Alamode/corelogic/smartexchange - You Have A Right To Be Paranoid

[Meandering]

Yes you could make an argument for semantics. Unless we get some Australian folks on here we won't be able to go back in time.. maybe 15-20 years.. when their appraisal practice was broken and replaced by unlicensed "valuers". This is still English and there is not professional term for an appraisal called a valuation. Just as CoreLogic tried to patent the "appraisal process" (and failed mind you) they are then forced to come up with a different term that sends "valuation" or "appraisals" in a new direction so that they can skirt the old guidelines. For us, that is USPAP.

I don't have time to spell it out for all the naysayers. However, the Australian path to anyone with a ipad being able to complete a "valuation" is the same path that is taken place in America. They have dissected the appraisal process into compartments so that no one piece must conform with USPAP. FNMA assisted with this step by dropping the requirement that an appraiser must inspect the property. The changing of the name of the value estimate is essential for them to bypass appraisal standards. The appraisal process can even be patented then (think Zestimate) if they add a little tech spin.

These processes will be far less than what you provide in your services. But as you see.. it doesn't matter. The $$ is too great for them to care so they will continue down this road and make the "appraisal" obsolete and the "bifurcated" or some other name will be the standard.

Don't believe me? Explain why the Appraisal Institute is also on board? http://appraisersblogs.com/AI-national-damaging-appraisers-livelihood

Find it a little unnerving maybe that FNMA refused to accept your licensed and trained by you trainee - but now accepts any runner of any kind - reportedly being paid just $3-$5 an inspection? You heard that correctly. It is documented.

By this separation they combine the runners inspection with an AVM which are now better than ever - not withstanding the assistance of SmartExchange and our data and Comp associations that help them draw comparisons.

Only the last stage of the bastardization of the appraisal process will they need a licensed appraiser's signature for your E&O. This will be very few orders eventually.

Its tough to tell when you are being bled to death by a million paper cuts. But it doesn't mean you still aren't bleeding to death.

The Law Affecting Valuation of Land in Australia - The Federation Press

AUSTRALIA AND NEW ZEALAND VALUATION AND PROPERTY STANDARDS

Market valuation for tax purposes | Australian Taxation Office
SA.GOV.AU - Property valuations
Aug 20, 2018 - The Valuer-General of South Australia is the state's independent authority on property valuations and oversees all significant government property valuations and council rate valuations and maintains a database of all properties in the state, with property details updated from a range of sources including local council ...


So tell us what happened in Australia?

.

 

[The Warrior Monk]

I believe this fallacy lies in the assumption that our license is worthy and necessary. Do some more research, they have figured out the work around already starting with eliminating you from the inspection process.

The research includes understanding what a license is for in the first place.

Licensing came about because of issues with Federally-Related Transactions (FRTs). Ultimately, licensing is only required for FRTs, with limited exceptions (de minimis, etc.).

Are GSEs (Fannie, Freddie, etc.) FRTs? The answer is no, and are specifically noted as not being FRTs. So if you are limiting the discussion to GSEs, then ultimately licensing isn't needed for that segment in the first place. Of course, if that segment collapses, that could change.

For me personally, it's one of the reasons I simply avoid that who segment, and stick with FRTs on the lending side, where a license is actually required by regulation.

 

[BRCJR]

Valuations by licensed and unlicensed will come under demand.
Six states now allow a licensed Appraiser to do Evaluations.
I say others will follow.
Some of those six are struggling with their new laws.

 

[djd09]

CoreLogic Appraisal Control
CoreLogic is in control of so many of the resources appraisers rely on, so the question becomes is it open and competitive market?
Some examples of CoreLogics’ businesses in the appraisal profession and valuation industry
are:
Matrix MLS
Realist Tax
RealQuest Public Records Data
ACI Software
(Appraisal Report Development Software)
Appraisal Port (FNC)
(Appraisal Report Delivery)
Appraisal Scope
(Appraisal Report Delivery)
Mercury Network
(Appraiser Selection and
Appraisal Report Delivery)
Data Courier
Marshall and Swift
(Appraisal Report Cost Data)
FloodCert.com
(Appraisal Report Flood Data)
LSAM
Columbia Institute
(Appraiser Training)
RELS
(now CoreLogic w/ staff appraisers)
CoreLogic Appraisal Management Company (AMC)

https://www.ftc.gov/system/files/documents/public_comments/2018/04/00013-146938.pdf

The FTC is too busy with the La board to worry about alalogic.

 

[CompCheck]

documented where? please post where FNMA is accepting appraisals from people being paid $3-$5 per inspection. you are attempting to bring in the other thread about a potential lawsuit where no one seems to know what the inspectors were inspecting for and i don't believe FNMA was ever once mentioned in that suit nor were appraisals or hybrids or bifuricated appraisals. the latter two were merely speculations on what could happen at some point in the future with no basis in our current reality from VaCAP based upon another article from an attorney who never made mentions of FNMA, hybrids or BF appraisals.

The statement does not state that FNMA is paying them... only accepting the data that these runners are providing within a hybrid report. Most likely a bottom dwelling CR is signing off on it. The pay is a documented lawsuit where the runners are requesting to at least get minimum wage for the effort. That should tell you all you need to know if you want to wonder which direction your income goes through the hybrid process.

You will not get an argument for more trainees here.. so you can call me anti-trainee until we are back in control of our profession rather than the AMCs. Otherwise you are just feeding the system with the cheap labor they need to take their plans to fruition.

 

[TRESinc]

The statement does not state that FNMA is paying them... only accepting the data that these runners are providing within a hybrid report. Most likely a bottom dwelling CR is signing off on it. The pay is a documented lawsuit where the runners are requesting to at least get minimum wage for the effort. That should tell you all you need to know if you want to wonder which direction your income goes through the hybrid process.

again, you are confusing two different stories to try to make a point. please some us the "documented" report (or anything else) that states FNMA is using the people from the $3/$5 lawsuit. you posted it so you must have the data to back it up. or are you just making that part up to stir the pot? hopefully it is the former and you have the proof to backup your claims.

Find it a little unnerving maybe that FNMA refused to accept your licensed and trained by you trainee - but now accepts any runner of any kind - reportedly being paid just $3-$5 an inspection? You heard that correctly. It is documented.

a rep from the company at the center of the most recent debates on the topic has already told you the system they have in place for hybrids or bifuricated appraisals, which has been in use for over a decade now, is not used on FNMA products.

You will not get an argument for more trainees here.. so you can call me anti-trainee until we are back in control of our profession rather than the AMCs. Otherwise you are just feeding the system with the cheap labor they need to take their plans to fruition.

you should be a little better with your wording and who you are making accusations about. i used you as an example of those who are against anyone but the licensed appraiser doing the inspections when others have been posting that FNMA not allowing anyone but the licensed appraiser to perform inspections is holding us back. it's two sides of the same coin and yet another example of why we will never be really organized under one banner.

i have never completed a hybrid, bifuricated or any other newer variant of an appraisal. everything that i have turned in has been inspected by me.

you should have your facts straight before you go making unsupported claims and accusations.

 

[CompCheck]

again, you are confusing two different stories to try to make a point. please some us the "documented" report (or anything else) that states FNMA is using the people from the $3/$5 lawsuit. you posted it so you must have the data to back it up. or are you just making that part up to stir the pot? hopefully it is the former and you have the proof to backup your claims.

a rep from the company at the center of the most recent debates on the topic has already told you the system they have in place for hybrids or bifuricated appraisals, which has been in use for over a decade now, is not used on FNMA products.

you should be a little better with your wording and who you are making accusations about. i used you as an example of those who are against anyone but the licensed appraiser doing the inspections when others have been posting that FNMA not allowing anyone but the licensed appraiser to perform inspections is holding us back. it's two sides of the same coin and yet another example of why we will never be really organized under one banner.

i have never completed a hybrid, bifuricated or any other newer variant of an appraisal. everything that i have turned in has been inspected by me.

you should have your facts straight before you go making unsupported claims and accusations.

Well you can fight with me.. As I try and warn you. Or you can OPEN YOUR EYES! So one major AMC just sent this. This is their sneaky way they just turned you into a runner. You provide them with the specs, condition and photos. Then, their staff appraiser take it over from there and add comps and value. By using SmartExchange they can do this from anywhere in the state and/or country. It provides MLS listing numbers, condition rating and photos. But yet I have to convince you that your work is about to get obliterated by hybrids and AVMs. I don't know what else I can do.. I guess you can just wake up one morning surprised. We haven't even gotten into CoreLogic's plan..
-----------------------------------------------------------------------------------------------------
We’re excited to announce two new products: Property Data Review & Property Data Review Final Inspection. These products will be available on or around October 30. Please complete the quick survey at the bottom after reading this email!

What’s a Property Data Review & Property Data Review Final Inspection?

The Property Data Review is a streamlined form which is similar to the first page of the 1004 form. Property Data Review Final Inspection is just that - a final inspection to be completed in the event the Property Data Review is subject to any conditions.

Click here to see the Initial Report, and Click here for the Completion Report.

What makes this product different from a 1004?

There is no need to provide the following: a sketch, measurements, comparable sales or opinion of value. No special software, equipment or online product is needed! Just make a simple trip to the property to capture property details, and then complete the one-page form on your computer, just like you would with any other appraisal product.

 

[Overimprovement]

Well you can fight with me.. As I try and warn you. Or you can OPEN YOUR EYES! So one major AMC just sent this. This is their sneaky way they just turned you into a runner. You provide them with the specs, condition and photos. Then, their staff appraiser take it over from there and add comps and value. By using SmartExchange they can do this from anywhere in the state and/or country. It provides MLS listing numbers, condition rating and photos. But yet I have to convince you that your work is about to get obliterated by hybrids and AVMs. I don't know what else I can do.. I guess you can just wake up one morning surprised. We haven't even gotten into CoreLogic's plan..
-----------------------------------------------------------------------------------------------------
We’re excited to announce two new products: Property Data Review & Property Data Review Final Inspection. These products will be available on or around October 30. Please complete the quick survey at the bottom after reading this email!

What’s a Property Data Review & Property Data Review Final Inspection?

The Property Data Review is a streamlined form which is similar to the first page of the 1004 form. Property Data Review Final Inspection is just that - a final inspection to be completed in the event the Property Data Review is subject to any conditions.

Click here to see the Initial Report, and Click here for the Completion Report.

What makes this product different from a 1004?

There is no need to provide the following: a sketch, measurements, comparable sales or opinion of value. No special software, equipment or online product is needed! Just make a simple trip to the property to capture property details, and then complete the one-page form on your computer, just like you would with any other appraisal product.

I don't think anyone is doubting these products will gain market share, but it is not a new phenomenon. It has been out there for years. The two quick points I would make--1)The big players are driving this--they are saying there are some instances where this type of product will provide a decent value for our purposes. But I think they by and large will replace AVMs, not so much 1004's (my opinion). They will capture a little market share, but not a huge bit. 2) For anyone who thinks they will capture a larger share, now is the time to prepare. Some people stock up on water, candles, and batteries when a hurricane is a few clouds off the coast of Africa. Some wait until the eye passes over their house.

I actually think the bigger threat long term (3-10 years) is the vastly reduced experience and education requirements, and the threat to further reduce them. If they make appraising as easy to get into as real estate agency, then most of us are done. Its not the demand FOR appraisals I see being our death knell, but rather the supply OF appraisers. But that's just my personal opinion. Hope I am wrong, because I would like about 15 more years of work.

 

[TRESinc]

Well you can fight with me.. As I try and warn you. Or you can OPEN YOUR EYES! So one major AMC just sent this. This is their sneaky way they just turned you into a runner. You provide them with the specs, condition and photos. Then, their staff appraiser take it over from there and add comps and value. By using SmartExchange they can do this from anywhere in the state and/or country. It provides MLS listing numbers, condition rating and photos. But yet I have to convince you that your work is about to get obliterated by hybrids and AVMs. I don't know what else I can do.. I guess you can just wake up one morning surprised. We haven't even gotten into CoreLogic's plan..
-----------------------------------------------------------------------------------------------------
We’re excited to announce two new products: Property Data Review & Property Data Review Final Inspection. These products will be available on or around October 30. Please complete the quick survey at the bottom after reading this email!

What’s a Property Data Review & Property Data Review Final Inspection?

The Property Data Review is a streamlined form which is similar to the first page of the 1004 form. Property Data Review Final Inspection is just that - a final inspection to be completed in the event the Property Data Review is subject to any conditions.

Click here to see the Initial Report, and Click here for the Completion Report.

What makes this product different from a 1004?

There is no need to provide the following: a sketch, measurements, comparable sales or opinion of value. No special software, equipment or online product is needed! Just make a simple trip to the property to capture property details, and then complete the one-page form on your computer, just like you would with any other appraisal product.

great story. now maybe you can answer the request i had that you quoted:

please show us the "documented" report (or anything else) that states FNMA is using the people from the $3/$5 lawsuit. you posted it so you must have the data to back it up. or are you just making that part up to stir the pot? hopefully it is the former and you have the proof to backup your claims.

 

[Non Sequitur]

I still find it very interesting, and eye-opening. It’s amazing reading the debates, accusations, and conspiracy theories flying around on Facebook. The pitchforks are definitely out.

IMO the larger issue is being missed by those who think this is a conspiracy. When using the service is it SmartExchange’s fault that five of your peers have a different opinion of something that should be the same, like location or view? Or several different opinons of location and view? All SmartExchange is doing is showing you what your peers are reporting, it isn’t making up the data. Now I’m sure all of the key board warriors are the best appraisers in their markets and are never wrong, but getting back to the larger issue-the lack of consistency for even the basics is stunning. UAD didn’t fall out of the sky yesterday, this really isn’t that hard but look at the data that’s in front of you and ask yourself what a user of our services thinks when they see the same widely inconsistent data? IMO it’s the #1 reason why there’s a push to staff up, train the next generation to fill out the form, and just give up on the current population of residential appraisers. I’m not saying it’s right, and I’m not saying I agree with it, but take a step back and look at the overall picture from the users of our services point of view. And that view it isn’t pretty when an investor is forcing a buy back by showing that the appraiser didn’t report the subject was located on a busy street with a view of a gas station but several of his/her peers did.