Direct Lender v AMC

[Audere est Facere]

I’m back in the business after a 10 year hiatus and this AMC bid process is bunk! Great the last 12-18 months but with higher rates and volume down it appears I’m getting lowballed on what I deem appropriate to produce a quality product.

What’s the process with getting assignments direct from lender? What lenders? How do I get on those lists?

I had a whole stable of loan officers back in the day till HVCC took it all away!!

 

[Tom4value]

I’m back in the business after a 10 year hiatus and this AMC bid process is bunk! Great the last 12-18 months but with higher rates and volume down it appears I’m getting lowballed on what I deem appropriate to produce a quality product.

What’s the process with getting assignments direct from lender? What lenders? How do I get on those lists?

I had a whole stable of loan officers back in the day till HVCC took it all away!!

10 years is a life time in this business. That is the bad news because all of my clients I got in my practice.

However, the good news is it is still an “appraiser’s market”. There are 3 ways in getting direct clients.

1. Do you know any lenders? If so, let them know you are good to go on getting assignments.
2. Get on board with appraisal portals. I am on with Appraisalport, Encompass and Mercury. They charge a small fee per order but it is far less than what you will lose with an AMC and you deal directly with the lender.
3. Deal with real estate brokers. They are business partners with LOs and they can hook you up with lenders who need appraisers who can get it done.

Good news is with following all three of these, I have weaned myself off of AMCs.

 

[Overimprovement]

I've posted this many times.
1) Clerk of courts. Look at mortgages. See who is lending on homes in your area.
2) Walk into a brick and mortar, talk to mortgage loan officer. Don't BS them, let them know up front you are an appraiser, and are looking for better clients. Be friendly. Be exhaustive too. Ask what types of loans they do. In house or all secondary? Some even go direct for HELOCS but use AMCs for purchases. Pick their ever-loving brain as long as you are in their office. They will talk to you. Have NEVER been turned down by any bank trying to increase my business. Have gotten on most lists--AMC/direct when I have taken time to do this. It works.

 

[Terrel L. Shields]

Shoe leather time- Smaller community banks. Personal visit. Loan department and find out how to get on their vendors list.
Understand the difference in the conforming conventional "secondary market" loan where FNMA/Freddie applies and the non-conforming conventional (mainly "in - house" loan) where the IAG applies

 

[ZZGAMAZZ]

Shoe leather time- Smaller community banks. Personal visit. Loan department and find out how to get on their vendors list.
Understand the difference in the conforming conventional "secondary market" loan where FNMA/Freddie applies and the non-conforming conventional (mainly "in - house" loan) where the IAG applies

Who provides residential appraisals for Wells Fargo?

 

[ramrcdk]

Who provides residential appraisals for Wells Fargo?

JUST say NOooooooooo. But: Solidifi for one. $350 (edit: IN this area of NOT NOT an appraiser Shortage)

 

[TerryRohrer]

Who provides residential appraisals for Wells Fargo?

Rubber stampers/form fillers, fools, and those yet to be blacklisted.

 

[J Grant]

Shoe leather time- Smaller community banks. Personal visit. Loan department and find out how to get on their vendors list.
Understand the difference in the conforming conventional "secondary market" loan where FNMA/Freddie applies and the non-conforming conventional (mainly "in - house" loan) where the IAG applies

That might still apply in a few areas, but in many areas, the small bank or credit union uses an AMC simply because it is easier for them .

 

[Terrel L. Shields]

in many areas, the small bank or credit union uses an AMC simply because it is easier for them .

Yes, but many also use bid systems or direct assignment. We have one local that uses a compliance company run by former bank examiners. They provide both appraisal assignments and pre-examine the banks books to assure compliance with the FDIC, etc. But to get on their vendor list you need to go through the bank. The bank provides the company with a list of approved appraisers from which they draw. So while these institutions are using an AMC, the AMC is not assigning appraisals willy-nilly rather are choosing from the list or getting bids from the list approved by the bank.

The regionals also have staff appraisers doing some work, and assigning work like it is supposed to be assigned, and use AMCs only when running behind (like now). As one staffer told me a couple years ago, they "hate" working with AMCs because they don't keep their promises on Turn time. Arvest, for instance, tends to assign appraisals to local experienced appraisers. If you do FHA a lot, you get FHA assignments, if you do commercial ag - that's what they send you. That was the way the law was intended. Turn times and fees were not a basis for assignments. In common jobs, they may send out for bid via RIMS but also call and say they want to direct assign it to you...and they do.

This is an all in one company that is used locally and registers here as an AMC.

https://www.linkedin.com/company/rdk-&-associates

 

[Terrel L. Shields]

Also worth mentioning. If your state has an AMC registry, then you can get a list of the AMCs working in the state. Call and find out if they do direct assignment. Set your minimum fee and reject any that are presented lower or counter the offer to a higher fee.