AMC Allocation of Commercial Jobs?

[ZZGAMAZZ]

Do commercial appraisals for convention fe-si assignments get allocoated via AMC's similar to the residential assignment process [with exceptions for direct lenders, etc., etc.} ???

A Family for whom I conducted several residential appraisals need an appraiser for the re-fi of their 6-unit apt building in Los Angeles, and I don't know if I'm wasting my time trying to find somebody.

 

[George Hatch]

For the most part the lenders and investors engage directly with appraisers they know.

 

[glenn walker]

Y

Do commercial appraisals for convention fe-si assignments get allocoated via AMC's similar to the residential assignment process [with exceptions for direct lenders, etc., etc.} ???

A Family for whom I conducted several residential appraisals need an appraiser for the re-fi of their 6-unit apt building in Los Angeles, and I don't know if I'm wasting my time trying to find somebody.

Yes your wasting your time and yes the AMCs all have CG-AG licensees on their order panels.

 

[Zoe]

If your previous client was "the family", you could do it legally. Be careful.

You have a new client now.

 

[Zoe]

I don't know what dollar amount your license allows. I'll lead you further. Consider hooking up with commercial appraisers near you and letting them guide you and help set the fee to the lender.

My reasoning is you are in multi family vs single family and income cap will be necessary.

You will either have to do like GRM etc in sales comparison and/or income cap approach.

I don't know your subject.. Good luck.

 

[George Hatch]

If it's a secondary market investor then they probably have the previous appraisal onhand. Simplest and fastest solution is to get the update from that appraiser. Unless they don't like the quality of the previous appraisal.

 

[Zoe]

If it's a secondary market investor then they probably have the previous appraisal onhand. Simplest and fastest solution is to get the update from that appraiser. Unless they don't like the quality of the previous appraisal.

That if is a biggie and especially since this appraiser is already involved with previous assignments with property owner.

 

[Zoe]

What is difference between "if" and "is"?

 

[Gobears81]

There is certainly the element of fastest and cheapest for commercial AMCs, although a fairly high percentage of banks are bidding out on their panel in this manner also. Occasionally, commercial AMCs will assign a direct award (or something close to it), but have heard a time or two that this was after the first appraiser screwed it up.

 

[J Grant]

There is certainly the element of fastest and cheapest for commercial AMCs, although a fairly high percentage of banks are bidding out on their panel in this manner also. Occasionally, commercial AMCs will assign a direct award (or something close to it), but have heard a time or two that this was after the first appraiser screwed it up.

Do "commercial AMC's" have staff appraisers?

In my experience, there is a big difference between a bank bidding out an order to their fee panel, because the bank is looking for a reasonable cost , which is paid by the consumer. For example, if the fee bids range from $4000 to $6000 for an order and the $4000 bid wins, the borrower is charged $4,000, correct?

But an AMC is not just looking for a reasonable cost , they are looking for a super low fee that throws back PROFIT to them. For example, in the above, if the $4000 fee bid won, the borrower might get charged $5000 by the bank and the AMC makes the $1000 spread. However, as you note, there is low activity of AMC's in commercial, because with less volume and more diverse points of order, the AMC can not control the supply and demand enough push fees down low enough to make a profit.

If the AMC controlled a big volume of commercial the way they do residential, in the above example, a $4000 bid would not win - a $2000 bid would win.