Mary Cummins, Real Estate Appraiser, Real Estate Appraisal, Los Angeles, California, Mary Cummins.

Mary Cummins is a real estate appraiser in Los Angeles, California with 38+ years of experience. Cummins provides real estate appraisals for banks, lenders, mortgage brokers, Appraisal Management Companies (AMCs), lawyers, Courts, factors and private parties for lending, lawsuits, probate, estate planning, divorce and all types of litigation. Cummins provides 1004, 1073, 1025 and other form reports, narrative reports and historical appraisals besides real estate research and appraisal advice.

Saturday, September 21, 2024

Housing Crisis Solution is Light Touch Density by AEI, Mary Cummins, Real Estate Appraiser

light touch density, housing crisis, mary cummins, american enterprise institute, housing, real estate appraiser, real estate appraisal, single family, duplex,triplex,low density, zoning, multifamily,residential

I fully support light touch density. It will provide more lower cost housing naturally and the government wouldn't have to spend a dime. The plan calls for allowing 1-4 units in single family zones. The new homes blend seamlessly with existing neighborhoods. They look like a single family home from the street yet provide housing for two to four families.

The Forgotten Solution to the Housing Crunch: A Premiere of the AEI Housing Center’s Documentary on Light-Touch Density

"American home prices have risen nearly 50 percent in just four years, and the two sides of the housing reform war haven’t budged an inch. One side wants high-density apartments, and the other opposes changing single-family detached zoning. Is there a third way to keep housing more affordable? One American city suggests there is.

Please join us for the premiere of The Forgotten Solution to the Housing Crunch, a nine-minute documentary that highlights Charlotte, North Carolina, and explains how light-touch density (LTD) can create housing abundance by legalizing small-scale residential development that is compatible with single-family detached neighborhoods. LTD adds homes, but unlike subsidized housing, it requires no subsidies, income limits, rent control, or federal government involvement in zoning decisions. Formal and informal discussions will follow the documentary premiere."

Tobias Peter and Arthur Gailes: Light-Touch Density Data and Case Studies
https://www.aei.org/wp-content/uploads/2024/09/LTD-Video-Premier-Panel-FINAL.pdf?x85095

AEI Housing Center: The Forgotten Solution to the Housing Crunch

https://www.aei.org/events/the-forgotten-solution-to-the-housing-crunch-a-premier-of-the-aei-housing-centers-documentary-on-light-touch-density

Mary Cummins of Cummins Real Estate is a certified residential licensed appraiser in Los Angeles, California. Mary Cummins is licensed by the California Bureau of Real Estate appraisers and has over 35 years of experience.

Mary Cummins, Mary K. Cummins, Mary Katherine Cummins, Mary, Cummins, #marycummins #animaladvocates #losangeles #california #wildlife #wildliferehabilitation #wildliferehabilitator #realestate #realestateappraiser #realestateappraisal #lawsuit real estate, appraiser, appraisal, instructor, teacher, Los Angeles, Santa Monica, Beverly Hills, Pasadena, Brentwood, Bel Air, California, licensed, permitted, certified, single family, condo, condominium, pud, hud, fannie mae, freddie mac, fha, uspap, certified, residential, certified resident, apartment building, multi-family, commercial, industrial, expert witness, civil, criminal, orea, dre, brea insurance, bonded, experienced, bilingual, spanish, english, form, 1004, 2055, 1073, land, raw, acreage, vacant, insurance, cost, income approach, market analysis, comparative, theory, appraisal theory, cost approach, sales, matched pairs, plot, plat, map, diagram, photo, photographs, photography, rear, front, street, subject, comparable, sold, listed, active, pending, expired, cancelled, listing, mls, multiple listing service, claw, themls, historical appraisal, facebook, linkedin

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Mary Cummins

Mary Cummins of Cummins Real Estate Services has been in real estate since 1983, over 35 years. She is licensed by the Bureau of Real Estate Appraisers. Mary Cummins was an agent and broker licensed with the California Department of Real Estate selling residential income, commercial buildings, raw land and homes for Merrill Lynch Realty in Beverly Hills and Westside Properties in Los Angeles before concentrating on appraisals. Mary Cummins currently provides real estate appraisals, expert witness testimony, historical research, legal real estate research for mortgage brokers, banks, lawyers, factors, insurance companies, financial consultants and private individuals. Mary Cummins was born and raised in Southern California. Cummins attended Beverly Hills Good Shepherd Catholic School and Beverly Hills High School. Besides being on the Dean's list, Mary Cummins was a top ten national swimmer and competed on the men's water polo team. Mary Cummins began college at the age of 15 attending the University of Southern California on scholarship, majoring in Psychology/Sociology. http://www.animaladvocates.us http://www.facebook.com/AnimalAdvocatesUSA

Friday, September 20, 2024

Squatters, Graffiti at 7571 Mulholland Drive in Los Angeles, California by Mary Cummins Real Estate Appraiser

squatters, graffiti, vandalism, 7571 mulholland, los angeles, california, taggers, mary cummins, real estate appraiser,real estate appraisal, real estate, bel air, hollywood,

Home at 7571 Mulholland Dr in Los Angeles, California has now been covered in graffiti by the same vandals that vandalized Oceanwide Plaza. You see their tag namesi.e. AKER. Arrest them and make them work graffiti clean up in prison. #graffiti #vandalism #losangeles #california #marycummins #realestateappraiser #realestateappraisal #7571Mulholland

5725 sf home on 18960 sf lot 4 bed 4 bath built 2003. 2018 listed for about $5,000,000. Listed for lease 2020 for $49,000/month. Currently in foreclosure as of August 28, 2024. John Middleton is the owner. He owes $4.75M and home might be worth less than that in its current condition.

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Mary Cummins

Wednesday, September 18, 2024

California Bill CA AB3068 Adaptive reuse: streamlining: incentives. Commercial Adaptive Reuse to Residential by Mary Cummins Real Estate Appraiser

AB 3068 would allegedly encourage and expedite the process of converting office space to mixed-use housing projects in city centers like downtown Los Angeles, California. This bill encourages counties and cities to have a plan to streamline the process under certain specific conditions with lots of caveats. In reality it appears to add more red tape making it ineffective and pointless.

This looks like "concepts of a plan" to me. In fact there are so many restrictions and requirements that I think the bill makes it financially unfeasible so it may not help at all. I also don't see a time table or enforcement procedures so this may be worthless. It may just improve the politician's image ala "we're solving the housing crisis!"

These silly bills and all this red tape are the reason we have a housing crisis in California. Developers are hobbled by the restrictions. They'd lose millions if they built a building that complied with all the restrictions so it'll never happen. The notion of the bill starts out okay but by the time it reaches the Governor's desk you need to jump through a million impossible hoops, every planet in the universe must align and you must agree to lose millions of dollars for the next 100 years.

From KRON4 “California’s downtowns are desperate for ways to inject vitality into their streetscape,” said Haney, who serves as chair of the Select Committee on Downtown Recovery. “While the demand for living downtown is at an all-time high, many urban centers simply lack the available housing. If we are serious about jump-starting the economic engine of our cities, we need to remove the red tape that makes office to housing conversions nearly impossible.”

From the actual bill My summary: Building must be less than 50 years old, must use Union labor, must preserve street facing facades, cannot be subject to a Conditional Use Permit CUP, must have low and mid income housing...

"The Planning and Zoning Law requires each county and city to adopt a comprehensive, long-term general plan for its physical development, and the development of certain lands outside its boundaries, that includes, among other mandatory elements, a housing element. That law allows a development proponent to submit an application for a development that is subject to a specified streamlined, ministerial approval process not subject to a conditional use permit, if the development satisfies certain objective planning standards, including that the development is a multifamily housing development that contains two or more residential units.

This bill would deem an adaptive reuse project a use by right in all zones, regardless of the zoning of the site, and subject to a streamlined, ministerial review process if the project meets specified requirements. requirements, subject to specified exceptions. In this regard, an adaptive reuse project, in order to qualify for the streamlined, ministerial review process, would be required to be proposed for an existing building that is less than 50 years old or meets certain requirements regarding the preservation of historic resources, including the signing of an affidavit declaring that the project will comply with the United States Secretary of the Interior’s Standards for Rehabilitation for, among other things, the preservation of exterior facades of a building that face a street, or receive federal or state historic rehabilitation tax credits, as specified. The bill would require an adaptive reuse project to meet specified affordability criteria. In this regard, the bill would require an adaptive reuse project for rental housing to include either 8% of the unit for very low income households and 5% of the units for extremely low income households or 15% of the units for lower income households. For an adaptive reuse project for owner-occupied housing, the bill would require the development to offer either 30% of the units at an affordable housing cost to moderate-income households or 15% of the units at an affordable housing cost to lower income households. The bill would require at least one-half of the square footage of the adaptive reuse project to be dedicated to residential uses. The bill would provide, among other things relating to projects involving adaptive reuse, that parking is not required for the portion of a project consisting of a building subject to adaptive reuse that does not have existing onsite parking. The bill would authorize an adaptive reuse project subject to these provisions to include the development of new residential or mixed-use structures on undeveloped areas and parking areas located on the same parcel as the proposed repurposed building, or on the parcels adjacent to the proposed adaptive reuse project site if certain conditions are met."

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Mary Cummins

Friday, September 13, 2024

Cindy Chance Out as CEO of Appraisal Institute, a Total Shame, by Mary Cummins

09/23/2024 More insight into the firing of Cindy Chance from the Appraisal Institute. This may explain some of what is happening. This is copy/pasted. Link to original pdf is below.

From: jamorin@me.com

Sent: Friday, February 23, 2024 9:33 AM

To: Paula Konikoff <

pkonikoff @appraisalinstitute.org

>; Adomatis, Sandra <

sadomatis@appraisalinstitute.org

Subject:

RE: Upcoming Speaking Opp

I do hope the balance of the meetings go very well. I have been refl ecting on both of your responses to my email, I feel like I did a poor job of conveying my overall concerns.

I promise this is the last exchange on this topic from me

. The last thing you need is someone sniping from the sidelines, especially when I am sure it is perceived as self-serving and anti the new CEO.

I have made it clear to you both that I am less than impressed with her negative and damaging statements that she continues to make about me and “past leadership” – which frankly includes the Board of Directors too, a concept apparently lost on them. I had hoped that my not-so-subtle plea to you both to have her tone down the rhetoric would have been met with a ceasing of the actions. To my dismay, it has continued as recently as the joint regional meeting this week according to several people who called me afterwards. I know that in this light the rest of what I am about to say will likely be dismissed in whole. But please read it at least once with an open mind.

As a dedicated member, I have always been proud of our collective commitment to excellence, leadership, and the advancement of our profession. This pride stems from our organization's historic emphasis on the knowledge, expertise, and contributions of its members, which has positioned us as industry leaders and earned us unparalleled respect and credibility.

Recently, however, I have observed a shift in the organizational focus that concerns me deeply. The emphasis has immediately moved away from the collective voice and leadership of our members towards a more centralized representation by our CEO. While I recognize and respect the importance of a dynamic CEO in guiding our organization, I am troubled by the potential implications of this shift. Maybe the moss has grown under my feet and the future is passing me by.

Diminishing Member Visibility

: Historically, our organization has thrived on the diverse expertise and leadership of its members. The shift towards a singular representation, primarily through the CEO, may inadvertently diminish the visibility and contributions of our member leaders. This could lead to a perception that our organization is drifting away from its member-centric ethos, which has been a cornerstone of our identity and success. Continuity is great and I think for some relationships that makes good sense, but that continuity used to be a hallmark of the elected leadership, each bring the next one on and passing the torch over the four-year service period.

Impact on Member Engagement and Value

: The strength of our organization lies in its members. Their engagement and sense of belonging are tied to seeing their leaders represent and advocate for them. When communication and representation become more centralized, it risks creating a sense of detachment and undervaluing the diverse expertise within our membership.

Long-Term Reputation and Credibility

: Our organization's reputation as an industry leader is deeply rooted in the collective knowledge and leadership of our members. A shift towards a more CEO-centric approach might raise concerns about the sustainability of this reputation. The diverse voices and insights of our member leaders have always set us apart and driven the profession forward. Being super critical, I cannot believe that either of you are enamored with the tone on the

communication ’from her desk’. They have been insulting and demeaning. Is the best message we off er someone gets stuck in a big closet when the homeowners are arguing with other? Thank God it “hasn’t cost her any friends yet” when talking about appraisers. We have members everywhere doing interesting, complex, and interesting work, work that would be perceived as important and contributing. 4.

Transparency and Communication

: The recent instances, such as the lack of timely communication about our President's involvement with a Federal agency, highlight a growing concern about transparency and inclusivity in communication. Keeping members informed and involved is essential for maintaining trust and a sense of community. Today’s Appraisal Now has no mention of a single offi cer, their travel, and meetings on behalf of the organization.

Considering these concerns, I urge a reconsideration of the current approach. It is crucial that we strike a balance that respects and harnesses the strengths of both our CEO and our member leaders. Our collective leadership, transparency, and member-focused ethos are not just our legacy but our greatest assets moving forward.

I haven’t touched on the instructor’s meeting that took place last week, but it is cause for even more concern. The dumbing down of our tests and coursework plays to the lowest common denominator. Allowing anyone to teach without the minimum amount of training is dangerous. I encourage you to talk to the mentors working on the AIPAREA program about their experiences with students who have been through our previously challenging curriculum versus those who went another route that was easier. The diff erence is stark – is that who you want to be?

I am committed to AI and its mission, and I share these thoughts with the utmost respect for all parties involved. We can continue to grow and lead our industry without losing the essence of what makes us unique and respected.

Thank you for considering my perspective. I do not want a response from either of you

– both are too busy with other eff orts on behalf of the members. I ask only if you consider these points, take a moment, and see if the pathway you are on is the right one. If you feel like it is, then Godspeed and execute to the best of your ability. I’ll know from what I see if I am a guy tilting at windmills. I am afraid the wind is blowing and the moss is growing.

Jim Amorin, CAE, MAI, SRA, AI-GRS, CDEI"

Jim Amorin was the CEO of AI until February 2023.
https://www.appraisalinstitute.org/insights-and-resources/insights/newsroom/ai-news-releases/2022-11-17-appraisal-institution-announces-resignation

He just deleted his LinkedIn page
https://www.linkedin.com/in/jimamorin/

Link to original pdf

https://drive.google.com/file/d/1720HuaQJTwYPTpZ1r4qrjKQb_FEIzgqz/view?usp=sharing

09/16/2024 Article on Biznow about Cindy Chance's departure

https://www.bisnow.com/national/news/capital-markets/appraisal-institute-ceo-terminated-following-leadership-opposition-125913

09/13/2024 Cindy Chance just commented at HousingWire.

https://www.housingwire.com/articles/appraisal-institute-fires-ceo/

"Appraisal Institute CEO fired following “secret” board meeting

Cindy Chance said she received no specific feedback from the board prior to her dismissal

Cindy Chance, the CEO of the Appraisal Institute, was terminated during what she described as a “secret board meeting” on Thursday night that she was excluded from.

The Appraisal Institute now faces a backlash from members who support Chance, a veteran nonprofit leader who joined roughly a year ago and pledged to make governance reforms and support the work of on-the-ground appraisers.

The Appraisal Institute did not respond to HousingWire’s request for comment, but in a letter to members on Friday, the trade group said that Chance is “no longer in her role,” and a search for a new leader would soon begin. John Udelhofen will step in as interim CEO.

“We are committed to finding a leader who reflects the mission, vision and values of the Appraisal Institute and helps us carry forward the progress made towards our Strategic Plan goals,” Board President Sandy Adomatis wrote in a letter to members.

“We want to reassure you that we take our mission as Directors of the Appraisal Institute seriously. We are moving forward with our progress on the top goals in our Strategic Plan to modernize our education delivery and development of new materials and continue to modernize technology and offer the programs we’ve heard are most valuable for you. As is our mandate, our efforts will remain focused on recruiting and retaining member professionals. We will continue our great work with PAREA, and our efforts in the areas of diversity, equity, and inclusion that include further expansion of college and university relations.”

Chance told HousingWire on Friday that she received “no specific feedback” prior to the termination notice. She said she was terminated without cause."

"I’m happy to give you my perspective. I have been excluded from the secret board meetings and have received no specific feedback prior to the termination notice.

“Could you please provide details regarding your departure as CEO of the Appraisal Institute?”

From what I understand the Board called a secret meeting last night at which they voted to terminate me without cause. People have been saying this would happen since the Q3 board meeting. I heard about them planning to fire me through leaks and innuendo, not from the Board itself or any of the officers. I'm very proud of my work and my focus has always been the welfare of the members and the appraisal profession.

“Is it true that the board voted to terminate your position at an executive session earlier this month?”

I assume the vote happened at last night’s secret meeting, not the one on September 3rd, because I got the notice by email last night. There have been a number of special, secret meetings and there was no performance review in any legal or practical sense that I could see.

“Were there any disputes between you and the AI board? If so, what were they?”

You’d have to ask them. I’m on the record as recommending governance overhaul, but I wouldn’t call that a dispute- that was a recommendation based on my fiduciary responsibility to the organization. I was executing successfully and communicating transparently to the Board and the membership regarding my progress on our board approved goals.

“Are you considering legal action?”

I'm not one to back down in the face of injustice. Appraisers have a responsibility for the public trust - and that’s important to consider in bringing any and all issues to light.

“Who is running AI following your departure?”

I would guess the Board President and other member officers are effectively running the organization based on my observation of their central role in this drama as it unfolded. They stepped in to make significant decisions including directing staff, firing key contractors and ending partnerships, so that’s what I would expect will continue.

“What's next for you professionally?”

I hope to find a welcoming professional home where my skills and abilities can do good - preferably in my fields of expertise which are ethics, education, and real property association management."

Appraiser friends just posted that Cindy Chance is no longer the CEO of the Appraisal Institute. So much for all the stories from Appraisal Institute saying the rumor she was going to be fired is a lie. It was true. A.I. President, Sandra Adomatis, SRA, sent this message out today, 9/13/24:

“Dear all,

We are writing to inform you that as of today, September 13, Cindy Chance is no longer in her role as CEO of the Appraisal Institute. We are pleased that John Udelhofen has agreed to operate as interim CEO and look forward to working with John to ensure our mission continues unabated.

We want to reassure you that we take our mission as Directors of the Appraisal Institute seriously. We are moving forward with our progress on the top goals in our Strategic Plan to modernize our education delivery and development of new materials and continue to modernize technology and offer the programs we’ve heard are most valuable for you. As is our mandate, our efforts will remain focused on recruiting and retaining member professionals. We will continue our great work with PAREA, and our efforts in the areas of diversity, equity, and inclusion that include further expansion of college and university relations.

A project team will be established immediately to commence a search for a new CEO. We are committed to finding a leader who reflects the mission, vision and values of the Appraisal Institute and helps us carry forward the progress made towards our Strategic Plan goals.

We appreciate your continued membership in and support of the Appraisal Institute and look forward to updating you on our progress.

Your friend,

Sandra K. Adomatis signature

Sandy Adomatis, SRA"

Above is the notice from AI. Below is notice that the meeting is cancelled.

Cindy Chance announced yesterday on LinkedIn she is no longer with AI as of September 12, 2024.

"It has been a challenging and rewarding journey getting to know and defend appraisers. The pressures on the profession have impacts to consumers and the public, and I hope that people will pay increasing attention. I move on now from the Appraisal Institute, with gratitude for the many wonderful appraisers who shared their stories, described their challenges, and whom I have been deeply honored to serve."

I just noticed Cindy Chance posted this right before her notice above.

"As a 501C6 organization, the Appraisal Institute is an association dedicated to appraisers, the profession and the public. The Board has a fiduciary responsibility to act at all times in the best interests of the members and mission, and the staff and I and Chapter Executive Directors are dedicated to serving members and advancing our mission.

With that in mind, I want to remind you to please join us and make your voice heard on our annual membership meeting webinar this Friday, September 13, 2024, at 2 pm, CDT! This meeting will include the rescheduled report on the 3rd quarter regular Board of Directors meeting.

Please share!"

It included a link to the now cancelled meeting.

August 30, 2024 I sent an email to the board of directors of the Appraisal Institute.

"I was just informed that AI has proposed a motion and vote to remove CEO Cindy Chance. I believe this is not in the best interest of AI, the industry or real estate appraisers.

I was forwarded the letter written by Craig Gilbert and fully support his position. I'd just like to add that CEO Cindy Chance was a breath of fresh air at AI. I was talking to appraiser friends about more of us appraisers finally joining AI if Chance is at the helm. Chance finally spoke about important pressing issues for appraisers today. This is vital as we are in a quickly changing industry that needs a new solid direction forward. Please, reconsider this decision.

Real Estate Appraiser, Expert Witness for over 40 years
Mary Cummins
Los Angeles, California"

Email from President of the Appraisal Institute Craig Steinley September 2, 2024 denying the rumor she would be fired. This is clearly a lie.

"Hi Mary,

Thank you for reaching out and staying involved with the Appraisal Institute. I appreciate your participation and your membership – we are better off when we all work together as One Appraisal Institute.

I’m not sure why one of our members decided to post a letter about the board that lacks facts and relies on conjecture. As appraisers, we’re taught to rely on solid data before drawing conclusions. It’s disappointing that most of what was written in the posted letter is inaccurate and unsupported. #NoFactsThere

I hope you’ll stay involved and when an actual issue arises that requires us to understand our members’ recommendations, please don’t hesitate to write again.

Craig

Craig Steinley, MAI, SRA, AI-GRS, AI-RRS
2023 President of the Appraisal Institute (AI)
State-Certified General Appraiser
AQB-Certified USPAP Instructor
Providing Real Estate Appraisal and Consulting Services since 1979
605-348-0791
csteinley@appraisalinstitute.org
https://appraisalinstitute.org/about

September 4, 2024 AI posted about this publicly. "Appraisal Institute

A public announcement from Appraisal Institute President, Sandra K. Adomatis, SRA."

I also received email replies from Tom Boucher, Tina Mindemann, Elaine Ramirez and Allen Gardiner. They were polite and totally vague. Why even reply at all since the rumor was true. No reply would have made more sense.

This is so disappointing. A group of us were finally going to join AI to support Cindy Chance's new positive direction promoting appraisers and our profession. Previously I thought AI was just a group of old white men using the organization as a club. They basically kissed the government and industry players' ass to get grants, sell classes, sell books, sell seminars, sell $15,000 MAI designations and further their relationships in the industry. Now I doubt I'll ever join. I don't even want to take their free classes right now. I'm so glad now I didn't shell out money for a membership. Happy I didn't have the money when I was about to sign up last month.

The IRS 501 3c nonprofit mission of AI is to promote the appraisal industry and appraisers. They clearly are not doing that. AI is instead doing what government, politicians tell them to do instead of looking at the facts and independent research. I feel AI is promoting the false narrative of the biased old white male appraiser. They supported the PAVE task force. PAVE hasn't changed anything except adding more paperwork for appraisers. We always had to take bias, nondiscrimination training. We always had ROV Reconsiderations Of Values. PAVE was made to solve a problem that doesn't exist so politicians can say "look what we did for POC. Vote for us!" The real issue behind the wealth gap is the income gap which has nothing to do with appraisers. They need to help POC make more money so they can afford more expensive homes in more expensive areas.

I'm beyond disappointed with the Appraisal Institute.

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Mary Cummins

Saturday, September 7, 2024

Mandatory Cultural Competency Elimination of Bias Class for Real Estate Appraisers by Mary Cummins

I completed my California real estate appraisal continuing education "3-hour Cultural Competency and Elimination of Bias in Appraisals" class last month. While I agree all humans have implicit bias I don't believe that many, most or all appraisers act on it. Appraising is a math formula. 2+2=4. You could be the most evil racist unhinged person on earth and 2+2=4. 2+2 ≠ 3 or 5. You would have to intentionally work extremely hard to contort hard data and a basic math formula. The review robots, AMC, Lender would catch your error and reject your report before a client saw it. And for what? To lose your license, career, go broke, get sued, have all your colleagues and everyone else despise your racist behind...?

I was upset to see the course falsely promote some of the false cases in the media about bias as fact. The cases were mainly the false Maryland and Florida cases which I covered in this blog. There was no lowballing at all. I also didn't like being forced to view racist propaganda videos. One included known "research" fraud Andre Perry and his fake paper. It's a fact that whites make more money than blacks, Latinos. If you make more money, you have more money and you're more likely to buy a more expensive home in a more expensive area. That's why white owned homes are worth more than black, Latino. No one lowballed the appraisals. Those appraisals were done by robots, AVMs and not appraisers.

The class even promoted the hugely misinterpreted Fannie Mae anecdotal data on race, contract price and appraisal values as true. AEI debunked it with research. There are more concessions in lower priced areas which are more likely to be black, Latino because of lower income, wealth. This is why appraisal values are lower than contract price in those areas. This means blacks, Latinos were paying over market value because they were conned by real estate agents. They should have made up fake case studies as examples without using color, race and real cases that have not been settled on the merits. Using these frivolous cases was actually bias and racism.

The class also included false information on the term "redlining." I wrote an article about redlining here with facts and dates. The class itself was biased, racist and promoted false narratives about appraisers and the appraisal industry. It could have easily explained bias in a more neutral manner without involving specific people, races, colors, lawsuits and organizations. I'm assuming promoting the false narrative is the only way the courses would be approved by the powers that be. So ironic that the government deals with the issue of bias, racism, and discrimination by actually being biased, racist and discriminatory. There's enough real bias, racism and discrimination in this country that we need to fight. Ridiculous to waste time, energy and money fighting nonexistent racism. I believe the government does this so people won't look at the real cause of income inequality and the wealth gap among white, black and Latinos. It's easier to blame appraisers than to fix the income gap.

Home appraisal is a math formula. Robots, AVMs can do a home appraisal of an average home if they had all the data which they don't. That's how exact the math formula can be. In fact I pull my comps based on math formula alone which I've posted here a million times. I then type those comps into a form. I choose adjustments based on more match i.e. matched pairs analysis and regression theory. My software then adds/subtracts the adjustments and that's the value. I don't control the value.

Some may say why not just use robots and AVMs. The problem is they don't see or inspect the property. They don't have all the data. GIGO, garbage in garbage out. They don't know if it exists, actual size, permitted number of bedrooms, condition, upgrades, actual age, view type, topography, lot type, home style.... They only know what's on the tax roll which isn't always accurate. Some like Zillow also include MLS data which is generally incorrect. Most MLS sizes, bed counts are larger than actual. Zillow and others also let the public edit the data which makes it even more inaccurate. Zillow also doesn't do a proper comp search or adjustments. If Zillow can't find similar recent comps, it goes so wide that it's in a totally different neighborhood which could be worth twice as much. In fact most of the false media cases about lowballing fell into that category. Zillow is probably the reason appraisers were frivolously sued for bias, racial discrimination and alleged lowballing.

Appraisers use numbers, facts and data. We're aren't interpreting the finer possible meaning of ancient translated words in poetry or the Constitution. There is no interpretation. It's basic math! You'd have to work harder than Justices Samuel Alito or Clarence Thomas when they twist, contort and misinterpret the words of the 1788 Constitution. There is no room to twist number of square feet, number of bedrooms, number of garages, location, recent local sales... Facts are facts.

This class is now mandatory because of recent regulatory changes caused by the false narrative of the "racist appraisers." So far no lawsuit has shown or proven any bias, racism or discrimination in appraisals. "Those applying for appraisal license renewal in California must complete at least one hour of Cultural Competency and two hours of Elimination of Bias, which can be combined into a single three-hour course. These changes to the education requirements are key components of California Assembly Bill 948."

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Mary Cummins

Friday, August 23, 2024

RealPage YieldStar Sued by Justice Department for Alleged "Price Fixing" - Doesn't Really Make Sense, by Mary Cummins

RealPage was sued by the Department of Justice for alleged "price fixing" of apartment rents. DOJ stated RealPage was "attempting to illegally decrease pricing competition between landlords and deprive renters the benefits of that competition." I find it hard to believe that a rental database is "price fixing." What about Zillow, MLS, stock market, Kelly Blue Book...? They all show list and sales prices which people use to set prices for similar goods. An an appraiser I do sales and rental analysis all the time with MLS, CoreLogic, Realty, Google... data. Is that price fixing? People hire me to find out what the market rate sales price or rent is for their home or apartment. Am I a "price fixer?"

RealPage offers a host of software and services to help property managers. One of those services is a software called YieldStar. YieldStar uses rental data from software users and more to suggest list rent prices for apartment building owners. Apartment owners have been using rental data to set prices since the beginning of time. Sometimes the rental prices are public and sometimes you have to do some research to find out the list and sales rent. Back in the day we had to get on the phone and call people. Some do the research and sell the reports. In this case property owners were submitting their own rents anonymously into the database. They don't want to do it publicly because then tenants could see their bottom rent, max rent concessions and only offer to pay rock bottom rent. Car dealerships do the same. Do we even know if they were inputting real rental rates? Doubt it was verified. RealPage said managers only used the data half of the time. Only 10% of some markets use their software. You would need 70% of apartment managers using the data and recommendations to affect the market. Here at most you had 5% considering market rate rent based on the data. They were given market rent data and not an inflated agreed upon value by all apartment building owners. That's the big difference here.

The real issue is rents have risen and it's an election year. Rents correlate directly with home prices which have risen at the same exact rate. The underlying cause is people aren't making enough money to pay the rent because wages are stagnant and there are not enough housing units. They need to help people make more money and build more units. Because it's an election year one party has to instead blame the government's problem on private individuals and businesses. "Vote for me and I'll lower your rent by suing a data company!" Getting rid of RealPage won't lower the rent. They never want to fix the real problem because it's too big and complex.

The last election cycle Joe Biden said blacks and Latinos were being lowballed by "old white racist male" appraisers devaluing their homes. We appraisers were the scapegoat for blacks, Latinos not having as much money as whites and owning less valuable homes. Biden said if elected he'd make sweeping changes with appraisers to increase property values. He didn't change anything but increase government meetings and paperwork. Again the real problem is income. In this situation whites make more than blacks, Latinos. If you make more money you have more money and can afford to buy a more expensive home in a more expensive area. Appraisers report values. We don't set them. Guess what? Whites also own more expensive cars than blacks, Latinos. Are real estate appraisers to blame for that also?

I will try to find the lawsuits and read them closely to see if there was any real "price fixing." The timing right before the election with Kamala Harris talking about high rents and "price gougers" makes me think this is just an election year issue. I'm just glad it's not another made up problem with appraisers. We've been through enough with the false lowball narrative smeared all over the media and internet.

https://www.yahoo.com/news/justice-department-suing-realpage-over-163534773.html

This article goes more into the specifics of the lawsuit. It still doesn't make sense. What about Kelly Blue Book algorithm for car values? They suggest market rate values for cars. It's based on car sales and listings. This is feeling like election year politics. It reminds me of the DOJ, HUD getting involved in a private alleged real estate bias lawsuit in Marin, California. DOJ filed a Statement of Interest in a fake racial discrimination case in appraisal values. It was 100% political so the government can say "see, we're doing something. Vote for us!"

https://natlawreview.com/article/justice-department-sues-software-maker-realpage-enabling-rent-collusion

Below are CoreLogic and Zillow rent reports on a property. Will they and MLS be sued next? I assume the value is being pulled from MLS and Zillow rental database. Apartments.com also shows rental prices for various areas. There are so many rental databases offering suggested rents. Maybe RealPage should have made the rental database non anonymous. It could just be based on general area and not specific building addresses.

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Mary Cummins

Monday, August 5, 2024

National Fair Housing Alliance NFHA and HUD Promote False Racist Narrative About Real Estate Appraisers, Lenders For Money by Mary Cummins

mary cummins, real estate appraiser, real estate appraisal, aei, hud, nfha, national fair housing alliance, race, discrimination, bias, settlements,

National Fair Housing Alliance NFHA Promotes False Racist Narrative about Real Estate Appraisers for MONEY, mary cummins, real estate appraiser, real estate appraisal, aei, hud, nfha, national fair housing alliance, race, discrimination, bias, settlements,

The private nonprofit group National Fair Housing Alliance NFHA promotes the false narrative about alleged racist, biased real estate appraisers, lenders, AMCs to get donations, grants and millions in legal settlements per year. They falsely promote fake debunked papers about race and home values. Currently they're running advertisements falsely stating that real estate appraisers lowball blacks and Latinos. Private NFHA brings in $30,000,000 a year in donations and has $23,000,000 in assets in 2021. They're probably bringing in double that today in 2024 because of a recent 2022 $53,000,000 settlement from Fannie Mae and 2022 $4,000,000 settlement from Redfin. EIN 521676364 Phone (202) 898 1661

Here is their main profile in Guidestar. https://www.guidestar.org/profile/52-1676364

Here is their most recent IRS form 990 for 2021.
https://pdf.guidestar.org/PDF_Images/2022/521/676/2022-521676364-202322239349301757-9.pdf

2023 audit shows $28M assets.
https://projects.propublica.org/nonprofits/display_audit/2023-09-GSAFAC-0000045422

They became a nonprofit in 1990. Lisa Rice is the CEO. They're headquarters are in Washington, D.C. but they're not part of the government. HUD refers people to NFHA to do their work filing complaints but they aren't a contractor. HUD runs ad campaigns about fair housing with NFHA. HUD did award over $30,000,000 in Fair Housing grants in 2024 alone to NFHA type programs. In 2021 they got a huge increase in litigation settlements i.e. $17,000,000 with legal costs of about $500,000. I wonder if they get pro bono lawyers to help them for free so they make more profit. In 2022 they got $53,000,000 from Fannie Mae racial discrimination settlement. They are clearly motivated to shake down appraisers, lenders and AMCs for money. It's been a huge financial boon to sue people to get them to cough up a settlement to end litigation, harassment, defamation and bad press caused by NFHA and their national press releases, conferences and misleading articles and videos. NFHA gets donations and press just from the press releases about their frivolous meritless lawsuits. They include a donation link in the press releases.

Nonprofit doesn't mean there are no profits or they aren't motivated by money. The main employees and sometimes board members generally get generous salaries, bonuses and perks. They are motivated by the money, power and prestige. The nonprofit sometimes donates to other groups which are generally friends of the main employees. They sometimes hire friends of the CEO, husbands, wives, children. Many nonprofits are actually just for profit businesses in disguise who don't pay taxes. A prime example is Shedd aquarium vs Sea World. They're both aquarium business with sea animals doing tricks which bring in about a billion per year. Shedd is a nonprofit and Sea World is a business doing the exact same thing. Here's an article I wrote about that.

Lisa Rice CEO makes almost $300,000 a year. Catherine Cloud the COO makes almost the same. They spend $3,000,000 in wages. They spend $500,000 on conferences and $250,000 just at the Hyatt Hotel. They receive grants from the government after paying $500,000 to lobby the government.

Have you seen these ads which NFHA, HUD run in major magazines, websites and on TV? They are very deceptive. American Enterprise Institute AEI proved that appraisers don't lowball anyone let alone blacks and Latinos. First time buyers in lower income areas buying lower priced homes are more likely to be black and Latino because of the income gap. The real estate purchases are more likely to have concessions for repairs and closing costs in these areas. This is why some appraisal values are sometimes 3% lower than contract value. The contracts include the concessions for repairs and closing costs which pads the sales price by about 3%. Appraisers have to adjust for concessions which lowers appraisal value by the concession amount for repairs and such.

I just realized that NFHA has done advertisement campaigns in the past with HUD. I just saw a full ad with HUD disclaimer on the bottom of one ad.

https://www.hud.gov/sites/documents/NFHAHUDWHEELCHAIR_EN.PDF

https://www.hud.gov/sites/dfiles/FHEO/documents/HUD_NFHA_Discrimination_ENG_508.pdf

https://www.hud.gov/sites/documents/FATHER_SON_ENG.PDF

I couldn't read the fine print in the ad I originally posted above. HUD is working with NFHA on these misleading ads. The block of text after "Everyone has a right to fair housing" could say "A public service message from the U.S. Department of Housing and Urban Development in partnership with

the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. For more information, visit www.hud.gov/fairhousing." It still makes it seem that private NFHA is part of the government when it's not.

Here is their income from settlements, shakedowns.

NFHA stated that appraisers lowball blacks and Latinos in the US. This is false. AEI proved with the government's own data that appraisers aren't lowballing anyone, see links below. The data NFHA used for this false statement was based on robot appraisals. No appraisers were involved. AEI debunked Andre Perry's false and misleading paper. It was not peer reviewed research. This is again correlation and not causation. Blacks, Latinos make less money than white people. If you make less money, you have less money and you will buy/own a lower priced home in a lower priced area. It's the income gap. Same thing happens to lower income whites, Asians ... everyone. Blacks, Latinos own lower priced cars for the same reason. Will they also blame that on real estate appraisers? If they really care about the issue, they should fix the income gap which has nothing to do with housing.

NFHA and HUD are lying to the public about appraisal bias. FTR anyone can use the HUD logo. HUD clearly states this in their website. I could use the HUD logo in my website and falsely state all non Latino appraisers lowball Latinos so Latinos should only use me, a Latina, for their appraisal. I could probably make money lying like that but I'd never do that because it's dishonest and racist. NFHA makes money being dishonest. They know they are promoting a false racist narrative for their own agenda which is money.

I just noticed that NFHA has different ads for different publications based on most likely race of viewer based on subscriber statistics. Some are Latinos, blacks, Asians and whites. Is this racist? Should they be sued for racism, targeted racism, colorism like they are suing lenders? They're doing the same exact thing they are accusing others for money. The ad in Sports Illustrated showed white people. The one in a mainly a black magazine showed black people. Who is the racist here?

Just found one of the ads blown up so I can see the text. It is from NFHA and HUD. Click to view larger to read the text.

Great article by Jeremy Bagott on this same issue. He shows the bigger picture which is the use of the false narrative of the racist biased appraiser to get rid of appraisers to make lenders, AMCs more money. Lenders have lobbied the government to use AVMs, appraisal waivers, value acceptance, hybrid appraisals, desktop appraisals to get rid of appraisers in favor of free robots. These robots are more biased than any appraiser because they don't know or consider all factors in appraisal. Robots don't know condition, view, lot type, actual size, actual bed/bath count, permitted size, upgrades, amenities, specific location...which are main factors in valuation. https://mailchi.mp/c5f09f56ce7f/regulatory-capture-hud-and-a-crony-nonprofit-9382139

References

How Common is Appraiser Bias?
https://www.aei.org/wp-content/uploads/2022/06/How-Common-is-Appraiser-Racial-Bias-An-Update-May-2022-FINAL-corrected-1.pdf?x91208

Exploring Alternative Explanations for Appraisal Under-Valuation
https://www.aei.org/research-products/report/exploring-alternative-explanations-for-appraisal-under-valuation/

The Impact of Race and Socio-Economic Status on the Value of Homes by Neighborhood A Critique of the Brookings Institution’s “The Devaluation of Assets in Black Neighborhoods”
https://www.aei.org/wp-content/uploads/2021/08/Impact-of-Race-and-Socio-Economic-Status-on-the-Value-of-Homes-by-Neighborhood-Presentation-8.5.21-FINAL-v4.pdf?x85095

Racial Bias in Appraisals: New Research
https://www.aei.org/wp-content/uploads/2023/11/Racial-Bias-in-Appraisals-New-Research-FINAL_revised.pdf?x91208

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Mary Cummins

Mary Cummins, Real Estate Appraiser, Animal Advocates, Los Angeles, California

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