Appraiser Shortage Myth

[chad hampton]

I had an entire business of non-AMC clients too. But most were pressured into using AMC's a decade ago.

My mtg broker clients are currently keeping the appraisal portion of my business going. They are all local and have families to feed, so they have to keep the work going, even if it is 50%+ less than usual. I don't know where my AMC "partners" went.

 

[TC]

I had an entire business of non-AMC clients too. But most were pressured into using AMC's a decade ago.

So did I, that's why I got out.

 

[ccpanel]

Once again we're faced with a downturn. This time it's different. COVID-19 changed everything and allowed lenders to create dangerous new products and new waiver thresholds aimed specifically at eliminating the appraiser- which has been their goal for decades. I have run a successful business in Colorado for 23 years and have heard for years about the supposed appraiser shortage. It's just not true. The only reason it felt that way was due to an abnormal and greedy feeding frenzy for the past few years, in which everyone was unable to keep up- especially lenders. Now that 'normal' workloads have resumed, it's painfully apparent these new products have stolen our industry, which was the point all along.

Despite working primarily in a small town and being one of the most experienced appraisers in the whole county- it's extremely competitive due to low-ball appraisers that come from over 50 miles away to appraise in an unfamiliar market at unsustainable fees. The race to the bottom is on! Thanks low-ballers and sleazy lenders who lie and cheat their way to appraisal waivers whenever possible. I can't wait to exit this thankless, toxic industry.

whats your exit plan?

 

[chad hampton]

Honestly, so many of the best appraisers I know stopped and got out back then. My mentor was an attorney, as far as I know, he's completely done apprising. Wanted no part of the ****show he knew was coming. So now we have a bunch of no-nothing AMC staff appraisers and entry level "runners" going into homes when we could of had a highly educated attorney working in this profession.

 

[Fernando]

Honestly, so many of the best appraisers I know stopped and got out back then. My mentor was an attorney, as far as I know, he's completely done apprising. Wanted no part of the ****show he knew was coming. So now we have a bunch of no-nothing AMC staff appraisers and entry level "runners" going into homes when we could of had a highly educated attorney working in this profession.

Attorneys as appraisers. Get real.
Your mentor enjoyed doing appraisals than boring attorney matters.

 

[chad hampton]

He worked from home and had his own practice. Gave me the best advice I ever got - don't keep all your eggs in 1 basket. When appraising slowed down, he focused on attorney work. When that slowed, he went out and got more broker business. I've tried to do the same.

He knew banking and the appraising field was led by world class low lifes. Makes attorneys look like good honest people.

Back when AMC work was 20% of the market (before the federal gov't gave your clients away), he told me to steer clear of them. They aren't good clients and you will never have a relationship with them. Boy was he right.

 

[Fernando]

He worked from home and had his own practice. Gave me the best advice I ever got - don't keep all your eggs in 1 basket. When appraising slowed down, he focused on attorney work. When that slowed, he went out and got more broker business. I've tried to do the same.

He knew banking and the appraising field was led by world class low lifes. Makes attorneys look like good honest people.

Back when AMC work was 20% of the market (before the federal gov't gave your clients away), he told me to steer clear of them. They aren't good clients and you will never have a relationship with them. Boy was he right.

With AMC work, you can be more diversify.
I have different view of attorneys. They make money on people's problem and they're sales people in getting new clients.

 

[TC]

With AMC work you're just a number on a spinning wheel. No matter how fast, how cheap, or how good you are, they'll drop you in a second on a whim.

 

[Tim Hicks (Texas)]

I guess most appraisers are under six feet tall, so the appraiser shortage may not be a myth.

 

[Bobby Bucks]

Honestly, so many of the best appraisers I know stopped and got out back then. My mentor was an attorney, as far as I know, he's completely done apprising. Wanted no part of the ****show he knew was coming. So now we have a bunch of no-nothing AMC staff appraisers and entry level "runners" going into homes when we could of had a highly educated attorney working in this profession.

I miss the posts in here by Edd and Cynthia who were attorney/appraisers. They were able to tackle complex assignments regarding encroachments, zoning issues, condemnation, etc. and get handsome fees. They must both be retired, they haven't posted in a few years.

I guess most appraisers are under six feet tall, so the appraiser shortage may not be a myth.

Also consider width as well as height, at my last live update course the place was full of TOM Q VAXY appraisers, who were horizontally challenged when it came to FHA crawl space access. FHA should do girth measurements when they renew CHUMS numbers. I still boilerplate mine in any report that may get reviewed....it might impress a reviewer like TC