ERC.org : is it worth becoming a member?

[JoeB]

The last post about ERC.org was a while back
I have been interested in expanding my horizons, since the lighter work load has given me more free time ! Are there any active members of ERC.org willing to comment on the amount of work they receive from this service? Does the "Global Workforce Services Directory" bring you any business?
Thanks for your comments!!

 

[larryellis]

Hi Joe---I signed up a few months ago, spent over $350---haven't received a phone call yet

 

[Diego Lopez]

I signed up on 2006 and received 0 appraisal requests. If you want to do it for the ERC relocation appraisal class go right ahead but dont expect to get any assignments.

 

[Thomas Fiehler]

It is necessary to sign up and take the class to receive the work. I know appraisers who keep fairly busy doing mostly ERC assignments. With that said, try and keep your name in front of the local large real estate companies and their agents that specialize in the relocation work since they often are called for referrals. I tried to get on a list with a local Fortune 500 company years ago before they started outsourcing. It took about 3 years to receive my first order and then there were times when I was working on 6 at one time.

 

[Michigander]

The guide has a lot of information including when the appraiser first started appraising, who their clients are, what if any designations they have, etc. If you are not a long time appraiser with a number of Relo clients, then it will take awhile to get your first order. Being listed doesn't necessarily bring you business. Think about it; if you were hiring someone to do the work, and you had appraisers with three well known clients, having appraised since 1980, with designations, versus an appraiser without clients, having appraised since 1995, who would you chose? Also, most clients are looking for local, so don't place yourself outside of your primary area.

 

[Couch Potato]

ERC work is not the kind of thing you can just decide to do one day. It takes an investment of money and time to build a reputation and gain the trust needed to get the work (unless you get the jobs through an AMC.) You can't just sign up with Worldwide ERC® and expect people to use your services, but it can be a part of your marketing effort.

 

[Michigander]

What Couch said!

Also, ERC work is not the same as mortgage work. The entire appraisal is based on Anticipated Sale Price and you really do have to know your market and its reactions to many things such as personalized paint colors, clutter, etc. that "most" appraisers don't consider in mortgage work (even though they do affect marketability and value).

 

[Mike Garrett RAA]

Is it worth it? Have been listed in the ERC directory for over 15 years. Much depends on where you are located and how much relocation occurs in your area. I am looking at the 2008 directory (which would make a nice boat anchor for my little boat) and see that there are 13 appraisers listed, down from more than 20 in 2006. Only 4 show appraising longer than me. 7 are designated.

Last month I received 3 ERC assignments, this month 6 assignments. My average fee for relocation appraisals is $700. All assignments are from the same RELO company although I have received work from a total of 4 companies over the years. One company still owes me for two appraisals done in 2006 and I doubt I will collect from them as the company was bought out after it filed for bankruptcy.

ERC work is demanding and time consuming. It is much more like a narrative report and requires extensive market analysis and knowledge. I spend about three times as long doing an ERC assignment as I do on an appraisal for mortgage lending. They grade appraisers based on what the anticipated sales price is vs what the property actually sold for.

ERC companies order two appraisals on each property. If the anticipated sales price isn't within 5% of each other they may order a 3rd appraisal (tie breaker) and then will use the two closest in ASP. If you are repeatedly not one of the two closest you will most likely be dropped from their approved appraiser list.

Do I recommend it? Depends on your area and your willingness to pay the fees. Also remember they are looking for appraisers who are members of a national recognized appraisal organization and those with at least 5 years experience as a licensed or certified appraiser.

 

[Esox]

Mike explained it pretty well. I have been a member for about twelve years and also have the CRP designation from the ERC. Relo work is an important part of my business. I couldn't really tell you how many assignments result from being in the directory, because I am probably on most every relocation company list. I learned this side of the business from my former partner who was very involved nationally with ERC. When we bought him out, the relo business was what we were buying. Last year I averaged 8 a month. This year started slower, but I did 11 last month and have 12 requests this month.

I would try to get my hands on a directory and see how many appraisers are listed in your market. It may be online at the ERC site. It's all about the competition. The membership costs and the conferences are really pricey. The relo companies look for appraisers with relo experience and education. They're partial to RAC members. RAC is a relocation appraiser organization. I do not belong, but it hasn't hurt me in my market. You could look up some relocation companies on the ERC site and give them a call. Find out how to get on their lists, what they look for in qualifications, or how many appraisers they have listed for your market. If the guys working your market have poor records, you might have an in.

Kevin

 

[David Sawyer]

Joe,
Kevin & Mike pretty well summerized it and I can not add much except for my own experience as the "new kid on the block". Go into Worldwide ERC directory listed below.
http://www.ERC.org/directory/us_appraiser2a.shtml

I initially received a call from probably the largest relocation co back in April if I did ERC and would I be interested in an assignment in one of my more distant and rural counties that I have listed in "Wayne's World" in appraiserusa.com. Of course I said yes, even though I had not performed one in my own name and had only assisted when I formally worked at large appraisal shop prior to my solo status. I therefore did not have a sample to submit with my application. Well, I guess I did an effective selling job as I received the order. I was fortunate to have a local mentor and some help from this forum.

I had the same questions that you have. I joined the Worldwide ERC, signed up for the training course which I only finished this past weekend. I will receive the "heart" designation next to my name on Friday which means that I am Worldwide ERC trained. The cost of all of this was about what the fee from one of the orders generated. I highly recommend the training course! I think in every state but four, which Florida is one of them, 6 hrs of CE are awarded.

In the last 90 days since I joined the Worldwide ERC, I have received 7 orders, of which an additional 2 of them were from my initial assignment company. They are extremely extensive reports and be prepared to spend minimum 18 hrs each but it is what real appraising is all about.

If I had my preference, I would do nothing but ERC appraisals. However, Southwest Florida is not exactly the biggest corporate world down here.