No College Degree for Cert Generals or Residential Appraisers

[George Hatch]

A lower supply helped, but I doubt that was the main reason. What are the stats for the volume of work funneled for commercial work vs the volume on the res lender side, through AMC 's?

Some commercial appraisers of course, do res lending work and some even do it for AMCs .

Some CGs do 1-4 work instead of CG work. Heck, a small handful of those are MAIs. Their license notwithstanding, if they're operating as SFR appraisers then they're part of that market. I do some crossover myself, albeit usually not for regular SFRs and not for the GSE pipelines.

 

[J Grant]

AI Overview

There's
no readily available public statistic breaking down the exact percentage of commercial versus residential appraisals handled by Appraisal Management Companies (AMCs), but the vast majority of AMC volume focuses on Residential Appraisals due to mortgage lending regulations (like HVCC/Dodd-Frank), while commercial appraisals are often direct-sourced or managed by specialized commercial firms, though AMCs do serve both, especially for smaller commercial properties or portfolio work.
Key Differences & Why This Data is Scarce:

• Residential Focus: AMCs primarily serve lenders for single-family homes (mortgage-backed loans), which demand high volume, standardized reports, and strict independence, making them ideal for AMC models.Commercial Complexity: Commercial appraisals are complex, often unique, use more detailed approaches (income, cost, sales), and involve specialized appraisers, leading to different management sructures.
• AMCs Dominate Residential: Most residential appraisals in the US go through AMCs.
• Commercial is Mixed: While some AMCs handle commercial, many large commercial deals go to direct lender relationships or specialized commercial appraisal firms.

• 
  
  
  
  

Show all

































Dive deeper in AI Mode
AI responses may include mistakes. For legal advice, consult a professional. Learn more

​

​

​

​

​

​

​

 

[J Grant]

Isn't it weird (sarcasm) that whenever I ask AI for the answer, it backs up what I posted -

 

[George Hatch]

Isn't it weird (sarcasm) that whenever I ask AI for the answer, it backs up what I posted -

That's what's called the argument to authority - your AI is right because it's an AI, not because it's actually right. Their response (we don't know so nobody knows) just proves how removed from an original source on this topic they are. Same as you.

I did an assignment for an AMC last year but it was a re-do of a property I had previously done for a different lender some years earlier. First and only in 30+ years of CG work.

I have lost assignments to the national firms on a fair number of occasions because they have regional and nationwide coverage, which is the same way AMCs operate. In those examples retaining the same firm for a multi-state portfolio adds continuity to the underwriting. THe national firms also offer a wider array of technical comptency than any one appraiser can offer. I just saw an appraisal this week covering a large hospitality property (which I don't do) that was done by one of the national firms. Other examples that I don't do include gas stations, golf courses, hospital and residential care facilities, big industrial and office and so on. I have my own very significant limitations just like everyone else.

 

[J Grant]

Anticipated in advance (because you ain't that quick and you ain't that deep) and answered in #203.

If you want to say 2% of the AMCs in your state control 60% of the market and they're operating as a criminal conspiracy that demonstrates a fairly dazzling degree of paranoia.

Stop gaslighting by LYING about what I said!!

I challenge you to find where I said they're operating as a criminal conspiracy. I never said that and thus you will never find it in my posts. Shame on you for making it up.

I told the truth, which AI backed up and that any appraiser doing a lot of AMC work will attest to - that a limited number of AMC's funnel a large majority of the work, making the supply/demand very skewed.

 

[gregb]

During that same period, the number of CGs went from 3489(2001) to 3389 (2008). THAT's why AMCs were unable to do the the CG trade what they did to the 1-4 markets for services.

This may be part of the picture, but the reality is that lenders were unwilling to let AMC's manage their commercial appraisal assignments, regardless of the number of CG's. In 1990-1995 many CG's in Santa Barbara, who did only commercial work, were slow and the MAI's were willing to work for peanuts.

 

[J Grant]

It just proves how removed from an original source on this topic they are. Same as you.

That's a laugh, since you do not do URAR appraisals nor have you worked for AMCs ordering res appraisals.

AI searches the data from many sources and is relied on at all kinds of levels -it can be off at times but mainly gives a correct overview. It looks like you are disparaging AI because it does not support your position.

 

[gregb]

AI searches the data from many sources and is relied on at all kinds of levels

Ask AI if co-mingled fees had any impact on the hegemony of AMC's in the residential appraisal market. Zoe may not find the answer to his liking.

 

[George Hatch]

That's a laugh, since you do not do URAR appraisals nor have you worked for AMCs ordering res appraisals.

AI searches the data from many sources and is relied on at all kinds of levels -it can be off at times but mainly gives a correct overview. It looks like you are disparaging AI because it does not support your position

I'm not disparaging AI because it's AI. I'm suggesting that your argument to authority is a logical fallacy. You might as well have asked Fernando that question because all he's going to give you is what he can find online, same as the AI did. Just because Fernando agrees with you doesn't prove that either one of you are right.

And, I don't have to work for AMCs in order to become aware of how little market share any single AMC is handling - from an original source that is in a position to disclose that fact. Your assumption to the contrary forming another logical fallacy.


You still haven't addressed the question of how there can be 211 AMC registered in your state if only 5 of them control the market. Is that some Criticial Theory reasoning going on in there somewhere?

 

[Dale Floyd]

Explain this : Before the HVCC, the SAME SUPPLY of appraisers had no problem collecting C and R fees from mortgage clients. Immediately after the HVCC the SAME SUPPLY of appraisers saw fees cut in half, then the lenders fled en masse to HVCC. This kills the nonsense that the low AMC fees are due to an oversupply in the past of trainees.

I can’t answer for Florida or your business model, but the HVCC solved a ton of issues for us. I wasn’t a fan of all of it, but our fees went up significantly and banks ceased using only choice appraisers who gave them predetermined results. AMCs popped up everywhere and the handful grew to dozens, but the threat of losing business if we didn’t give lenders what they wanted, was eliminated. We had a few clients who refused to pay if mortgages didn’t close.

Granted - There were some drawbacks, and I’m sure it was different in some other areas, but it helped us.