The Personal Property Appraisers Post

As a personal property appraisal course writer and instructor since 1994, I've reviewed many appraisals submitted by my students. Non-students also often ask me to review their appraisals for completeness or for USPAP compliance. Other than a couple appraisers who prepare their reports in MS-Excel, most all appraisals I have reviewed are prepared in MS-Word.

Over the years I've often noticed a couple report shortcomings that occur on a consistent basis - specifically, these shortcomings include the failure of the appraiser to make use of MS-Word's "Table" feature and MS-Word's "Header/Footer" feature. (This article focuses on the Windows user. Similar features, of course, are available to the MAC user.)

It is for good reason that appraisers using Windows most often use MS-Word to prepare their reports. MS-Word contains numerous features which, if used, will result in a report that is not only well-designed but also professional in appearance. But, as noted, two of the most important but most frequently under-utilized features of MS-Word are the Table feature and the Header/Footer feature...more

I am pleased to announce the return of "Maloney's Antiques & Collectibles Resource Directory." For fourteen years "Maloney's" was published in book form during which time it was hailed as the "...best one-volume research tool in print" (Gannett News Service) and as a Best...Reference Book (Library Journal). We plan on launching a subscription-based online version of the directory this fall and a book version this winter. With over 17,000 resources in over 2,000 categories of antiques and collectibles, "Maloney's" is known for its accuracy and for being the only comprehensive resource of its kind in existence. And now it will be online—fully searchable and constantly updated!

While we are unable to list generalists such as generalist dealers or appraisers, "specialist" resources are welcome to submit their listing application at MaloneysDirectory.com.

"Maloney's" lists specialist collectors, dealers, experts, appraisers, periodicals, clubs/associations, auction services, museums and libraries, suppliers of parts, reproduction sources, reference book sellers, manufacturers/distributors/producers, online sites for specialized valuation research, matching services, grading services, authenticators, repair/restoration/conservation specialists, vendors to the trade and specialized Internet informational websites.

Go to MaloneysDirectory.com. Search by your last name, company name or other fields to see if you are already in the database. If so, you can edit your listing(s) or add yourself under a different specialty area. If not already listed, you are welcome to add your listing if you are a specialist.

As usual, there is no cost or obligation to be listed in "Maloney's." email

The requirements for including citations or declarations in any personal property appraisal report normally originate from such sources as USPAP, the IRS, a law or regulation, a societal mandate, or, albeit it rarely, even the client. But given the plethora of applicable IRS regulations, rules, publications and forms, it is often in the donation appraisal report that we find the appraiser demonstrating the greatest of originality in the design of sometimes rather elaborate (and unnecessary?) citations and declarations.

Understanding which IRS regulations, forms, publications, notices, or revenue procedures are required to be cited in a donation appraisal report and which appraiser declarations are mandated for a donation appraisal report can be a challenge—particularly at this point in time during which we are operating under temporary IRS "Guidance" as we await final approval of new Treasury Regulations. The new Regulations will contain changes affecting the appraiser that were generated by the passing of the American Jobs Creation Act of 2004 and the Pension Protection Act of 2006.

Click here to read the entire article.

I'm pleased to announce a ground-breaking article written by my Appraisal Course Associates partner, Bill Novotny (left).

Of this article, Bill states:

"The competency requirements for personal property appraisers is often confusing due to factors such as the myriad of different personal property types encountered by the generalist appraiser, laws and regulations that may apply, methodology requirements and geographic competency. When must an appraiser make a competency disclosure to the client as required by the COMPETENCY RULE of USPAP? This article focuses on the object knowledge required of the appraiser and when a lack of competency must be disclosed.

There are many instances when an appraiser has knowledge and experience regarding property types, but that knowledge and experience is often less than that of an expert. What happens when an appraiser thinks that he or she can develop credible assignment results through research and consultation even though they have only limited specialty knowledge with the property type? Must they make a competency disclosure?

This article explores these issues and points out that consultation with experts, even when the resulting assistance is significant, does not necessarily equate to a lack of competency. We must remember that the SCOPE OF WORK RULE, at all times, requires that the appraiser do whatever is necessary to develop credible assignment results. Expert consultation is frequently pursued by appraisers as part of the scope of work required. Such fact finding can be regarded as consistent with the SCOPE OF WORK rule for experienced appraisers. Similar fact finding may be required by the COMPETENCY RULE for beginning appraisers who have little knowledge and experience. The burden is on the appraiser to determine which of the two rules apply. The primary question that appraisers must answer is whether or not they have the requisite knowledge and experience to develop and report assignment results that are credible and relevant to the intended use of the report. If the answer is a confident Yes then, in my opinion, USPAP would not require a competency disclosure."

Click here to read Bill's article "COMPETENCY RULE or SCOPE OF WORK RULE: Which Rule Rules?"

Another issue of the "ACA Appraisers Update" eNewsletter is now available online. Published by Appraisal Course Associates partners certified appraiser, author and instructor Dave Maloney and AQB-certified National USPAP course instructor Bill Novotny, this issue is loaded with hard-to-find information including Bill's ground-breaking article regarding competency issues faced by the generalist appraiser.

The current edition includes the following articles:

- Generalist Appraisers Face Competency Issues
- Can Museum Appraiser/Volunteers do Appraisals?
- Internet Resources Are Ephemeral
- IRS Guidance: Donation Appraisals for Artwork Exceeding $20K FMV
- Citations and Declarations for the Donation Appraisal
- Maloney's Antiques & Collectibles Resource Directory To be Published Soon

If you did not receive your own copy by email, you can still read it by going to the eNewsletter archive at http://www.appraisalcourseassociates.com/archive/. While there, be sure to sign up to automatically receive future editions of the "ACA Appraiser Update" eNewsletter.

By Todd W. Sigety, ISA CAPP

There has been a fair amount of discussion both here on the Appraisers Post and on some LinkedIn appraiser groups about the benefits of social media and online networking. With that in mind, I discovered an interesting article on the CBS Moneywatch.com site called Networking Without Looking Desperate: 5 Rules. As more of our networking moves to online forums such as Social media sites, blogs and videos, the more appraisers need to be aware of current technological trends which can prove beneficial in operating an appraisal practice.

The article states that networking should be part of your ongoing business activities and plans, not something that is done on the spur of the moment or with little thought and foresight. I think this is a very important point to keep in mind.  Networking should be part of your business plan, and I just dont mean online, but both real face to face networking and virtual networking.

The 5 rules mentioned in the article were

• Nurture Your Network...Patiently
• Ask How You Can Help
• Know When to Ask - and How
• make the Web Work for You
• Shake Some Hands

The five rules will keep your networking planning current and productive, and of course growing. By nurturing your network you want to keep in touch with your contracts on a periodic basis. This is done in order stay connected so when you do need some advice or assistance your group of contacts will not wonder where you have been or why you only connect when you need advice. Keep you network advised of what you are doing, but also don't overdo the contact either.  You should keep a good balance of updates, questions and answers.

In asking how you can help, you present yourself to your contacts as a resource available to help and assist. By staying engaged with your contacts you will benefit when it comes time for your network to reciprocate. In Know When to Ask - and How, make sure you are asking questions of the right individuals in your network, and ensure you are not asking them to do your work. So many times I have seen request for help where there was no preliminary research done, no foundation. If you are going to ask for assistance from your network, make sure you have done your proforma investigations and understand the situation before asking for assistance. I have seen request where appraisers ask for assistance on an artist, and some of the responses were, have you tried Google? The point is pretty clear, dont ask your network to do basic foundation research for you. What you want from your network are specifics, and clarifications of the nuances of a question or appraisal methodology.

Click the Read More below for the rest of the article.

June 17, 2010

It’s been a while since my first blog and, in the long interim, I’ve been to Israel and Jordan.

Aside from visiting some collectors and seeing what’s being offered at some of the galleries and stores there, one very astute collector encouraged me to visit a special exhibition at the Bible Lands Museum in Jerusalem.. This is a museum that hasn’t got much attention over the past 18 years of its existence. However, it is a jewel of a museum, sitting in the shadow of its much larger neighbor, the Israel Museum. It is a lovely space with beautiful galleries and clearly organized collections. Even though the galleries are well lit, the architectual space reminded me of the dark, monumental stone palaces and tombs of the Ancient Near East. My only annoyance was acoustics. One person with very thin high heels was trying to find the way out in a real hurry and made quite a racket on the stone floors.

Perhaps most relevant for readers of this blog is the fact that the entire museum was conceived by, supported by, and organized by very passionate and philanthropic collectors Elie and Batya Borowski. Dr. Borowski began collecting while hiding during WWII in Switzerland and built a magnificent collection in the successive years. Visit the museum’s website more information, www.blmj.org.

If you go, plan to spend several pleasant hours wandering through the permanent exhibition which is organized chronologically, although it is interpreted thematically and references many of the customs, language, trade, and economic related to the peoples who wrote the Bible or who were described in it. There are some amazing artifacts.

Why did I end up here and why am I sharing my visit? The Museum, in line with its bold approach to interpretation and emphasis on artifacts, is also showing an extraordinary show entitled Angels and Demons: Jewish Magic through the Ages. The exhibition’s exquisite catalogue supplements the elaborate wall texts and expands on mystical practices and concepts in Judaism, including Kabbalah throughout the ages. For the collector, however, this was a rare opportunity to see an expansive array of amulets, magic bowls, figurines, magical texts from ancient times, spanning the Ancient worls, the Byzantine Age,the Medieval period, the Age of Enlightenment, and up to the present. Many of the objects were carefully selected from Israel’s museum and academic collections. However, a large and important of the exhibition was supplied by very well-cultivated private collectors who chose handsome and unique artifacts from their extensive private collections. The catalog is sure to become an indispensible tool for those trying to build a solid collection among the amulets that collectors (and appraisers) frequently encounter in today’s market. Now, when I have to appraise an amulet – and I’m frequently encountering all sorts of amulets from many eras and customs and regions – I will have this exhibition catalogue close at hand.

More soon on what’s hot in Judaica collecting.

Consultants Greentarget recently released a study and survey of how in-house corporate general counsels are using new media, including blogs, and social media.  As this has been of interest to me, and should be to other appraisers, it is always good to gather information on how others professionals are using New Media.

The in house corporate counsel survey looked at a group of 164 attorneys responses and how they were taking advantage of new media.  It did show that traditional methods, such as trade journals, conferences and press releases were dominate, yet more and more in house attorneys are using new media platforms to expand and enrich traditional networks.

In general the survey stated of the AmLaw 200

• Blogs are up 147% since August of 2007, with nearly half having firm branded blogs
• Every AmLaw 200 firm has a LinkedIn Account
• 31 of the top 100 AmLaw firms have a Facebook Account
• 76 of the top 100 AmLaw firms have a Twitter Account

Interesting that blogs are increasingly preferred fir gaining business and legal industry information.

To read the full report (37 pages), click HERE. It is an excellent report with some good charts and graphs, I recommend appraisers who are interested in New Media read the full report.

Tuesday, May 11, 2010

While at first blush, the French expression — “Plus ça change, plus c’est la même chose — the more things change, the more they stay the same” — might seem an apt description of Greentarget’s recent research about the adoption of new media by the in-house legal community, a closer look confirms that change is more extensive than many pundits have appreciated to date. In addition to confirming that referrals from trusted sources and credentialing activity (i.e., demonstrations of thought leadership) remain the two most important factors considered by corporate general counsel when they seek to hire outside lawyers, several of the survey’s findings convey significant new trends in the way that information is disseminated and shared by members of the legal community.

While the more traditional marketing channels for law firm credentialing continue to dominate–publishing articles in trade journals, speaking at industry conferences, and being quoted in the press–in-house attorneys now are using new media platforms to deepen their professional networks; to obtain their legal, business, and industry news and information; and to enrich their social and personal lives. Most importantly, they expect that trend to accelerate in the future.

As law firms and their lawyers embrace social media technologies at an accelerated pace with wide-ranging levels of participation, adoption, and engagement, the Corporate Counsel New Media Engagement Survey was designed to explore the very degree to which in-house counsel, the primary purchasers of outside legal services, are listening.

Highlights of the Corporate Counsel New Media Engagement Survey:

Click the Read More below for the rest of the article.

Upcoming Pratt Courses June 16-17 The Business of Contemporary Art

SE100PP: USPAP for Personal Property Appraisers June 14-15, 2010 Pratt Institute Center The objective of SE100PP is to familiarize students with the recognized standards governing professional appraisals. This is the 15-hour National USPAP-PP course approved by the Appraisal Standards Board of the Appraisal Foundation and is developed specifically for users of Standards 7 & 8, including GJ, PP and MTS. Students are provided a current Uniform Standards of Professional Appraisal Practice (USPAP) manual and current book. NOTE: This course does not meet Real Property state licensing requirements, but is required for reaccreditation. For more information about registration, contact Karen D'Angelo at kdangelo@pratt.edu or call the Pratt Institute Center at (212) 647-7199. Pratt Institute Center is located near Greenwich Village in Manhattan, New York.