Best AMC

[JMcGuire1122]

Having previously worked at a large national AMC, I would say that if I were in your position I would look very closely at the assigning process used by any potential AMC. Many are now placing orders based on low bids. A low bid process is NOT the proper way to assign orders. I would also say that the fee to the appraiser should be set by the appraiser.

Thank you-
Yes, we don’t want our AMC to be the “cheapest” - we want quality and turn time to be at the forefront of the approach. We do care ans want our AMC to pay the appraiser good, but not overpay either. Just want to do good National business.

 

[alebrewer]

Having previously worked at a large national AMC, I would say that if I were in your position I would look very closely at the assigning process used by any potential AMC. Many are now placing orders based on low bids. A low bid process is NOT the proper way to assign orders. I would also say that the fee to the appraiser should be set by the appraiser.

To add to what DWiley said, I'd stay away from AMC's who broadcast assignments. (a) I'm not convinced broadcasting is compliant, (b) most appraisers don't even respond to broadcast orders - meaning lengthy assignment times, and (c) to DWiley's point - the winner is usually the low bidder. I am also with a national lender, and prefer dealing with AMC's who actually engage the appraisers - by phone preferably.

 

[Joe Flacco]

Guaranteed Rate is great lender man. Way better than any AMC's. I would work with Rate more often if they can pay on par with my main clients.

 

[alebrewer]

Many national lenders do not use AMC. So at least some lenders believe AMCs are not definitely needed. Some that come to mind off the top are Guaranteed Rate, Better, Aimloan.

Actually, most larger lenders DO engage AMC's. It's just too cost prohibitive to run an appraisal desk for that volume of loans. There tends to be a sweet spot for direct engagement - the lender has to be large enough to be able to consume the cost of an appraisal desk, but once they're really large, it becomes cost prohibitive again.

 

[DWiley]

Actually, most larger lenders DO engage AMC's. It's just too cost prohibitive to run an appraisal desk for that volume of loans. There tends to be a sweet spot for direct engagement - the lender has to be large enough to be able to consume the cost of an appraisal desk, but once they're really large, it becomes cost prohibitive again.

And the fact that an appraiser may be getting direct engagement work from a lender does not mean that lender is not using AMCs for other work. In my experience large lenders use a variety of approaches. Some use all three (direct engagement, AMC, staff)

 

[J Grant]

Some lenders use an AMC for part of work and send other work to an approved list of appraisers via the Mercury or Appraisal Port portals.

A lender can set up their own captive order AMC which is what Red Sky Risk is, they are an AMC for their own lender US Bank -

 

[JMcGuire1122]

To add to what DWiley said, I'd stay away from AMC's who broadcast assignments. (a) I'm not convinced broadcasting is compliant, (b) most appraisers don't even respond to broadcast orders - meaning lengthy assignment times, and (c) to DWiley's point - the winner is usually the low bidder. I am also with a national lender, and prefer dealing with AMC's who actually engage the appraisers - by phone preferably.

I agree on engaging by phone and do NOT want the lowest bidder to get the order. We will make sure that doesn’t happen… it’s more about quality and turn time with a fair price for us, not cheapest. You get what you pay for in everything.
If lowest bidder approach is off the table- don’t you think it would be more efficient for an AMC to send out an order to the appraisers that are on their panel in an area to see who can pick it up vs calling each one individually?

 

[JMcGuire1122]

Some lenders use an AMC for part of work and send other work to an approved list of appraisers via the Mercury or Appraisal Port portals.

A lender can set up their own captive order AMC which is what Red Sky Risk is, they are an AMC for their own lender US Bank -

Thank you for this info- we are not really interested in building an appraisal network on our own right now. We don’t have the resources to do it in a timely manner and with doing loans in all 50 states, it would be a huge undertaking. US Bank is humongous. Really looking for a National AMC that you guys like to work with and recommend at this point.

 

[alebrewer]

If lowest bidder approach is off the table- don’t you think it would be more efficient for an AMC to send out an order to the appraisers that are on their panel in an area to see who can pick it up vs calling each one individually?

I've run AMC's, as well as lender appraisal desks (current role is neither). I believe some level of triage is the most efficient method of appraisal assignment. The way I've set it up in the past is that the order goes out via email/text to an individual appraiser - two hours to respond (pretty easy given the technology that exists today). No response, or decline, the order is sent to the next appraiser (depending on what the assignment matrix is). After 3 declines/no takes, we used the phone, because that usually meant there was something challenging about that property.

 

[JMcGuire1122]

I've run AMC's, as well as lender appraisal desks (current role is neither). I believe some level of triage is the most efficient method of appraisal assignment. The way I've set it up in the past is that the order goes out via email/text to an individual appraiser - two hours to respond (pretty easy given the technology that exists today). No response, or decline, the order is sent to the next appraiser (depending on what the assignment matrix is). After 3 declines/no takes, we used the phone, because that usually meant there was something challenging about that property.

That seems efficient- I know our current AMC’s are doing that now (At least US is) and it works Ok. Still seeing really extended turn times tho and sometimes (in TX especially) no appraisers are willing to even take the order on. That surprises me. I hate having to turn a borrower away for not being able to get an appraiser to even take the order on with an extended turn time. That makes us look pretty bad.
Do you have any good National AMC’s that you know do this that you recommend?