Appraisal With No Inspection By Appraiser?

[J Grant]

There are two driving forces. By far, the biggest factor is turn time. To an appraiser, saving a day or two is no big deal. Applied to a mortgage portfolio, a day or two is very significant money.

Also, there is a big desire to change the overall borrower experience to be more similar with what consumers experience in other areas. Sitting around for a couple of days waiting on someone to call and schedule an inspection is just "old fashioned," or at least it feels that way in today's world. Dedicated inspectors tend to get inspections done much faster, and some are even using modern scheduling technology that many/most appraisers do not use or even have access to. In some cases, appraisers have even fought using such technologies.

I am not arguing personally with you since it comes from other pressures, but this is reminiscent of lender recklessness/loosening standards in the boom.. Fannie, forgetting its role as a mission of public trust / prudent practice is going to twist appraisals as they have been done for decades to procure $ for lenders by closing a day sooner. their mortgage portfolio .

Gee how is a non appraiser calling for the appointment less old fashioned than the appraiser calling for the appointment ? Appraisers for mortgage lending typically don;t wait a couple of days to call! , However, appraisers can wait days or a week for customer to call back or be available how will that change with an inspector?

OMG what modern appointment setting technology is going to be available to the inspector an appraiser lacks?..if it is so great let appraisers use it! Still, NOTHING will change the fact if homeowner can't make appointment till Friday, it's Friday.

Pure PR spin. RE consumers need to experience what they do in other areas...they are not dumb enough to believe that. This is all about speed to trap consumers into staying with a lender no time to reconsider or shop around and getting $ to lenders in a faster closing. If a consumer thinks getting a loan and appraisal should be as easy as clicking for an UBER ride they are instant gratification naive. A borrower getting instant approval super fast appointment close might regret the rush later.

And they sure won't be sharing a great consumer experience if they miss a couple of payments /their house value tanks sending them into short sale or default...then it will be just old fashioned pain and loss .

 

[Mr Rex]

If turn times are so critical to lenders, why do they wait until the very end to order the appraisal? Have the borrower pay for it at the time they initiate the loan application process and order the appraisal the same day. It ain't rocket surgery. Borrowers with some skin in the game may save the lenders countless hours working on loan apps that go nowhere due to unqualified borrowers that they don't get paid for. Or do they?

 

[J Grant]

Red flag any time sales people start rushing the process...high pressure sales practice hurry a borrower typical of car dealers, drive it home today ! now coming to mortgage lending.

 

[hastalavista]

The next big push for appraisal groups will be to write legislation to not permit AMC to have staff appraisers. Reviewers only.

Is that a serious initiative (even if it is in its infancy now)?
I don't see how that would win approval because one (IMO) would have to make that same argument is applicable to lenders (AMCs can act as agents of the lender, no?).

 

[J Grant]

Red flag any time sales people start rushing the process...high pressure sales practice hurry a borrower typical of car dealers, drive it home today ! now coming to mortgage lending.

I experienced it myself recently when I pre qualified for refinance. A whole new level of aggressive pushiness from certain mortgage companies.

 

[DWiley]

Gee how is a non appraiser calling for the appointment less old fashioned than the appraiser calling for the appointment ?

Online scheduling - like my doctor and dentist both use now - is very widespread these days. As you may recall, there have already been a few heated threads on how that might apply to the appraisal process

Appraisers for mortgage lending typically don;t wait a couple of days to call! , However, appraisers can wait days or a week for customer to call back or be available how will that change with an inspector?

Perhaps YOU do not wait 2 days, but many wait that long or longer, and most users have data to show that.

 

[J Grant]

Online scheduling - like my doctor and dentist both use now - is very widespread these days. As you may recall, there have already been a few heated threads on how that might apply to the appraisal process

Perhaps YOU do not wait 2 days, but many wait that long or longer, and most users have data to show that.

I doubt it since many AMC's and lenders demand same day or 24 hour call for appointment and bug the appraiser to death if appointment not made. Again, this is all about lender profit. to speed things along.

A borrower big deal online scheduling , or let appraiser do it online if a borrower wants it that way. But whether an appraiser or inspector calls, makes appointment online or an app or a text , it's not a dental cleaning, a loan or purchase involving hundreds of thousands of dollars is something borrowers may do a few times in their life and is a big financial commitment. .Wrong, rushed decisions can mean long term loss for borrowers...yeah they'll be so happy their closing was a day sooner as the REO securing company changes the locks.

 

[timd354]

I doubt it since many AMC's and lenders demand same day or 24 hour call for appointment and bug the appraiser to death if appointment not made. Again, this is all about lender profit. to speed things along.

I love it when someone with no knowledge or data whatsoever about something argues a point with a guy who has access to all kinds of data that is on point.

I also love it when appraisers criticize lenders for trying to maximize profits while at the same time bellyaching about appraisers not being paid more. Guess what, lenders and appraisers are both in this business to make a profit.

 

[J Grant]

I love it when someone with no knowledge or data whatsoever about something argues a point with a guy who has access to all kinds of data that is on point.

I also love it when appraisers criticize lenders for trying to maximize profits while at the same time bellyaching about appraisers not being paid more. Guess what, lenders and appraisers are both in this business to make a profit.

You've repeated this same message denigrating what appraisers say (because that's what this amounts to ) on many threads from various posters on a wide range of topics. . YAWN.

Lenders get bailed out when their schemes to make a profit crash the economy, appraisers don't get bailed out .

Your arrogant lecture guess what lenders and appraisers are both in this business to make money is absurd, as if we did not know that and have been waiting all these years for you to tell us that.

 

[DWiley]

Wrong, rushed decisions can mean long term loss for borrowers...yeah they'll be so happy their closing was a day sooner as the REO securing company changes the locks.

Has our role as appraisers now expanded beyond just providing information for the lender to evaluate risk? Are we now "social police" charged with protecting borrowers from their own bad decisions? I am happy to provide objective and unbiased opinions, based on analysis of relevant data, for lenders to use in risk analysis. But, I don't see anyone forcing people to purchase homes or apply for loans, and I don't see how policing that is the appraiser's role.

The irony meter is pegged out when appraisers complain about their own fees and then are critical of others who want to increase profits. Pot, have you met the kettle?