3.6 Crunch Time

[meatsandbounds]

IDK why any young person with talent and ability would want the high-stress, low-paid job at an AMC. The AMCs can lay people off in slow times. I guess they will attract enough for their needs, but it will be a high-turnover, burnout group..

..I see a need remaining for some fee appraisers as some lenders (hopefully) might continue to use their own panel and there is some private work to be had, or coverage where an AMC does not have enough staff.

The future might be different for a number of young people across the board, but this field is starting off in a bad place. An appraisal assessor job might be an option for some folks.

I have had the luxury of only ever being in a fee shop, and I wouldn’t want anything else. Thankfully, I’m in an central area and geographically competent in most of my state that I know my own fee shop will be just fine when my dad finally decides to close up the family firm (and already have the EIN ready to go when that happens). Even if I move states, the analysis process is the same, and my chances of being a younger appraiser in an area is still pretty good. Plus, my wife and I are willing to be adaptable where the work is, so I for sure see a lot of opportunity with the great retirement wave coming up.

But I think what will really make or break those left on the fee side is the ability to actually run a business, and that is what will kill most independent appraisers. Many in prior years probably had enough order flow to cover over the sins of their (lack of) business practices, or were good networkers alongside their defensible reports. But any time the rubber hits the road per the last few bad cycles for appraisers, those who were just kind of winging it get the stick first.

 

[Non Sequitur]

3.6 isn’t going to be delayed. And for those who weren’t paying attention the 3.6 run up didn’t happen in a vacuum. If you look back the last several years GSEs expanded waivers from refinance with no cash out, to refinance with cash out, to purchases, then they expanded the LTVs. Then they started pushing PDC’s with their national Get the Facts campaign. Now here we are with 3.6. Again for those who aren’t paying attention, up to 90% of GSE loans qualify for something other than a full 3.6 appraisal. If 3.6 appraisals become too expensive or too hard to obtain for lenders they have options, and that was no mistake.

 

[Trihard]

3.6 isn’t going to be delayed. And for those who weren’t paying attention the 3.6 run up didn’t happen in a vacuum. If you look back the last several years GSEs expanded waivers from refinance with no cash out, to refinance with cash out, to purchases, then they expanded the LTVs. Then they started pushing PDC’s with their national Get the Facts campaign. Now here we are with 3.6. Again for those who aren’t paying attention, up to 90% of GSE loans qualify for something other than a full 3.6 appraisal. If 3.6 appraisals become too expensive or too hard to obtain for lenders they have options, and that was no mistake.

This is all due to the bailouts when the GSE's crashed the market with the help of wall street. None of those people went to jail. Here we are again. They know that if they crash the market again, they will be bailed out by congress with zero repercussions. This industry is such a joke.

 

[Vermonter]

So what software are you going to use?

Total worked for me in practice. Total mobile apparently won't work with my tablet, but I can worry about that later.

 

[Bobby Bucks]

Same old Fannie and Freddie propaganda. No one is ready for this 3.6. We are 3 months away from full implantation. I have yet to see any 3.6 order. And I know other appraisers who have yet to see a 3.6 order. And the software is full of bugs and problems. The best thing for appraisers to do is take a rain check on 3.6 until the software is at least workable.

They have an absolute mess and don't want to admit it. I began asking Grok questions almost daily and I have noticed a change in responses. Grok still will not admit 3.6 is an abomination, but the finger of blame for the system bugs has shifted and concerns and complaints of appraisers are being noticed.

 

[Fnbpos]

I did not notice any responses from anyone who has completed a 3.6 with ACI software. That is what I thought, since i could not get a report to the finish line and their tech department confirmed the issuses. At this point, ACI: no templates, no carry-forward entries, no auto math calcuations, no working sketch or mapping within the report. Not sure how this constitutes "approved and ready"

So, this has forced a look at SFREP - night and day difference. Templates yes, math calcluations and carry-forward yes, color coded - easy to navigate; took 3 hours to complete a single report that is ready to send to the client - and that 3 hours included trying to "figure things out" being it was the first attempt.

I think ACI has "you-kown-what" the bed. Using the cloud might turn out to be the worst decision they made. Its hard to believe any practicing appraiser had any input in the software design. I'll still give them the opportunity to get-it-together but i'm not liking what I see so far.

 

[cashcatz]

Interested in the free Reggora software - have not received it yet - anyone have the demo ?

Reggora is not free, you are the product - they are mining appraiser data with the express intention of replacing you. Their VC money bro-dude founder is actively vocally against appraisers.

 

[Joe Flacco]

Everybody is mining appraisal data.

 

[cashcatz]

Everybody is mining appraisal data.

Not true. Read your software provers terms of service (or email and ask them). Here's ours: https://www.appraisalinbox.com/legal/terms-of-service

 

[cashcatz]

Not true. Read your software provers terms of service (or email and ask them). Here's ours: https://www.appraisalinbox.com/legal/terms-of-service

SFREP and Freedom also don't mine and resell, haven't looked into the others. But if they are VC funded, their biz model is generally data mining as revenue from software licenses is small peas in comparison.