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20 years ago there were 20,000 appraisers in California. Today the figure is approximately 9,500. Of this number there is approximately 4,500 Certified Residential Appraisers left in California able to appraise properties over 1 millions dollars.

The other 5,000 appraisers are trainees, licensed appraisers( 17%) and Certified General Appraiser(32%) able to complete both Commercial and Residential Properties.

A real estate appraisal today for mortgage lending purposes is 50-70 pages in length and takes about 25 office hours to just produce 1 report. Its a college term paper in my mind and no two reports are the same with MLS CMA and Statistical Charts and Scatter graphs from CMA exported data into the reports. 

Since June of 2020 to the present June 2021 most appraisers are receiving 30-40 requests a day for quotes on fees for appraisal work. 

Last year in June of 2020 I decided to only do the rush assignments and that has been my business model for the last year to the present. Most appraisal firms I know of with several appraisers are backed up 1 or 2 months worth of work. I don't work that way as all I do is the rush, where I inspect a property at noon and deliver the report in 3-4 days or less. 

Presently my rush fees are $1,800 - $3,000 for one house appraisal as all I do is the rush or the complex properties. A lot of home sales in Silicon Valley use my services and just want the report ASAP. My reports are High Quality Reports with CMA and Statistical Charts and Scatter Graphs. Home sf sizes range from 1,500 sf to 6,500 sf.

Yes I turn down about 99% of the appraisal requests per day yet I am able to complete 10-15 reports each month.

 What are my regular fees?

 I don't have any as all I do is the rush and each property is a custom quote on complexity, location and short window of time to complete the report on time.

 If I take non rush assignments then the result is my rush work would become late. It is a simple business plan which is working due to the shortage of overall appraisers in Northern California.

 I am experienced to work on high end complex properties in Silicon Valley and the local rural mountain woods locations. My work vehicle is a well used Toyota 4 Runner, 4 Wheel Drive which can get me anywhere I need to go.

So I expect this market to continue to the end of this year and on to 2023 if mortgage interest rates continue to remain low as indicated by the Fed.

If you have any needs or questions for a Real Estate Broker or an appraiser with 41 years professional experience, let me Know. Tom Melville Brea 00774101 831-883-0406 Aptos Ca. 

Posted in:Real Estate and tagged: Real Estate Appraisal
Posted by Thomas Melville, MNAA, MRA on June 26th, 2021 10:07 PMLeave a Comment

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Recent mortgage banker news is that more mortgage applications were again coming in as this is summer now.

 After the July 4th holiday, I expect the market activity to increase again with more real estate listings of homes for purchase with loans and more refinance loans. I am still seeing properties with older mortgages at 7% that are now getting around to refinance to lower rates.

 It is very important to know your current interest rate and how much you can save with a refinance. Additionally, more listing and properties will be added in July, August and September. This market will continue all the way into December with present activity.

Looking Back at my own first house purchase in a runaway real estate market Circa 1974. San Diego properties were increasing in value very fast. Purchase Price $29,500 with a 20 year mortgage FHA at 22.5% loan rate. My Payment was $500 per month. Same house today is in the $450K value range.

 When I bought my first house in 1974 as a single guy at the tender of 20 years old, my FHA interest rate was 22.5%. My monthly payment was $1 dollar toward principal loan each month and $499 dollars eaten up into interest on a house that only cost $29,500. 

I made double payments with one principal and interest and the second payment principal only. Eventually mortgage rates returned to lower levels back then but many people did not understand the higher interest rates were eating up and equity.

Some people made their on time monthly payments on home loans but still lost homes due to the higher interest rates or market conditions eating up any equity in the 22.5 % FHA Home Loans like the one I had.

Today these low rates are amazing, but back in 1977 my PHD college teachers in Real Estate were forecasting residential homes would be in the million dollar range and it was difficult to comprehend back then, but they were right. 

It you have any questions or thoughts about Real Estate and would like free advise then give me a call. I am a Broker Owner of my own Real Estate Firm and a Certified Residential Appraiser.  

Melville Appraisal 
Tom Melville Properties
Dre 00774101
Broker Owner 


Posted in:Real Estate Appraisal and tagged: Real Estate
Posted by Thomas Melville, MNAA, MRA on June 25th, 2021 11:09 PMLeave a Comment

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Real Estate has been a part of my life even before adulthood. My step father owned a Real Estate Office during the 1970's in San Diego. It was tough even then selling homes for $30K or $50K back then and it really meant something when you face a appeared in a real estate newspaper ad stating that you belonged to the millionaire Club in Real Estate after transferring One Million Dollars worth of Real Estate Transactions in One Year. Now not so much as the world has changed since then and to the present due to the Principle of Change which is a constant. 

It was tough keeping a real estate office open back then circa 1970 and now with the financial over head of running a real estate business. At the side of my parents real estate office there was a separate 400 sf room which then used as a Pinball Arcade and PackMan at the time to generate more cash to pay the rent on the building. Looking back at those times and the present as of May 2020 and the corona virus which has shuttered all types of businesses for months at a time with no income. 

Real Estate Agents are seeing that they don't have to be at an office to work in the business. The business has always been in the field as many people still say. 

I see large real estate offices with hundreds of agents today becoming obsolete as new ways to represent the public and meet the public no longer requires to meet in a real estate office.

 After 40 years in the real estate business of Brokerage, Appraisal and Consulting that I will operate from now on as a Discount Real Estate Brokerage helping homes owners with property transfers by reducing my commission on homes I list to 4.5% of the sales price. Since I work for myself my overhead costs are much lower than larger companies yet I can deliver the same sales outcomes and allow the homeowner to save on house commissions when marketing their home with me. 

As a Real Estate Broker/Certified Residential Appraiser I am experienced with high value real estate between $500K to Six Million dollar transfers so the saving of equity for sellers can be significant. 

If you would like to talk about your real estate I am available 12 hours day or more to discuss your real estate concerns. Covering Santa Cruz, Ca, Monterey Ca, San Jose and Santa Clarita. 

Tom Melville Broker
Dre 00774101
Tom Melville Properties / Melville Appraisal

Posted in:Real Estate
Posted by Thomas Melville, MNAA, MRA on June 7th, 2021 9:33 PMLeave a Comment

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June 7th, 2021 9:27 PM
Prior to 2020 in November/December of 2019, I was looking at the several different market indicators that would tell me where my business and the real market would be in the next 6 months from Nov 2019.

Here is what I knew in Nov 2019.

1. The interest rates for mortgage lending were low.
2. Foreclosures were not an issue and were minimal in number.
3. There continued to be shortage of homes available for purchase.
4. There was an over supply of buyers to the markets
5. New home communities were now being built on land purchased years ago.
6. Interest rates on mortgages would drop again as it does 1st quarter of year.
7. Competition for homes with multiple bids.
8. Lenders were looking to hire and offer bonus pay for mortgage loan originators.
9. Lender were looking to hire support office staff for next surge in lending.

Yet when Covid 19 was effecting real estate, so many real estate professionals, including appraisers claimed there would be doom and gloom in the market place. Over 50 real estate appraisers in nearby counties forecast the market was going to go down or be flat for a long time. None of that is what i saw in my research and my forecast of 2020. 

Looking at the above market metrics i updated office equipment and told the appraisers i knew the market would be on steroids and an upward market. Still many appraisers thought i was nuts. 

Having seen and been involved every different California market in real estate since 1980 to the present allowed me to clearly see the present moment in 12/2019. 

Only recently I was asked to explain my forecast in 2019 on a Zoom Meeting to 50 appraisers who called the 2020 forecast wrong.

 I listed and explained the simple real estate metrics above. To me it was a no brainer as it was all clear to myself the forecast of 2020. 

If you have thoughts or questions about current real estate matters call me to discuss your thoughts or concerns. 

Tom Melville 
Broker, Certified Residential Appraisal
Dre 00774101 

Licensed Real Estate Professional in California since 1980 to the present.

Posted by Thomas Melville, MNAA, MRA on June 7th, 2021 9:27 PMLeave a Comment

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Real Estate Appraisal has always been an Essential Service to the Financial Sector.

 During the present California Shelter in Place rules for the public, it takes a minimum of Twenty Percent of all Essential Business to remain open to keep the economy of a city  moving forward. 

Real Estate Appraisers are presently making home inspections using Personal Protection Equipment at a minimum of mask, gloves and booties if requested by the home owner. 

There are several guidelines on the present Shelter in Place that are followed by Appraisal Associations, Realtor Associations both National Association of Realtors and the California Association of Realtors and Real Estate Property Management Companies as to proceed and inspect a home. 

Lenders are required to have a full interior appraisal inspection to assist home owners with cash out refinance. It is possible to have an exterior only appraisal of your home, yet the lenders prefer interior inspections to insure the value of the property being appraised.

 Even during the California 1989 Earthquakes and other large brush fires in summer, appraisers were ordered out to the field to inspect homes to see the extent of damage.

 This current Shelter in Place time is busy for appraisers as with the low refinance interest rates, many home owners are using equity in their homes to get through this period of time.

If you need a real estate professional to appraise your property, then give me a call. Or if you need to consider listing or consultation as to listing a property on the MLS, I cover that service as well.

Tom Melville, MRA, MNAA
Real Estate Appraiser, California Real Estate Broker/ Owner
Melville Appraisal, Tom Melville Properties
AR012768, DRE# 00774101

Posted by Thomas Melville, MNAA, MRA on April 13th, 2020 12:29 AMLeave a Comment

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January 15th, 2020 6:21 PM
2020 will be a strong Real Estate Year that includes both Purchase and Refinance Markets. There has been a surge of 30.2 percent in mortgage applications since the first of the year. The refinance market jumped to 43% for the week and is up 109% higher than a year ago. 

The low mortgage interest rates should continue to the November elections which will work well for first time buyers, investors and homeowners looking for a refinance loan option.

If you are considering selling or buying or need an appraisal of your property, then give me a call to discuss your real estate needs.

Tom Melville Broker / Appraiser       831-883-0406
Melville Appraisal / T.Melville Properties serving Santa Cruz, Monterey, San Jose and Santa Clara Counties. 

Posted in:General
Posted by Thomas Melville, MNAA, MRA on January 15th, 2020 6:21 PMLeave a Comment

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May 29th, 2017 12:27 PM
Two weeks ago mortgage interest rates dropped again. The earlier talk about raising rates back in Dec-March 2017 was all smoke and mirrors as usual. The lenders tried to raise mortgage rates and it did not work. It actually stalled the market, so expect further rate reductions offered to the public as the Refinance Boom and lower rates for buyers continues for the next 4-6 months. If you are thinking about buying or selling your home in Santa Cruz, San Jose or Monterey give me a call. In a no pressure conversation, I can go over your real estate investment needs whether you are selling or buying in 2017. Tom Melville, Real Estate Broker Brea #00774101 over 30 years professional experience in Real Estate. 831-883-0406.

Posted by Thomas Melville, MNAA, MRA on May 29th, 2017 12:27 PMLeave a Comment

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Having a Broker / Appraiser represent your real estate interest is an advantage in any market. I help people with listing and selling real estate in Santa Cruz, San Jose and Monterey California. Presently, there continues to be a shortage of available homes for sale and an over supply of buyers 

 If you have any real estate questions or investment goals for 2017, give me a call to discuss your concerns.

Tom Melville     Broker  Appraiser
831-883-0406  Brea #00774101
Tom Melville Properties
Melville Appraisal
Over 30+ years of professional real estate experience in California.

Posted by Thomas Melville, MNAA, MRA on May 8th, 2017 8:53 AMLeave a Comment

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There still remains a shortage of properties for sale and an over supply of buyers in Santa Cruz, Monterey and San Jose counties. ?There are several factors in the current market that include all cash buyers, low interest rates for finance and an election year.

If properly priced and placed on the MLS for maximum exposure homes usually do not exceed 30-60 days before multiple offers are made on the property. As I have written before, pocket listings have only one agent working for the seller and rarely result in maximum exposure or the possibility of multiple offers.

I prefer to obtain the maximum exposure for my clients and obtain the highest sale price for their properties. 

Having a Broker / Appraiser with over 30+ years of experience to represent your real estate interests is an advantage in any market.

If you have any real estate questions give me a call and we can discuss your real estate needs.  I look forward to talking with you. Available 9am-9pm daily.

Tom Melville
Broker /Appraiser
Melville Appraisal & Tom Melville Properties
California Brea# 00774101

Posted by Thomas Melville, MNAA, MRA on August 4th, 2016 4:54 PMLeave a Comment

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