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Rrebera

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"We can't solve problems by using the same kind of thinking we used when we created them."
Albert Einstein
 

Restrain

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The Fed says it's needs more control over the banks so that insolvencies will be reduced. Now, they're the same bunch that allowed for rediculously low interest rates and a declining dollar.

I don't think so.
 

Julio E. Sune Jr. (FL)

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The U.S. Army Way.....

1__What is the cause of the problem (mission purpose)
2__What is the purpose of the mission (course of action)
3__What are the probable courses of actions in order to successfully complete the mission [solve the problem]

4__What is the BEST course of action
5__What are alternate courses of actions [Plan B, Plan C.......]
 

The Warrior Monk

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"We can't solve problems by using the same kind of thinking we used when we created them."
Albert Einstein

This is exactly the reason why I am against the HVCC. One of the biggest problems in the appraisal profession over the past decade has been appraisal management. What's the solution? More appraisal management, of course.

Gee, I'm sure that will work real well.
 
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I love it. Those that have been 'running' the appraisal ordering processes and the AMCs have already proven they did it WRONG and should NOT be allowed to be involved in any of the appraisal ordering processes going forward.
 

Tim Hicks (Texas)

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This is exactly the reason why I am against the HVCC. One of the biggest problems in the appraisal profession over the past decade has been appraisal management. What's the solution? More appraisal management, of course.

Gee, I'm sure that will work real well.

David,

Appraisal management is not one of the biggest problems when it comes to mortgage fraud and the mass foreclosures due to inflated appraisals. The appraisal management concept is good if applied correctly for appraiser independence. The problem is the current AMC's are greedy, money grubbing XXXXX's that care more about profits than appraiser independence. The minute amount of fraud associated with AMC's (see NY AG Cuomo) is directly related to lender pressure.

Lender pressure is alive and well still to this day. Mortgage brokers do a lions share of the mortgage business around here and if you don't play the hit the value game, you don't get the work. They have not slowed down one bit. It is a sacrifice to adopt the HVCC, but it is a necessary evil to put the appraiser back to doing his job without lender pressure.

We as appraisers need to find a way to break the current AMC system that is based on lower fees for the appraiser and profits for the AMC's not the ability to obtain high quality appraisals from the most qualified appraisers. The AMC's should not be in power, but lender pressure gives them just the propoganda they need.

For those of you that think the AMC's are getting low quality products, you may have to re-think that. They have so many requirments for market conditions, comparable sales, distance to sales, etc, that they are getting a decent product for cheap. Maybe not the best product, but enough to handle underwriting which is all they care about besides price.
 
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The Warrior Monk

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David,

Appraisal management is not one of the biggest problems when it comes to mortgage fraud and the mass foreclosures due to inflated appraisals. The appraisal management concept is good if applied correctly for appraiser independence.

Lots of ideas are good if applied correctly. For example, communism is great in theory. Unfortunately, in practice it leaves little to be desired.

The problem is the current AMC's are greedy, money grubbing XXXXX's that care more about profits than appraiser independence. The minute amount of fraud associated with AMC's (see NY AG Cuomo) is directly related to lender pressure.

While many probably are getting tired of me beating the drum, it is the appraiser's choice of who they wish to work for. What many appraisers offer and what they charge is utterly incompatible with AMCs, and thus they don't work for them.

Regulations take years to implement, and the desired result is rarely achieved. However, if all appraisers told the AMCs to take a flying leap today, condition will change tomorrow.

Lender pressure is alive and well still to this day. Mortgage brokers do a lions share of the mortgage business around here and if you don't play the hit the value game, you don't get the work.

There is more than one type of client to work for.

It is a sacrifice to adopt the HVCC, but it is a necessary evil to put the appraiser back to doing his job without lender pressure.

It is a sacrifice I, and many others, am not willing to make.
 

Ken B

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I can be added to those that agree in many ways with David. The drum to which David refers must be beat long and loud. I believe Ben Franklin is credited for saying something about those willing to sacrifice freedom for security deserve neither. True then and true now. In many ways.
 

Greenback

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Louisiana
Appraisal management is not one of the biggest problems when it comes to mortgage fraud and the mass foreclosures due to inflated appraisals. The appraisal management concept is good if applied correctly for appraiser independence. The problem is the current AMC's are greedy, money grubbing XXXXX's that care more about profits than appraiser independence. The minute amount of fraud associated with AMC's (see NY AG Cuomo) is directly related to lender pressure.

Lender pressure is alive and well still to this day. Mortgage brokers do a lions share of the mortgage business around here and if you don't play the hit the value game, you don't get the work. They have not slowed down one bit. It is a sacrifice to adopt the HVCC, but it is a necessary evil to put the appraiser back to doing his job without lender pressure.

We as appraisers need to find a way to break the current AMC system that is based on lower fees for the appraiser and profits for the AMC's -not the ability to obtain high quality appraisals from the most qualified appraisers. The AMC's should not be in power, but lender pressure gives them just the propoganda they need.

For those of you that think the AMC's are getting low quality products, you may have to re-think that. They have so many requirements for market conditions, comparable sales, distance to sales, etc, that they are getting a decent product for cheap. Maybe not the best product, but enough to handle underwriting which is all they care about besides price.

Well, supply and demand can work both ways. Unfortunately, when it doesn't work, it may be communism/socialism; definitely price fixing. The fee is what will break most Appraisers' back.

First comes the power, then comes the money. Without power, there is no money; unless there is a moonshot or ya won the lottery. Real Estate Appraisers have a lot of power, but the way the behavior has evolved, somewhat, through the propaganda, is an act of belittlement (brainwashing). If every Real Estate Appraiser in the nation, that cared about being one, stood up and came to a reality that the power involved with one stroke of their pen, is very significant, this may be a different world. To be able to put a value on the origin of wealth is beyond power and, the lenders and AMC's know it.

Real Estate Appraisers have so much power it has led to a full blown brainwashing in order for control and manipulation to breed. The name AMC should have been a concern a long time ago. The name itself is an implication.

AMC's need to be defined before they define the Appraiser. This may help, even if its a typical political ploy. If, somehow, the AMC's are defined seperate from a true firewall, this may contribute to fairness (fairness is sacrifice for some or many) to begin with.

Putting the monkey on the AMC's back is what the HVCC does. AMC's don't know how to act and this is what gives the HVCC weight, in a weird way. Consolidating the excess within their current state of affairs actually makes it tougher on the AMC's that are in the mix, as of today. The HVCC speaks of fees and Independence, as well as ethics, and these three things are what can absolutely break the current AMC system's back. Without the appropriate power, however, everything may be for not (IVPI).

I agree, the "concept", is good, if applied correctly and then evolved. I also agree that there is always a sacrifice when fixing or enabling an economy to grow.

AMC's demand many things, but I think it depends on whom the AMC is, the location, the timing, and their intention. What they all seem to have in common is data stealing, low fees, and horrible service. They all take different venues at different times in order to reach their cruel intention.

All in all, AMC's suck - but a true firewall with enforcement may not!

I think Mr. Wimpelberg has some valid points, and I feel like I kind of know where he's coming from in his argument. I agree with Mr. Hicks, though, there has to be a sacrifice some time down the road with a good enough plan to interpret those sacrifices in order to completely act on good intentions.

The HVCC is a good start in my eyes, only if the IVPI is present, acting Independently, enforcing ethics and quality. Fees are tied to ethical issues. Fees are currently pushed upon the Appraiser, no matter the supply/demand factor. Price fixing is a problem in America, as a whole, not just in the Appraisal profession.

Sincerely,
 
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