Progress From Prior Month's Report Summary

Days in REO for active assets increased to 215 days in November 2017 compared to 187 days in October 2017

The real estate division was estimated to have a fair value of $13,890,000. This was determined by totaling the number of lots expected to sell within the next four years and multiplying it by the price per lot of $180,000. After determining total lot sales, a 20% discount rate was applied as suggested by current market conditions. Given the unique nature of the real estate development, it is not believed that there are any comparable developments to find a market multiple.

Along with predatory lending practices and borrower insolvency, the real estate market has been flooded with an excess of available properties. This has resulted in an overall decline in property values and an increase in the likelihood of defaults among current homeowners who face having negative equity in their property (Quercia, Ding, & Ratcliffe, 2009).

At 30 June 2014, the balance of the revaluation surplus is $400 000, of which $300 000 relates to the factory land and $100 000 to the buildings. On this same date, independent valuations of the land and building are obtained. In relation to the above assets, the assessed fair values at 30 June 2014 are:

When reviewing the 13 assets that were under contract as of October 31, 2017, comparing the sales price to the initial list price and “recon value” (which is the SAM reconciled value used to list a property), 5 of 13

▪ Net Asset Value – combined misstatements or omissions less than .5 percent of Net Asset Value are presumed to be immaterial and combined misstatements or omissions greater than 1 percent are presumed to be material.

The Authors studied why valuation estimates are likely to be biased estimates of market values due to clients' influence. The studies were done on the behaviors of clients in the UK, USA, and New Zealand. The authors pointed out that the information found has made a significant contribution to real estate literature, but the purpose of this research was to examine the prevalence of client influence and the impact on valuation in Nigeria. The survey found that nearly 80 percent of estate surveyors and valuers claimed some knowledge of client influence—mostly from private individuals. It did not state whether the clients were successful in influencing the surveyors and valuers to alter the valuation of their properties.

If a property has been valued quite low by the appraiser, the seller would then be needed to lower the market price he or she had set. If we consider a Realtor in this case, it would mean a significant dip in commission. On the other hand, a high valuation of a property may result in the buyer having to pay a lot more than its true worth. In this situation, a realtor may receive high or low commission, depending on the final selling/buying price of the property. With these situations, you

7. On 1 July 2013, XYZ sold a piece of equipment for $30 000 which it had used for

They say: “Our valuations are used for setting rates and are not intended for other purposes such as marketing and mortgages” but then they also say, “The capital value on your 2014 revaluation notice is an estimate of market value of the property as at 1 July 2014.” So of course you could be forgiven for thinking that the valuation was an estimate of market value, albeit from several months before, and so the hundreds of

All valuations were valued in accordance with NSW Treasury Policy TPP 14-01 “Valuation of Physical Non-Current Assets at Fair Value”, AASB13 “Fair Value Measurement and AASB 116 “Property, Plant and Equipment” with the following specific treatments:

This report uses the application of direct sales comparison approach to derive the site value for the subject property. There are sufficient sales of vacant lots within 3 miles of the subject property. Seven suitable vacant lot sales were selected and analyzed to estimate indicated subject’s lot value (table_ 1). The analysis uses a per sq. ft. unit in valuing the site. The vacant lots were sold March to October of 2013. Lots attribute such as lot size, lot shape, topography, Resource Protected Area (RPA), zoning which is density of development allowed per acre of land, and traffic patterns were analyzed. The report used the Fairfax County digital maps of property, resource protected area, and topography maps. In addition, aerial photography data was used to determine the level of traffic in areas surrounding each lot.

RMS continues to review assets where we believe the list price set by Altisource is high relative to our opinion of market value. On listed assets with DOM of more than 60 days and no offers, RMS and Altisource discuss the list price and agent feedback to understand why offers have not been received. RMS targets these assets for review every 2 weeks.

When reviewing the assets that were listed as of July 31, 2017, comparing the initial list price, current list price and “recon value” (which is the SAM reconciled value used to list a property), 3 of the assets had a variance (sales price as a percentage of the initial list price) outside of what RMS believes is an acceptable range. 2 are low value assets.

These figures are showing how the total assets for the company have been increasing by 30% over the last three years. This is illustrating how their underlying amounts of financial strength have improved. ("Maximus Annual Report," 2011) ("Maximus Annual Report," 2010)