Frederick R. Ruffell
Senior Member
- Joined
- Jan 21, 2002
- Professional Status
- Certified General Appraiser
- State
- California
I received the folowing today,
Appraisal Management Company Presents
eValu*
(* Patent pending)
www.evalu-online.com
Dear Appraiser,
Thank you for your interest in Appraisal Management Company’s (AMCO) patent-pending product, eValu. In creating this new product, we have made every effort to build a tool that is useful and reasonable in cost to lenders, as well as profitable and practical for appraisers. Meeting these opposing needs was a difficult challenge, but we are confident that we have found an acceptable balance.
Fee, Turn Around Time and Training
The standard fee for eValu is $50. Expected turn around time is 24 hours. A more detailed discussion of both fee and turn time follows. Upon receipt of your completed signed agreement we will provide hands-on telephone training at a time that is convenient for you.
The following information explains what eValu is and how the process works. If you are inter-ested in completing eValu assignments, please fill out the attached application and fax it to 440.684.5530, attn: Mike Kanetsky.
Product and Procedure
eValu is an umbrella for two separate products: an Appraiser-Assisted Valuation and the Desktop Valuation. Simply put, an Appraiser-Assisted Valuation is the process of an appraiser reviewing the output of an AVM and making a judgment regarding the credibility of the output (comparable sales, value conclusion, etc.). The function of the appraiser is to determine if the output of the AVM is appropriate for the purposes of the assignment. If the appraiser does not agree with the output of the AVM, then s/he will be asked to complete a Desktop Valuation.
The Desktop Valuation is a limited appraisal that is completed without inspection of the subject property or comparables. Instead, the value is determined using data from public records, property databases, and/or the appraiser's personal files. An appraiser familiar with the local market will employ the Sales Comparison Approach to determine the estimated value of the subject property.
Below is a step by step explanation of the process:
1. AMCO processor e-mails the order notification to the appraisal firm; notification includes a confirmation of the previously agreed upon fee, property information, and a link to the AMCO web site.
2. Appraiser clicks on link within the e-mail to access the AMCO site.
3. Once the appraiser accepts the order, the output of the AVM is generated and appears on screen.
4. Appraiser reviews output of the AVM.
5. Appraiser determines whether s/he accepts or rejects the output of the AVM.
• If the appraiser clicks the "Accept Value" button, then the assignment is complete. There are no e-mail attachments to send (PDF conversions, etc.).
• If the appraiser clicks the "Reject Value" button s/he will be prompted to complete a Desktop Valuation.
The Desktop Valuation
The appraiser will complete a valuation of the property by searching available databases (public records, CMDC, MLS, PACE, etc.) for the subject property and comparable sales. S/he will then complete a grid, make comments, input a value conclusion, and click “Submit.”
The upgrade to a Desktop Valuation will occur automatically in the following situations:
• If the AVM does not get a "hit" (does not return a value or locate subject property data).
• If the output of the AVM is, in the judgment of the appraiser, not acceptable.
• If the AVM does not cover the county where the subject property is located.
Further Upgrades
If the appraiser rejects the output of the AVM and deems that the Desktop Valuation is not appropriate for a property of this type, then s/he can request an upgrade. The decision to approve or decline the upgrade will be e-mailed to the appraiser within several hours.
The appraiser is the expert familiar with the subject neighborhood and we rely on the appraisers expertise to determine if an upgrade is necessary. For example if:
The subject property is not typical for the neighborhood
There are too few sales available to evaluate the subject property
There is a lack of data
Fee
We are currently paying a standard fee of $50 for completing either the Appraiser-Assisted Valuation or the Desktop Valuation. We believe this fee to be reasonable based on the following:
• If the appraiser accepts the output of the AVM (which, based on our experience, will be 25-50% of the time), then the entire process should take less than 30 minutes.
• If the appraiser rejects the AVM and completes the Desktop Valuation, this process will typically take less than one hour.
• There are no travel or mailing expenses, and administrative costs are minimal.
• During the course of completing the Desktop Valuation, the appraiser will research comparable sales and will not duplicate that work if an upgrade is necessary.
• AMCO pays for the AVMs, regardless of the appraiser's opinion.
Turn Around Time
The expected turn time for the eValu is 24 hours. However, if upgraded to a traditional appraisal product (i.e. drive-by 2055), then normal turn around times apply.
Application and Agreement
If you have received orders from AMCO within the past 12 months you need only complete the eValu Agreement. If you have not completed appraisals for AMCO in the past 12 months please complete both the eValu Agreement and the Appraiser Application.
Applications and agreements can be e-mailed to michael.kanetsky@amco.net or faxed to 440.684.5530, Attn: Mike Kanetsky. If you experience problems or have questions call 800.399.2626, ext. 5252.
Summary
Lenders have communicated a need for a valuation product that provides a higher degree of accuracy and wider geographic coverage than current automated valuation models (AVMs). Appraisers, pressured by decreasing volume of business and increased competition from alternative valuation products, need a tool that will leverage their expertise using current technology. eValu is a viable, practical solution to the needs of both lenders and appraisers.
During the training you will see that we have designed a system that is easy to use, and established reasonable turn around times and fees.
I sincerely believe that eValu will allow appraisers to compete effectively and play an essential role in the rapidly changing market for residential property valuations. I look forward to working with you as we launch the next generation appraisal product.
Not that I would consider touching this, but I wonder about the appraisers that are. Can an appraiser "review the output of an AVM and make a judgment regarding the credibility of the output (comparable sales, value conclusion, etc.). The function of the appraiser is to determine if the output of the AVM is appropriate for the purposes of the assignment." and NOT be performing an appraisal, appraisal review, or appraisal consulting assignment, and therefore are not bound by USPAP as explained in AO- 18? It seems that we will probably need more details as to just what is provided to the appraiser and what is delivered to the lender but lets just kick it around. :twisted:
Appraisal Management Company Presents
eValu*
(* Patent pending)
www.evalu-online.com
Dear Appraiser,
Thank you for your interest in Appraisal Management Company’s (AMCO) patent-pending product, eValu. In creating this new product, we have made every effort to build a tool that is useful and reasonable in cost to lenders, as well as profitable and practical for appraisers. Meeting these opposing needs was a difficult challenge, but we are confident that we have found an acceptable balance.
Fee, Turn Around Time and Training
The standard fee for eValu is $50. Expected turn around time is 24 hours. A more detailed discussion of both fee and turn time follows. Upon receipt of your completed signed agreement we will provide hands-on telephone training at a time that is convenient for you.
The following information explains what eValu is and how the process works. If you are inter-ested in completing eValu assignments, please fill out the attached application and fax it to 440.684.5530, attn: Mike Kanetsky.
Product and Procedure
eValu is an umbrella for two separate products: an Appraiser-Assisted Valuation and the Desktop Valuation. Simply put, an Appraiser-Assisted Valuation is the process of an appraiser reviewing the output of an AVM and making a judgment regarding the credibility of the output (comparable sales, value conclusion, etc.). The function of the appraiser is to determine if the output of the AVM is appropriate for the purposes of the assignment. If the appraiser does not agree with the output of the AVM, then s/he will be asked to complete a Desktop Valuation.
The Desktop Valuation is a limited appraisal that is completed without inspection of the subject property or comparables. Instead, the value is determined using data from public records, property databases, and/or the appraiser's personal files. An appraiser familiar with the local market will employ the Sales Comparison Approach to determine the estimated value of the subject property.
Below is a step by step explanation of the process:
1. AMCO processor e-mails the order notification to the appraisal firm; notification includes a confirmation of the previously agreed upon fee, property information, and a link to the AMCO web site.
2. Appraiser clicks on link within the e-mail to access the AMCO site.
3. Once the appraiser accepts the order, the output of the AVM is generated and appears on screen.
4. Appraiser reviews output of the AVM.
5. Appraiser determines whether s/he accepts or rejects the output of the AVM.
• If the appraiser clicks the "Accept Value" button, then the assignment is complete. There are no e-mail attachments to send (PDF conversions, etc.).
• If the appraiser clicks the "Reject Value" button s/he will be prompted to complete a Desktop Valuation.
The Desktop Valuation
The appraiser will complete a valuation of the property by searching available databases (public records, CMDC, MLS, PACE, etc.) for the subject property and comparable sales. S/he will then complete a grid, make comments, input a value conclusion, and click “Submit.”
The upgrade to a Desktop Valuation will occur automatically in the following situations:
• If the AVM does not get a "hit" (does not return a value or locate subject property data).
• If the output of the AVM is, in the judgment of the appraiser, not acceptable.
• If the AVM does not cover the county where the subject property is located.
Further Upgrades
If the appraiser rejects the output of the AVM and deems that the Desktop Valuation is not appropriate for a property of this type, then s/he can request an upgrade. The decision to approve or decline the upgrade will be e-mailed to the appraiser within several hours.
The appraiser is the expert familiar with the subject neighborhood and we rely on the appraisers expertise to determine if an upgrade is necessary. For example if:
The subject property is not typical for the neighborhood
There are too few sales available to evaluate the subject property
There is a lack of data
Fee
We are currently paying a standard fee of $50 for completing either the Appraiser-Assisted Valuation or the Desktop Valuation. We believe this fee to be reasonable based on the following:
• If the appraiser accepts the output of the AVM (which, based on our experience, will be 25-50% of the time), then the entire process should take less than 30 minutes.
• If the appraiser rejects the AVM and completes the Desktop Valuation, this process will typically take less than one hour.
• There are no travel or mailing expenses, and administrative costs are minimal.
• During the course of completing the Desktop Valuation, the appraiser will research comparable sales and will not duplicate that work if an upgrade is necessary.
• AMCO pays for the AVMs, regardless of the appraiser's opinion.
Turn Around Time
The expected turn time for the eValu is 24 hours. However, if upgraded to a traditional appraisal product (i.e. drive-by 2055), then normal turn around times apply.
Application and Agreement
If you have received orders from AMCO within the past 12 months you need only complete the eValu Agreement. If you have not completed appraisals for AMCO in the past 12 months please complete both the eValu Agreement and the Appraiser Application.
Applications and agreements can be e-mailed to michael.kanetsky@amco.net or faxed to 440.684.5530, Attn: Mike Kanetsky. If you experience problems or have questions call 800.399.2626, ext. 5252.
Summary
Lenders have communicated a need for a valuation product that provides a higher degree of accuracy and wider geographic coverage than current automated valuation models (AVMs). Appraisers, pressured by decreasing volume of business and increased competition from alternative valuation products, need a tool that will leverage their expertise using current technology. eValu is a viable, practical solution to the needs of both lenders and appraisers.
During the training you will see that we have designed a system that is easy to use, and established reasonable turn around times and fees.
I sincerely believe that eValu will allow appraisers to compete effectively and play an essential role in the rapidly changing market for residential property valuations. I look forward to working with you as we launch the next generation appraisal product.
Not that I would consider touching this, but I wonder about the appraisers that are. Can an appraiser "review the output of an AVM and make a judgment regarding the credibility of the output (comparable sales, value conclusion, etc.). The function of the appraiser is to determine if the output of the AVM is appropriate for the purposes of the assignment." and NOT be performing an appraisal, appraisal review, or appraisal consulting assignment, and therefore are not bound by USPAP as explained in AO- 18? It seems that we will probably need more details as to just what is provided to the appraiser and what is delivered to the lender but lets just kick it around. :twisted:
