Commercial Appraisal Management Companies?

[H.B. Userman]

I just purchased a list of AMCs. It's gotta be more than 100 long. As part of my efforts to keep my residential guy busy, my admin is signing us up on all of them. So, far this week we've been added to a dozen or so lists, and 3 of them ask questions about commercial appraisals. Throughout the past two years, I have had two bid requests for commercial assignments which didn't materialize. When I first began, a lot of our residential work was from AMCs, but it is easy to turn down a few requests daily, becasue the fees aren't always fair, etc. I figure if we get hooked up with most of them, the ball will be in my court to decide who to deal with.

There's no need to fear a commercial request from an AMC. As long as someone's willing to exchange money for my opinion, I'm in. Will AMC commercial work ever capture a large market share for financing appraisals?, I'm thinking not.

 

[Stone]

My point is-- turn about is fair play. Thanks to the commercial appraisal sector, especially the AI, AVM's did not turn out to be the residential appraiser's 'tool', but their biggest competitor. Hopefully, we'll soon see some numbers as to how many billions in loans were made over the last few years based SOLELY on residential AVM's. And let's not pretend it didn't happen, because we all know it did. Ask BOA and SunTrust for starters.

Appraising is an art, not a science. Until big money can be made on AVM's, then it's a computer generated value ESTIMATE. But in place of an appraisal, so it's not the same thing--thus unregulated???

Well, at least now we know why you wish ill on commercial appraisers. It is a silly reason, but at least we know. I'd not seen anyone blame commercial appraisers for the state of the residential end. That is novel.

 

[George Hatch]

The reason the AMCs survive is because of the oversupply of residential appraisers. It's the same reason the AMCs are abusive to their appraisers and the same reason the entire fee structure is under heavy assault.

You can blame the commercial appraisers for all that, but common sense contradicts you. The number of residential appraisers increased by almost 85% in my state between 2001-2006. The number of commercial appraisers actually declined slightly. Same time period, same market conditions on both ends, but entirely different results. In appraisal parlance that's called a matched pair with only the one variable.

It's pretty obvious that the commercial appraisers exercised a little restraint with respect to trainees and building fee shops, whereas the residential appraisers (as a group) didn't. Your sweatshops and the AMCs are not run by commercial appraisers, they're run by residential appraisers, even if a few of them just happen to hold GenCerts that they don't use. Those appraisers who were involved in building and marketing the AVMs are/were residential appraisers, not commercial appraisers. To whatever extent you guys have been betrayed and victimized by appraisers it's been residential appraisers who have been doing it. We weren't involved and you can't blame us for any of that.

As a group you guys created your own glut and now you're paying for it. Simple as that. We'll still have some big problems of our own, but for the most part they won't involve a massive oversupply of commercial appraisers. And we won't be blaming you guys for them.

 

[SRQCUB]

Are there others like Joyce that are "blaming" commercial sector on the downfall of the residential appraisal market.

I'm at a loss for the understanding of

commercial appraisers + amv = demise of the residential appraiser

I want to put down the resi's but honestly i know to many good ones to throw them in the lump with this assine way of thinking. Hell I do resi's two and it's hit me as hard as anyone.

 

[Stone]

Are there others like Joyce that are "blaming" commercial sector on the downfall of the residential appraisal market.

I'm at a loss for the understanding of

commercial appraisers + amv = demise of the residential appraiser

I want to put down the resi's but honestly i know to many good ones to throw them in the lump with this assine way of thinking. Hell I do resi's two and it's hit me as hard as anyone.

For some reason (maybe the one listed earlier in this thread), there is a group of residential appraisers who like to shout "Ha! You'll get yours. It is no different in the commercial world".

I don't understand it, but it comes up from time to time. Strange.

 

[JT1974]

The short answer to Joyce's rants.................Misery Loves Company.

 

[SRQCUB]

I wonder if Joyce will ever put up a copy of a resi report on her webiste, all trainee's really Joyce, go ahead blam this FL Cert.Gen I don't care. I'm aslo qualified for testimony in the state, wanna blam me for taking that to. HA HA HA

www.orlandoappraiser.net

 

[The Warrior Monk]

Joyce,

You don't seem to have a grasp on the funding of loans. The biggest difference I have seen with the commercial and residential segments is that it is not so easy to pass the loan along and wash one hands clean on the commercial side. In fact, it is not even true totally on the residential side.

I have no idea why people think that suddenly, especially in this current market, investors are suddenly going to let their guard down, throw out the competent appraisers, and allow insufficient valuation of their collateral (i.e, use AMCs which, of course, they are aware of their problems)...in effect, just toss their money away...it is pure fantasy.

This is an example of one of the biggest hurdles to jump when going from res lending work to commercial...unlearning what one has learned.

 

[George Hatch]

I can somewhat see where Joyce is coming from. She's a SRA designated member of the AI and is unhappy with the organization. Where she seems to be going off the rails is in equating commercial appraisers as a group with the AI and the organization's official positions. I think that's unfounded. I'd go so far as to say that most commercial appraisers are not aligned with the AI at all. Even a lot of their own members are not aligned with all of these decisions the AI has been making.

 

[JT1974]

Nevermind.