Diversify - Now!

[Mike Kennedy]

http://lawyers.findlaw.com/lawyer/practice/Divorce?DCMP=ADC-DIR_Divorce-Attorney

http://estate.findlaw.com/planning-an-estate/state-laws-estates-probate.html

http://bankruptcy.findlaw.com/

http://hirealawyer.findlaw.com/choosing-the-right-lawyer/state-bar-associations.html

 

[DWiley]

I totally agree with the thread title. Diversifying one's practice should be a goal for every appraiser. My goals were to not have any client who was more than 10% of my total business, and to have as much as possible be non-lender work. Bankruptcy work is a great way to tip one's toe into litigation work. Pre-listing appraisals are also a good opportunity, especially in hot markets.

 

[bnmappraisal]

My goals were to not have any client who was more than 10% of my total business, and to have as much as possible be non-lender work.

Great goals for sure. Looking at my current book, I'm not quite at the 10% goal you state, but not far off. It does take time to find/build up, but it's worth it

Pre-listing appraisals are also a good opportunity

This has been a decent amount of my non-lender work and agree ... good opportunity

 

[DWiley]

Great goals for sure. Looking at my current book, I'm not quite at the 10% goal you state, but not far off. It does take time to find/build up, but it's worth it

This has been a decent amount of my non-lender work and agree ... good opportunity

As I think about it, that 10% goal might not be realistic for a sole proprietor, but appraisers should definitely consider their concentration risk with clients. There are certainly upsides to having only one or two very good clients who make up most of your book of business, but there are also some big risks. I learned that one the hard way about 20 years ago when a client who was accounting for about 40% of my firm's work got mad over one appraisal that did not meet sale price and pulled all their business.

 

[bnmappraisal]

As I think about it, that 10% goal might not be realistic for a sole proprietor, but appraisers should definitely consider their concentration risk with clients.

C'mon, DWiley, now you're talking business sense! Appraiser's aren't supposed to be good at business!

Thinking about my book, it's come a long way over the last several years. AMCs made up 100% when I started out/CR 2009. And they remained that through the majority of the next few years. Even when I started my own company in 2013, they were still a large chunk.

These last couple of years I've really been trying to get away from AMCs and getting more direct and/or non lender. My non lender is about 15-20% of my book. 2 of my clients (both direct) are probably about another 50% of my book. Another client (direct) probably 10-15%. The other 15-25% are smaller types and/or one offs (some AMC work in there)

My marketing has mostly just been handing out my business card at each property I go to; whether I meet someone there or a vacant property - I leave my card. I've had many assignments over the years b/c of this. Well worth the few $$ for the cards.

 

[Mike Kennedy]

Article was dead-on Accurate (remains so) when first published, then updated ........recommend contacting the Author to get info on the newsletter updates she made too>>

those of us in the Second Baby Boomer Wave...and our Attorneys and Tax Accountants...........need competent appraisals done by Professional Appraisers.

https://appraisaltoday.com/biz-tips/appraisals-for-estate-and-probate-predicted-to-increase/

 

[Terrel L. Shields]

Ultimate diversification. Almost all my clients are unique since I am doing a wide range of estate appraisals (you only die once ). I do have some annual updates for estates which I've done for years, and I have a charity and a Hospital that had donated minerals which I revalue periodically.

 

[Tim The Enchanter]

you only die once

Thinking this falls under the category of Thank God for small favors.