I am not doing the 3.6 FORM deal

[J Grant]

Fair enough. If we're using hyperbole to demonstrate our position(s) though, do we want to introduce the fact that it is VERY common, when procuring two appraisals, for those two values to be markedly diverse? To the tune of 15-20%? What about the fact that folks still use $20/foot for GLA adjustments and $10k for pool adjustments? What about the fact that folks use the 'market trend' tools without having a clue what they're doing? I mean - we could go on ad nauseum... if we're using hyperbole to defend our positions...

Two good appraisals on most properties should not be 15-20% different. IF they are, one of the opinions of value should be more well supported than the other (unless for some reason they are both wrong. A very complex property might be an exception, however even there, one value on such a wide spread should be better as credibly supported with comp choices and adjustments.

AMC bidding for the low fees has kept a pool of less competent appraisers busy.

 

[alebrewer]

Two good appraisals on most properties should not be 15-20% different.

Couldn't agree more. Unfortunately, such is seldom the case.

 

[J Grant]

Couldn't agree more. Unfortunately, such is seldom the case.

Seldom the case? Is it that bad out there from AMC pitiful selection based on low fee ?

Again, two competent appraisers should not be that far apart on a regular property.

 

[alebrewer]

Seldom the case? Is it that bad out there from AMC pitiful selection based on low fee ?

Again, two competent appraisers should not be that far apart on a regular property.

I wouldn't know, as I don't do work for AMC's, nor does the company I work for employ AMC's. I do, however, know that it's that bad out there from a direct engagement lender's perspective based on C&R fees.
And again - I couldn't agree more. Sadly, that is not the case.

 

[Essexfenwick]

The purpose for an appraisal regarding a sale is to identify fraud or excessive bid war. Honest mistake, Skippy hedging and a certain level of incompetence doesn't poison the mortgage investment bundles. They just need a system to police widespread fraud cancer.

Those are not nit picking candidates and very few.

AI can probably identify the likely candidates and require a data collector on those before it does an AI valuation. All others should be given waiver.

They were all ready to go this route in 2006 but the meltdown chaos popped the beer muscles and gave the whole industry a EMP meltdown

We were super fortunate to get 20 more years

 

[Sadie]

I'll be kinder and gentler than Alsie. I'll ask the question so many want to know the answer to, but are hesitant to ask because it may appear unprofessional. For those of us who have made duplication an art, whether it's by subdivision, location, etc. will the form that isn't a form be "clone friendly" ? Note that professionals say template, notary public candidates like moi say clone. I hope SFREP is in the game because I have always loved their software.

I have heard they are working on it. Because we will all jump ship to the first appraisal software company that has that.

 

[Sadie]

A series of "dynamic" drop-down fields that are not visible until prompted, then gets filled in in real time, sounds like it is fundamentally incompatible with appraisal report forms software. If that were not the case, the software programs could easily integrate the added data fields. like they did when UAD was first introduced.

Any data fill solutions will not resolve the real time suck in appraisals, which, among other things, is finding the information that is not readily available as "data".

I agree totally. Its a whole new world. My software co. had to take a break from getting the platform ready for appraisers to get the Fannie/Freddie ok on what they had so far. It is really a sucky thing that didn't have to be a sucky thing.

 

[Sadie]

The new ecosystem is data collection


That's the plan. Higher fees slower turn

Now we only want data collectors... Appraisers have failed (they weren't content with just being racist).

I believe it was Pulte (?) who said that appraisals are grist in the mortgage mill. So now they are pushing them to be more 'exact' and take longer? SMH

 

[John Hassler]

I wouldn't know, as I don't do work for AMC's, nor does the company I work for employ AMC's. I do, however, know that it's that bad out there from a direct engagement lender's perspective based on C&R fees.
And again - I couldn't agree more. Sadly, that is not the case.

That is a reflection of your organizations appraiser engagement policy. It takes effort to hire top professionals be they appraisers, contractors, accountants, lawyers, etc.

When it comes to conventional mortgage lenders, they have very low standards for appraisals regardless of what their PR Department says, and reflected in the results you’re seeing.

 

[J Grant]

I wouldn't know, as I don't do work for AMC's, nor does the company I work for employ AMC's. I do, however, know that it's that bad out there from a direct engagement lender's perspective based on C&R fees.
And again - I couldn't agree more. Sadly, that is not the case.

Sorry but you do not speak for all lenders and your posts have been less than reliable in the past. If your panel of whatever mystery company you work for has such lousy people on it that they are coming in 15-20% apart on regular properties - oh stop, wait, another rabbit hole . WHY are they ordering two appraisals done on the same property??????

Care to explain? It is not normal for a company to order two appraisals on a property (Which is how you are comparing, right? ) unless it is a high-value jumbo loan/complex or a red flag/review/other situation.