Ever Wondered Who's Selling Us Out?

[Delta85]

I would not put appraisers on the same level as lawyers.

Also, there is a huge demand for lawyers for all kinds of scenarios. Right now demand for appraisers is the lowest it's been in many years.

 

[xmtpedprl]

Levels aren't the issue here, fees are. You can call any lawyer you like, they need work same as we do, and they'll take the next in line, just as we would. I know, I went through a lengthy legal battle and dealt with many. And the fact of the matter is that what I found was a consistency of fee ranges so tight it was as if they read from the same playbook.

And maybe they did. And *if* they did, and they're lawyers, we should be no different. At least with respect to a low end fee.

These legal types have their acts together, we appraiser types don't, and that's all there is to it.

Dave...

 

[Delta85]

I agree. But their phones don't stop ringing. There is a huge demand for lawyers and always will be. They can afford to stick to their guns in terms of fees. For many appraisers, sticking to their guns may mean days or weeks without a job. Not only that, but lawyers command much larger fees for their work on average so they may be able to maintain themselves on fewer clients. How far does $350 (average 1004 fee) go these days?

Right now there are too many appraisers and not enough work to go around.

 

[xmtpedprl]

Please, I'm not trying to be hyper-critical, but work through this comment:

"For many appraisers, sticking to their guns may mean days or weeks without a job."

It's just plain wrong to look at it like that, that is, unless all the OTHER guys around this fictional character have done exactly what you're suggesting he'll need to do to get some business - that is, drop fees. You see, if NO ONE dropped their fees the choices made by potential clients would then result in best service choices, as the existing job counts (appraisals) would remain the same, and they would have to be completed by someone.

However, in going insane in the membrane many appraiser have dropped their fees hoping to be chosen on a monetary basis, not a results basis. That's the issue here. The issue here is that WE gave the clients every reason in the world to shop for the cheapest appraiser they can find precisely BECAUSE we're panicking. Slippery slope, the dropping of fees, that is.

And not that they care one way or the other about our fees. They don't, in fact, and if I may be so bold, they're having a FIELD DAY throwing us under the bus and watching us squirm. They are, they're enjoying this. But we allowed them to have that fun, it's our fault.

Fact: Many crappy lawyers exist (I know, I dismissed several before choosing mine, and he wasn't even all that great), HOWEVER, they were all within 10% of one another on an hourly basis.

If you're telling me that we can't do just as good given a specific geographic area then I'll just politely disagree. I believe we can, and should. I believe we're worth DOUBLE what we get now, any of you out there. We create LEGAL documents that can haunt us for years.

In fact, I believe we control the situation so strongly that it would scare them to death should we ever realize it. The problem is creating that sense of self awareness, and self worth. Right now we have very little as a whole. Right now we're acting exactly like the kind of professionals that these predators feel should be put down.

Dave...

 

[Delta85]

I agree with all of that. But at the same time we have to live in reality and the reality is fees are dropping based on supply and demand. Hopefully things will reverse sooner rather than later but as I said before, there are too many appraisers and not enough work. So even if you do top notch work and market yourself as having a higher quality report there are probably 15 other appriasers saying the same thing. People are panicking and fees are becoming part of the negotiations.

I get tons of cold calls asking about appraisal services and I always quote my full fee. Usually you can tell if someone is price shopping and I can't tell you how many potential orders I must lose becuase these people don't call back and I'm certain fees play a huge role in their decision. Someone is getting those orders and in the meantime I have family and a mortgage to worry about.

 

[Couch Potato]

They make cars cheaper than mine!
They make TVs cheaper than mine!
They make clothes cheaper than mine!
They sell airline tickets for less than mine!
They sell appraisals for less than mine!


Quit the whining and learn to compete.​

 

[xmtpedprl]

CP stated:

"They make cars cheaper than mine!"

Correct, but ANY appraisal ordered for a specific assignment is supposed to be accurate per said assignment. Cars are supposed to have levels of variety and affordability so that most anyone has one from which to choose.

"They make TVs cheaper than mine!"

Some people can only afford 19" glass, toehrs want 65" Plasma. Different levels of affordability for different people looking for completely different things.

"They make clothes cheaper than mine!"

Some lawyers & businessmen must wear the best, some can only afford Sears and never appear in a courtroom or a boardroom.

"They sell airline tickets for less than mine!"

Some flights leave in the middle of the night, some in the height of the day during peak travel holidays. Different scenario altogether than appraisals.

"They sell appraisals for less than mine"

Yes, some do, but the question is how can someone do for $175.00 what others do for $350.00, especially when guaranteeing 24 hour turn times? If so, if you say that and can do that, you'd have to be able to work 24 hours a day - as you'd be the busiest person alive - OR, you're cheating somewhere along the lines, OR the product, the end result, is not the same as mine.

No one can do what I can do for $175.00 in less time than it takes me to do, so therefore they're not competing with me at all. They're cutting corners or submitting a product of inferior quality, but it's not like cars, TVs, clothes, or airline tickets, not at all.

Bottom line: IF I were to compete with anyone doing an appraisal for $175.00 I already know in advance I'd have to cheat in order to do it, so I wouldn't do it at all. Game over for me if it ever comes down to that.

Dave...

 

[TC]

I haven't seen 175 since 1985, and that only started because we added 50 bucks for comp photos.

If he can make a living doing appraisals that low, more power to him. I'd rather do one for full fee.

TC

 

[Fred]

Ever Wondered Who's Selling Us Out?

No. I always knew. It's the people with the black helicopters.

 

[Mile High Trout]

Minimum Charges

I don't know what you guys are doing. Some sounds sensible, others not. I've been telling them that I've got minimums, for any field work. There are longer standing AMC rates, that worked for AMC's before, and there is no reason it still can't work for them today. Lately AMC guys have been cold calling me from appraiserusa and such, getting desperate for discount appraisers themselfs. There is becoming an oversupply of AMC's, vs the available appraisers to work for those fees. EVERYONE STICK TO THEIR GUNS!!!!!!
:new_2gunsfiring_v1: Was it the russion in rocky that said: "I will break you".

That's what I do with AMC's. I'll work with them, taking as much time as needed, and getting around pay issues, even group mailing links to posts & newsletters & such. They have all recieved the HVCC response letter from AI. That's a good one to repeat send any lowballer AMC rep. (it's in prev post, if you have not picked it up, and sent it around, please do so. {appraisal orgs response to hvcc})

One day, I hope to have a respectfull relationship with AMC companies, but it's tit for tat, and they are behaving in a way that belittles me. You can't buy respect & integrity, but you can recognize it "off the bat"! Each geographical area carries unique fee structures, based on fauna, and pop bases, etc. AMC's are remiss, to apply one fee to every area.