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Desktop Appraisals Becoming the New Normal

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This here's still America. Nobody can force you to do assignments you don't want to do or work for fees you don't accept.

With that said, the desktop appraiser in your area who is doing 8 or 10 of these a week is taking that many of the easiest assignments out of the pool that the just-say-no appraisers are swimming in. Which when coupled with any future reductions in overall volumes will have very predictable results.

The upside for the AMC appraisers is that the desktop appraisers will now assume the role of designated scapegoats for what happens when the demand for appraiser hours is grossly overserviced by the remaining appraisers.
 
This here's still America. Nobody can force you to do assignments you don't want to do or work or fees you don't accept.

With that said, the desktop appraiser in your area who is doing 8 or 10 of these a week is taking that many of the easiest assignments out of the pool that the just-say-no appraisers are swimming in. Which when coupled with any future reductions in overall volumes will have very predictable results.
I tend to disagree somewhat. VA says you take the good with bad and this is your fee. If an appraiser can get lender and veteran to agree to higher fee, then it is accepted by VA.


Not an easy negotiation.

I won't swear VA don't approve higher fees on their own sometimes. They do wear the big boots.

Conventional or FHA are options or owner financing.
 
Lets look at it this way. There are many loan programs available to borrowers., FHA, conventional, owner financing, etc.
 
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He’s off the mark (no pun intended), again.

His basic problem is data collectors aren’t licensed and should be held responsible (basically because they aren't licensed) for any flawed data collected. As far as creating yet another license in our field, ask yourself “How did licensing AMCs protect public trust or appraisers?” Yeah, it worked so well we’re on the verge of being replaced by the licensed firewall that morphed into our direct competition.

Good luck going down the “If only they were licensed” road.
Well that’s not entirely true. My blog goes behind just that to protect the consumer. Raises issues with what we as appraisers have to follow and yet others don’t. They don’t need to be licensed, but they better well have some sort of competency and experience in doing this all. They better represent themselves properly

I shouldn’t be responsible for anything they do if I’m not supervising. Period. If issues arise and it’s on their end they should be responsible. Idk about you but each state interprets USPAP to what they think it means. I can see the same with these regardless of any certifications. The AMCs and more are promoting these as if they are just good to go and acceptable. This goes against the preamble of USPAP and public trust. Read the blog again. It’s not just about being licensed or having the credentials. I understand what your saying but I was looking at it from a different view.
I mean do you just let anyone in your home because they say they are someone? Me personally I check for credentials. I want to know who they are and what they are doing.
 
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Hybrids require data collectors....
Desktops for purchases will rely on MLS listing sheets and assessor data....
 
Hybrids require data collectors....
Desktops for purchases will rely on MLS listing sheets and assessor data....
Couple trillion $$ (well a sizeable percentage of that anyway) in taxpayer-backed funding based on what the homeowner (seller) and commission-based real estate agent say. And the floorplan. Don't forget the floorplan. :)
 
each state interprets USPAP to what they think it means. I can see the same with these regardless of any certifications. The AMCs and more are promoting these as if they are just good to go and acceptable. This goes against the preamble of USPAP and public trust.
Exactly. It will be a state by state issue to vet and who knows what they will do? Some boards are all appraisers, many are represented by bankers and real estate agents by law, and some have no more than one or two appraisers on the board....perhaps none are required. You face a dart board.
 
Couple trillion $$ (well a sizeable percentage of that anyway) in taxpayer-backed funding based on what the homeowner (seller) and commission-based real estate agent say. And the floorplan. Don't forget the floorplan. :)
By golly, I do just that with every appraisal.... :)

If folks are going to complain about the "Desktop product for purchases"....
At least complain about the "Desktop product for purchases" and not about the hybrid....
 
Well that’s not entirely true. My blog goes behind just that to protect the consumer. Raises issues with what we as appraisers have to follow and yet others don’t. They don’t need to be licensed, but they better well have some sort of competency and experience in doing this all. They better represent themselves properly
Before I start I appreciate the effort, and you shouldn't interpret my criticism as personal.

You write "They don't need to be licensed, but they better well have some sort of competency in doing this all" and "They better represent themselves properly". So when you're meeting with your state board reps, what do you think they really hear? They can't regulate or set standards for an unlicensed activity, so what's the end game?

Let's get down to the mechanics of this: You want standards and regulations for anyone who physically collects property data, you want them to be held responsible, and you're meeting with GA state board reps advocating your position. With the "who" you're meeting with, there's only one arrow they have in their quiver: Licensing. And that arrow is the answer, from a regulator's perspective, to nearly every objection you have in your blog article: Licensing. It's even the answer to your point about public trust, when confronted with issues many years ago licensing the appraisal profession was the answer to the public trust question. Heck, appraisers jumped up and down about AMCs (rightfully so) for how long before regulators listened and responded with a license. See the pattern?

I shouldn’t be responsible for anything they do if I’m not supervising. Period. If issues arise and it’s on their end they should be responsible.
The only way to hold them responsible in a meaningful way, again, is through licensing. How well is that working with AMCs?
The AMCs and more are promoting these as if they are just good to go and acceptable.
And they can, in no small part, because AMCs hold a license as an Appraisal Management Company.

This goes against the preamble of USPAP and public trust.
Want real public trust? Let's kill AMC snakes by cutting off their heads: GSEs should adopt the VA appraisal management system. Cut off the monopolistic hold AMCs have on GSE/lending origination volume, that's what's best for public trust. I know this isn't popular, heck how can coach systems and puppy mills work if deals for volume can't be made with AMCs or lenders? I'll admit it isn't perfect, but the truth is AMCs have captured the market and until that is changed there isn't anything that will remove their unfair competitive advantage, not even a license for data collectors.
I mean do you just let anyone in your home because they say they are someone? Me personally I check for credentials. I want to know who they are and what they are doing.
Fair enough. Here's my credential Mr. Dumpster. Before the board issued my license I had to take X hours of specific education, pass a test, pass a background check, and speaking of checks had to write a check to the state board. Oh, and now that I’m licensed I was just offered a seat on the state board, so now people call me Mr. Data Collector.

With all of that said, I’m not disputing your overall view. What I’m trying to point out is this will end just the same as the push to license AMCs and we as a profession will have to make room for another license at the dinner table.
 
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