Appraiser mill settles lawsuit

[TJSum]

Not to excuse the appraisal mill, they should be fried, 60 days is a joke. But how can this subprime lender portray themselves as a total innocent victim, weren't they underwriting these appraisal reports and agreeing to use them ??? If they were crap, wouldn't they have noticed the smell at any time in the process ???

 

[Elliott]

"Newton admitted that his appraisal company was churning out 300 appraisals per month during 2005 and 450 appraisals per month during 2006."

Ummm, that's 5400 reports per year, divided by 3, or 1800 reports per year per
appraiser, or 36 reports per week, or 7.2 reports per day per appraiser, or about
one report per hour per appraiser.

correction: Kirk Newton is Kirk 'Mark' Newton.

 

[Metamorphic]

Whoops....speed reading I guess.

This is where a an appraisal registration system would stop a lot of fraud. If you had to log every appraisal into a state data base these guys would catch the attention of somebody at the state inside of a week.

 

[Elliott]

That Kirk J "Mark" Newton ran a skippy mill pushing out 450 reports per
month is so, so sad and makes me so damn mad. And come November
he'll be back in business. What a crock of s***.

 

[Elliott]

But wait, there's more....

http://people.bakersfield.com/home/Blog/boomtown/Page20

Appraiser says he's innocent.

"The owner of San Joaquin Appraisals Inc., a company searched by the FBI and IRS as part of an investigation of the Crisp & Cole companies, defended his reputation Thursday. "I have nothing to be ashamed of," said Kirk "Mark" Newton. "I stand by the quality of my work."

"Agents came to Newton's office at 4500 California Ave. with a federal search warrant Wednesday morning. They were looking for documents detailing transactions on 48 properties handled by the former Crisp & Cole Real Estate firm in Bakersfield, Newton said. Newton's business performed appraisals on 11 of those properties and agents confiscated those files, he said.

"Each appraisal earns a flat rate of $400, Newton said.

"The transactions done for Crisp and Cole represented less than 1 percent of his business, he said. Newton could not answer how many appraisals his company performed over the past four years, but said he now works on about 70 to 80 a month. Newton employs two other licensed appraisers, Jaron Parks and Curtis Studebaker.

--Vanessa Gregory, staff writer

 

[Highlander416]

That Kirk J "Mark" Newton ran a skippy mill pushing out 450 reports per month is so, so sad and makes me so damn mad. And come November
he'll be back in business. What a crock of s***.

Just to put things in perspective. In another thread, someone said a guy was suspended for 3 months for putting "none noted" instead of "none" for concessions.

 

[RSW]

Whoops....speed reading I guess.

This is where a an appraisal registration system would stop a lot of fraud. If you had to log every appraisal into a state data base these guys would catch the attention of somebody at the state inside of a week.

I just thought it was some of that "Fuzzy Math".

 

[KenAZ]

This is an appraisal mill. This is what the greedy appraisers did, and would continue to do if the opportunity was available.

We are still suffering because of these mills. When I go to an appraiser conference, I see the experienced appraisers, and then I see the idiots that were appraisal mill leftovers.

In AZ, they made a limit of three trainees per appraiser, but in reality, it is almost impossible to train more than one at a time effectively. I have trained 2 appraisers separately, and each was a full time job. I think there was a little overlap when one was just starting, and the other one was preparing for the exam. I am sure that some of you could train 2 at a time, but 3 would just plain be impossible, unless 1 trainee was taking a break.

As far as appraisal mills, these lenders knew what was going on, but didn't care. They had one appraiser to call, they could send all of their work to him, and know that it would hit the values.

 

[Terrel L. Shields]

5 per day, each and every day.

surely they had staff doing keypunch as well.

Five other appraisers recently settled with Fremont lending, court documents show:

David Clark and his company, David Clark Real Estate Services, settled for $10,000.

Appraiser Eric Bonilla agreed to a $12,500 settlement.

Gary Killian and his company, Killian Appraisals, reached a $3,000 settlement.

Appraiser JameS Rudick will pay Fremont $55,000.

And J. Richard Krizo and Pacific Appraisal Consultants have agreed to settle for $19,500.

These hardly seem bad at all... can someone tell me how that $3000 is appropriate? I mean if he (Killian) was within $3,000 I'd say he was right. The others are marginal amounts at best. I bet they simply agreed to settle to get it over with. Your law bill will be higher.

 

[PropertyEconomics]

If anyone wants to improve the appraisal profession ... they should start with their Appraiser Boards .... it is not by accident that these slaps are so light ... stand up and demand fair and honest appraisers on the appraisers board ..... that is our right.