put in the exact location if the property address does not immediately geocode. Although they could use Google Maps to get an exact match, they frequently don’t make the effort.

John Simpson, MAI