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Dayton Area MLS Appreciation Chart
YEAR AV. SALE PRICE APPRECIATION AMOUNT APPRECIATION PERCENTAGE CUMULATIVE APPRECIATION PERCENTAGE OF LIST PRICE 1973 $27,401 . . . .5.80% 1974 $29,267 $1,866 6.81% 6.81% 95.80% 1975 $32,141 $2,874 9.82% 17.30% 95.60% 1976 $34,089 $1,948 6.06% 24.41% 95.90% 1977 $37,103 $3,014 8.84% 35.41% 96.60% 1978 $42,546 $5,443 14.67% 55.27% 96.50% 1979 $48,723 $6,177 14.52% 77.81% 96.40% 1980 $52,496 $3,773 7.74% 91.58% 95.80% 1981 $54,801 $2,305 4.39% 100.00% 95.20% 1982 $57,476 $2,675 4.88% 109.76% 93.50% 1983 $58,813 $1,337 2.33% 114.64% 94.70% 1984 $58,894 $81 0.14% 114.93% 94.80% 1985 $61,002 $2,108 3.58% 122.63% 95.10% 1986 $65,224 $4,222 6.92% 138.04% 95.80% 1987 $69,700 $4,476 6.86% 154.37% 96.30% 1988 $75,429 $5,729 8.22% 175.28% 96.30% 1989 $81,185 $5,756 7.63% 196.28% 96.30% 1990 $84,315 $3,130 3.86% 207.71% 96.10% 1991 $89,198 $4,883 5.79% 225.53% 95.87% 1992 $94,158 $4,960 5.56% 243.63% 96.17% 1993 $97,857 $3,699 3.93% 257.13% 96.38% 1994 $100,770 $2,913 2.98% 267.76% 96.73% 1995 $104,785 $4,015 3.98% 282.41% 96.65% 1996 $110,388 $5,603 5.35% 302.86% 96.48% 1997 $112,332 $1,944 1.76% 309.96% 96.46% 1998 $118,830 $6,498 5.78% 333.67% 96.66% 1999 $120,057 $1,227 1.03% 338.14% 96.87% 2000 $122,421 $2,364 1.97% 346.77% 96.98% 2001 $126,375 $3,954 3.23% 361.21% 97.15% 2002 $128,096 $1,721 1.36% 367.49% 96.43% 2003 $130,647 $2,551 1.99% 376.80% 97.13%
Fairborn Daily Herald - September 2004 Front Page

Thursday, September 16, 2004

Appraisal business builds HQ here

FAIRBORN Stickelman, Schneider & Associates, along with Mad River Valuation, hosted a ribbon-cutting ceremony Wednesday at their 7,200-square-foot, newly constructed corporate headquarters. Located in the Valle Greene North commercial development in Fairborn, the new building will house the company's appraisal offices.

The location positions Stickelman, Schneider & Associates in a high-growth area along Dayton-Yellow Springs Road near the Interstate 675 corridor.

"We are thrilled to be moving into our new building," said Ron Stickelman, president. "This new location puts us right in the heart of the market that we serve and the building not only will house our current staff but is large enough to accommodate our continued growth."

Founded in 1987 by its president, Ron Stickelman Jr., SRA, Stickelman, Schneider & Associates has grown to be one of the most respected commercial and residential appraisal companies in the United States. The company also provides real estate valuation services. Clients of the firm include Fifth Third Bank, National City Mortgage, National City Bank, Huntington Bank, Wright-Patt Credit Union, Wells Fargo and Cornerstone.

The company employs more than 20 professional appraisers and has additional offices in Cincinnati and Middletown.

"The recent escalation in development opportunities in the Fairborn area has enhanced the strategic location of the Valle Greene North property," said John Orr, the sales and leasing agent with Oberer Realty Services, who handled the Stickelman, Schneider & Associates project. "As development continues, I believe you'll see this area emerging as one of the major business centers for the Fairborn community."

Stickelman, Schneider & Associations (SAI Group Inc.) is a multifaceted company with the ability, knowledge and vision to meet the needs of the growing and diverse markets of real estate. It is a full-service company that specializes in real estate services utilizing the best of information technology.

For more information, call Jason Ferris Stickelman, Schneider & Associates, at (800) 743-5638 or 873-9900.

Dayton Daily News - May 2003 Real Estate Section - Sunday Edition

Danger, Inflated Appraisals Hurt Homeowners

By Ron Stickelman, SRAs
Stickelman, Schneider & Associates, Inc.
Real Estate Valuation Services

Homeowners in Ohio should by wary of fraudulent appraisals. With the numbers of refinances starting to dwindle in lieu of an improving economy, homeowners might be faced with owing more money for their house than it is actually worth.

This action stems from the need to "make" and close loans for homeowners and investors at today's incredible interest rates. By pushing the appraised value of the home past its market value, lenders can roll in all kinds of debt on top of the mortgage. Incidentally, because of the massive amount of recurring debt that American's carry per capita, we are all too eager to comply with a loan that will wipe out all of our debt, reduce our monthly mortgage payments, remove PMI (Private Mortgage Insurance) and shorten our loan repayment. That's the perfect world. The real world sometimes can certainly give us a stark reality to an over inflated appraised value.

Here's how it happens: The homeowner buys a house in 2000 for $100,000. Typically, with a 10% down payment, the mortgage is for $90,000. After some improvements, a lender approaches the homeowner to refinance the home, lower the interest rate and wipe out the $20,000 in credit card debt. To achieve this, the new loan is for $115,000 and is at 80% Loan to Value (LTV) to avoid PMI Insurance. Unfortunately, the home has to now appraise at $145,000 to cover the closing costs, credit card debt, and still be below a total 80% LTV. In today's competitive market, appraisers are continually being pushed to either "make the value" or lose all the business from that particular lender. So, a house that has a real market value of $115,000 due to minor appreciation and cosmetic improvements, is now "valued" at $145,000.

From the homeowner's perspective, it all looks great. The appraisal came in at $145,000, the payments are lower, there is no more credit card debt, and the lender seemed so genuine.

Unfortunately, the real world creeps up through the cracks. Now the home has no equity, the loan and market value are the same at $115,000. If the owner has a need for selling the house or economic stress hits and making the mortgage payment becomes a problem the home owner is stuck. If they try to sell their home they will need cash to pay their closing and sales cost. Additionally, there is no equity to use as a down payment for another home. The home owner is now trapped and sees foreclosure as the only answer. In the case of non-economic stress, the homeowner finds that they can't afford to sell their home and purchase another due to the mortgage debt in relationship to the market value of the home. There is no more room to get a second mortgage, because the real LTV of the house is close to 100%. The real world just got much darker. This is the type of situation that can ruin a family financially for years.

Subsequently, the ripple effects of a homeowner's financial ruin don't stop at the foreclosure sale. Other industries are affected that hurt the financial stability of the entire market. With foreclosures and bankruptcies in America at epidemic proportions, the continuation of fraudulent appraisals drive risk factors that lenders must build into loans through the roof. Just like shoplifting drives the retail prices in a store up, so do loan losses for banks and mortgage lenders.

Park National Bank's Vice-President Kathy Johnson says, "As a banker and lender, I have seen how an inflated appraisal has hurt the homeowner. We have had a few customers approach Park National Bank about refinancing for a lower rate, but can't because their home will not appraise. In some cases, the homeowner is aware because they were advised to roll the home mortgage, credit cards, and all other debt into their loan. The homeowner suspected that the appraised value was more than what they thought the value was and higher than other homes in their neighborhood. Some are unaware because they are just unsure of what they are doing and place their trust in someone else's hands. People are losing their homes or are unable to sell or refinance due to their inflated appraisals. Customers need to know with whom they are dealing and make sure all parties involved in the loan process are reputable."

McDonald Investment's Pat Moran says, "An over inflated home value can affect a person's retirement plan. When I help individuals in Estate Planning, I consider the equity in their home for liquidity or cash backup. If the value of the home is higher than market rates, it can throw the whole retirement plan off. A person's home is figured into the plan as an asset, and as a part of total net worth. If those numbers aren't correct, it can jeopardize the whole process."

The blame does not fall entirely on the lending community. The bottom line: it takes dishonest lenders and dishonest appraisers to push these deals through. The old saying still holds true: "it takes two to tango." On the other hand, mortgage lenders and appraisers that do honest work are faced with unethical companies and individuals that swoop in to the market during good rate seasons and go out of business just as quickly, leaving the rest of us to clean up the financial mess.

Homeowners can protect themselves from inflated appraisals with these easy steps: 1. Check the counties value of your home. Over recent years county values have become more accurate and can give you a starting point of the market value of your home. Most counties in the southwestern Ohio have web sites to look up information on real estate, including sales history. 2. If any homes are listed for sale in your neighborhood, check on the ask price and get the characteristics of the property. Then, compare that to your home. 3. Be realistic about the value of your home. What you want or need the value to be doesn't mean that's the reality. 4. In selecting a lender or the appraiser, check with the Better Business Bureau to see if there has been complaints filed. Also check with the state regulatory agencies. In Ohio you would contact (614) 466-4100 or read the Ohio Home Buyer's Guide at 5. Use (or have your lender use) a State Licensed Appraiser who is in good standing with the state. Check the appraiser, and if your lender will comply, choose your own. Appraisers should be locally based, with at least a 10 year history in your city. Ask the lender or the appraiser what their philosophy is regarding pushy lenders and "making" value. You can check out more about appraisers in Ohio by calling the Ohio Department of Commerce at

The Ohio Department of Commerce Division of Real Estate and Professional Licensing 77 South High Street, 20th Floor Columbus, OH 43215-6133 (614) 466-4100 (614) 466-4130

or by linking to

6. After the appraisal is complete ask the lender for a copy of the report (You have the legal right to a copy of the report from the lender if you have paid for it. The appraiser is not allowed to provide a copy directly to you under federal regulations unless requested to do so by the lender.) Look over the appraisal and see if the description of your property seems reasonable. See if the comparable sales used are in your neighborhood and are the most recent sales that have occurred.

Most importantly, know that your home is typically the single largest financial investment that you will probably make. Ask yourself if paying off your credit card debt is worth loosing the real equity in your home.

For more information, please contact Stickelman, Schneider & Associates, Inc. at 937-436-3924 or visit us at

Dayton Business Journal - May 19, 2003

Appraisal firm plans to use new software to help it grow

Brian Womack
DBJ Staff Reporter

A Centerville-based appraisal firm sees its value rising.

A successful software product has put Stickelman, Schneider & Associates Inc. on an aggressive growth track. It's doubled its size in the past four years and plans to grow nearly 20 percent again this year, principal Ronald Stickelman said.

Expanding the software into central Ohio and other parts of the region will drive much of that growth, he said.

The challenge for Stickelman is making sure that the firm doesn't grow too fast, he said.

"This could explode, and we're working hard to control it."

The gas in his growth plans is a software the nearly 20-year-old firm designed and released in 1999. After a few years of proving the effectiveness of the technology, he sees opportunities to stretch its sales beyond the urban areas of Dayton and Cincinnati.

He said the software has saved clients -- usually banks and mortgage brokers -- time and money, cutting the time it takes to complete appraisal reports by several days and charging customers less than $100 per average home, not the typical $300.

Ann O'Rourke, editor and publisher of Alameda, Calif.-based Appraisal Today, said it's unusual for a local appraisal firm to design its own software and then find customers to use it. Typically, they depend on the tried-and-true method of going out to homes for a first-hand view.

"I have to give Stickelman credit for really trying to get that together," she said. "... Stickelman's on the right track."

The company has grown from about $1.5 million in revenue and 17 employees in 1999 to about $3 million in sales last year, with 35 staff members.

This year, he expects sales to climb to at least $3.5 million and to add 10 to 12 employees.

About 25 percent of Stickelman's sales come from appraisals using his software, while the rest are still handled by people, he said.

And now the firm will use its software in more areas. Currently, the firm uses software in only 12 of 31 counties that Stickelman covers in southwest Ohio, and only in urban areas such as Hamilton and Montgomery counties.

The software expansion will cover the remaining rural counties and add Columbus, as well, one of the hottest real estate areas in the Tri-State region.

Depending on the success of sales in Columbus, Stickelman is looking at adding an office there. With that, the company would add another 10 employees within a year.

And while Northern Kentucky and northern Ohio are on the radar screen, too, he won't expand much beyond the Ohio region because it's difficult to accurately track home values in unfamiliar territory. However, he said he's willing to sell his technology to other appraisal firms around the country, especially in growing markets such as Atlanta.

The software has gained attention because it uses small areas to compare home values in estimating the value of a house, he said. It looks at homes just a few streets away to estimate a value, instead of an entire ZIP code, as other software systems have done, he said. After that, a human appraiser makes sure all the data being used is applicable. In addition, the appraiser views a picture of the home to make sure it matches the descriptions.

O'Rourke said appraisal firms should be using this software more often because the old way of doing things won't ensure long-term growth rates once the refinancing boom ends.

"Appraisals are based on the same model from the 1930s," she said. "When the crash comes it's going to shrink (them) down."

Stickelman also is looking for a new location to house its Dayton headquarters that would cover about 6,000 square feet, nearly triple what the firm uses in Centerville.