So what does an avm tell us about how it got that adjustment, what it looked at, what it ignored, why it did that, what it didn't use, etc, etc,... The answers is 'crickets'
But like no other profession, we have to explain it all for the small fee that we already get.
No wonder i have gone back to my start of fixing and flipping days.
If avm is so good, why do we need realtors to give a listing price, just have CU set the value, period. Just kidding Realtors, hahahah.
Underwriters who assume they know better than the appraiser, are a different kettle of fish however. They're mostly unaccountable. One told me in an underwriter training class in 2004, that she'd just have appraiser delisted by AMC if they come with the attitude of being correct or right! She said she needed to protect her lender, and the appraiser was standing in the way. I was a minority in the class, because I took the class by Mortgage Bankers Association, to try to understand the underwriters' thinking. As an appraiser, it was like a goat in the midst of a pride of lions... easy lunch. I wish I'd given them a perspective they didn't know then, in retrospect. I failed myself out of fear.
Sometimes, even the best data defies logic. For instance, appending time of sale adjustment, in a subdivision-market, with 4 sales in 7 months and 1 sale in 3 months, that has increased by 73% in values in one year, but no sales since 2020. No sale above $150K. That's adequate data from subdivision. Unless we're values shopping, data in subdivision meets the law of the report's requirements. To append or not to append time of sale adjustment can be simple, or difficult, depending on the beliefs of the appraiser, not the underwriter, and it ought to be respected. There's a reason why the two professions have different names. Why subjugate the opinion of one, albeit imperfect, to that of another, also imperfect? Just musing.
Now AMCs are very, very, very scared of underwriters. Especially the opinionated ones, who believes she's the supervisor in the appraisal process, you will not win that argument. I never stop trying to remind them that my report has to have reflections of my writing style and opinions, and they hate that. But I'm sure if more of us can push back respectfully, such people will pull back a little. That way we save other appraisers from being their victim in the future, and they pretty much would leave you alone after that. Leaving you to wonder what was that all about!
Most AMCs however, a large plurality of them, have put in place internal safeguards for the process that protects against abusive practitioners. Two decades on, I have written three AMCs to remove my name from their list used for advertisement to potential clients, and they responded respectfully, with affirmation of the removal, I have no way to corroborate, but that's okay.
Feedback helps us all. Respectful feedback, articulately rendered, does wonders. Because you've made it about them and the process, not about the fee appraiser. Respectfully submitted.
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