Mortgage Broker is the magazine of the Canadian Mortgage Brokers Association and showcases the multi-billion dollar mortgage-broking industry to all levels of government, associated organizations and other interested individuals.
Issue link: http://digital.canadawide.com/i/505959
30 | mbabc.ca MORTGAGEBROKER fraudprevention report altered by a builder, prior to sending it to their lender. In this case, the builder was not the client for this assignment, but instead used a previous progress report prepared by an appraiser and altered it. e lender questioned the percentage complete and sent an employee to inspect the site. ey discovered that construction had not started. In this case, both the appraiser and the lender reported the builder, who was a long-time client of both, to the local authorities. In the example below, the lender contacts the appraiser regarding his signature that appeared to be tampered with. Upon review, the appraiser comments that the whole certi cation had been "whited-out," but more importantly, that the value had been altered and increased from $1,025,000 to $1,225,000. New trends With the changes in the mortgage underwriting rules two years ago by the O ce of the Superintendent of Financial Institutions (OSFI), it has become increasingly di cult for more leveraged borrowers to access high ratio nancing through mortgage insurers. is has resulted in a shi of the business from insured nancing to increased second, and at times, third mortgage nancing. With that comes the requirement for professional onsite appraisals, as good lending due diligence, to help mitigate against any collateral and/or borrower risk. O en, brokers do not know who the lender/ intended user will be and "they are shopping the deal" – but, while they shop, they need an appraisal. Under the Canadian Uniform Standards of Professional Appraisal Practice SUPERVISORY APPRAISER'S CERTIFICATION If a supervisory appraiser has signed this appraisal report, he or she certifi es and agrees that "I directly supervised the appraiser who prepared this appraisal report and, having reviewed the report agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifi cation and am taking full responsibility for the appraisal and the appraisal report." PROPERTY IDENTIFICATION ADDRESS: ____________________________________________ CITY: ________________________ PROVINCE: ________ POSTAL CODE: ___________________ LEGAL DESCRIPTION: ___________________________________________________________________________________________________________________________ AS A RESULT OF MY APPRAISAL AND ANALYSIS OF ALL APPLICABLE DATA AND RELEVANT FACTORS, IT IS MY CONCLUSION THAT THE MARKET VALUE OF THE INTEREST IN THE SUBJECT PROPERTY AS AT _____________________________________________ E ective Date of the Appraisal) $_____________________________________________ APPRAISER SUPERVISORY APPRAISER if applicable) SIGNATURE: SIGNATURE: NAME: ____________________________________________________________ NAME: __________________________________________________________________ DESIGNATION: ______________________________________________________ DESIGNATION: ____________________________________________________________ DATE SIGNED: ______________________________________________________ DATE SIGNED: ____________________________________________________________ DATE OF INSPECTION: ________________________________________________ DATE OF INSPECTION: ______________________________________________________ LICENSE INFO: where applicable) ________________________________________ LICENSE INFO: where applicable) _____________________________________________ NOTE: For this appraisal to be valid, an original or a password protected digital signature is required. NOTE: For this appraisal to be valid, an original or a password protected digital signature is required. ATTACHMENTS: ADDITIONAL SALES EXTRAORDINARY ITEMS ADDENDUM NARRATIVE ADDENDUM PHOTO ADDENDUM SKETCH ADDENDUM MAP ADDENDUM ________________________________ ________________________________ ________________________________ ________________________________ CERTIFICATION PPRAISER SUPERVISORY APPRAISER SIGNATURE: SIGNATURE: ____________________________________________________________