Appraisal Changes as of 2009

[laurielutton]

From Ann O'Rourke's free Appraisal Today newsletter:

http://appraisaltoday.com/

Thank you Lloyd,
This is helpful however it leads me into another question. If the AMC's are going to handle the dispersement of the work volume, well...........I am fairly new to the business ( been appraising for 3 years ) and I have been trying to get approved with all the AMC's but they are full and not accepting new appraisers. If this is the case then does that mean that only the appraisers that have an "in" now will get the work?

 

[PropertyEconomics]

Folks,

While I do not believe this is totally "much ado about nothing" I also do not believe the ultimate outcome- if there actually is one- will look much like what has been proposed.

So- OK I'll just tell what my sources tell me and they are fairly reliable.

Even in the face of threatened lawsuits, charges of rule breaking (I am not sure if Mr. Cuomo is actually breaking a federal law or if the consent order signed with OFHEO does that), it is very clear to me that the NY AG's office is going to proceed with this to whatever degree thay can.

They appear to be totally unafraid of lawsuits (no surprise- their staff are trial lawyers for the most part), do want to push certains portions of it, and do believe they will prevail- at least in part.

They have received all those responses from Mr. Biggers' crusade and are paying little attention to them. In fact, they are paying little attention to anyone opposing their plan- but they do seem willing to make modifications to certain parts.

I have heard no movement on staff appraisers except that it is not intended to remove an ib-house review function. I have heard they may be willing to move on the IVPI. I have no movement on brokers being able to order appraisals- they seem firm on that. So, if that part stands most of you will be working for AMCs for at least a portion of your mortgage work.

Will it happen this year? Almost no chance. There is some pending legislation by one PA senator but I have not yet read that, and in an election year, you may not see that happen either.

Only thing for sure is that nothing is for sure.

Brad

DISGUSTING!! .. Then again .. how could we ever expect anything different.

 

[Mike Boyd]

If Cuomo goes the way MOST NY politicians have gone recently, all his time will be devoted to divorce court! Wait....his religious beliefs forbid divorce, do they not?

He might be nominated as a VP candidate. The modern day Bobby Kennedy.

 

[RSW]

Mortgage brokers need to be removed from the appraisal ordering business. Remove this human element and most of the mortgage related problems will go away. It is time for a change. For real appraisers survival.

Tim,

I agree with you 100%. This will take care of the Skippy appraiser too since he/she does not know how to start the appraisal without a target value.

 

[Mike Boyd]

Thank you Lloyd,
This is helpful however it leads me into another question. If the AMC's are going to handle the dispersement of the work volume, well...........I am fairly new to the business ( been appraising for 3 years ) and I have been trying to get approved with all the AMC's but they are full and not accepting new appraisers. If this is the case then does that mean that only the appraisers that have an "in" now will get the work?

The ONLY way it could work in a fair and impartial manner would be to force these AMCs to select on a rotatonal basis from the Federal Registry.

 

[CURT VAN HOOSER]

My guess is the AMC's will eventually add all appraisers, who apply, to their lists once the whole mess gets dumped on them. I see emails for orders being broadcast to all appraisers in the area and the one who signs in to the website first to accept it...gets it. If you don't currently have the technology to received emails and access the web in the field, it's time to catch up.

 

[Mr Rex]

AMCs are sprouting like mushrooms on a cow turd after a good rain. There will soon be an AMC for every appraiser and every appraiser will be an AMC.

 

[PropertyEconomics]

AMCs are sprouting like mushrooms on a cow turd after a good rain. There will soon be an AMC for every appraiser and every appraiser will be an AMC.

I already am an AMC Mr Rex ... I bet you are too. Dont you manage an appraisal company?

 

[Mr Rex]

Yep. I'll send you some work in your area when it comes in, for 50% off the top.

 

[Mike Phillips]

Thank you Lloyd,
This is helpful however it leads me into another question. If the AMC's are going to handle the dispersement of the work volume, well...........I am fairly new to the business ( been appraising for 3 years ) and I have been trying to get approved with all the AMC's but they are full and not accepting new appraisers. If this is the case then does that mean that only the appraisers that have an "in" now will get the work?

No - what it means is there is a HUGE oversupply of (especially) Licensed appraisers in CA to begin with and the AMCs have all the appraisers they need right now. Otherwise, they would at least be willing to hear about your new "competitive" fee schedule as we all know quality reporting ranks third in priority to an AMC.

As far your one-man shop model goes, I'm in the same boat, but I've been in the business for a very long time and have many more options compared to you. Unfortunately, it sounds to me like, unless you are practicing in an outlying area where there is little competition, you are up a creek.

As far as the future goes I'd encourage to to reread the post by Ellis. I think it is safe to say that brokers will get the boot, which will mean many more orders will be placed by AMCs. In a state like yours, that has what amounts to an open-door policy toward appraiser licensing via their low standards it is going to be very difficult to compete with the large production-oriented appraisal firms. Have you heard AMCs favor the large 10+ appraiser firms? Ever wonder why?

Eliminating the Licensed appraiser category across all 50 states should be a priority for ALL residential appraisers - I don't care if you are a Licensed appraiser. My advice to you is to step up to Certified. I'm not interested in getting involved in a p****** contest over the Licensed versus Certified. It ain't about that - it is about supply and demand. Furthermore, I don't really care that much - Florida stopped issuing the Licensed category license years ago and all I have to deal with now is the trainees.

Good luck.
MP