Fee Disclosure?

[ethanw]

Has anyone ever had this happen. AMC client with a request I disclose the fee.

From the e-mail

A. Per LETTERS OF ENGAGEMENT: the fee and registration disclosures are printed on this engagement letter. Please use this to disclose in the body of the appraisal report:

(1) The total compensation, stated as a dollar amount, paid to the appraiser or, if the appraiser is employed by an appraisal company, to the appraiser`s employer: and
(2) The total compensation retained by the AMC in connection with the real estate appraisal activity, stated as a dollar amount.


Appraiser fee: $ 375.00
AMC fee: $ 100.00
Lender/Client fee: $ 475.00

Is this a good sign on the AMC front?

 

[Meandering]

it's half arse backward.

You would think a freaking management company would read USPAP since they want to manage appraisers.

They are our clients. We report the fees we received from our clients. We don't report the fees they took from anyone else. They can include that on a HUD1 closing statement or on their own report form.

Appraisals should not be used as reporting mechanisms for other entities that are not bound to reporting requirements of USPAP. Their fee is not necessary information for your appraisal.


I'm still being nice today.

Have a pleasant evening.


.

 

[Pilgrum]

A similar fee disclosure is required by law in Nevada. I must be placed in the body of the report.

 

[Terraform]

whoa, really? Nevada of all places has a full dislosure rule?

 

[TxArmadillo]

In Texas, the appraiser does not HAVE to disclosure the fee received in the report. However, if the appraiser chooses to disclose the fee in the report, the AMC/lender cannot prohibit it nor can they take any action against the appraiser for disclosing the fee.

 

[William K]

How do we even know what the AMC made?
Are we to just take their word for it?

 

[sputnam]

Some states require that kind of disclosure in the appraisal report. I suspect rather than trying to keep which states do and which don't straight, the AMC just requires it for all. But I would only disclose the fee paid to the appraiser. I don't have any direct knowledge about the rest.

 

[Tres Kirkland]

GA requires you to report the fee paid to the appraiser if the appraisal was ordered by a third party.

 

[Scott R Marshall]

New Mexico requires fee paid to the appraiser and the fee charged to the client to be stated within the report.

Seems to be the trend in the industry.

 

[ethanw]

Kentucky's AMC statute only states an AMC cannot keep an appraiser from disclosing the fee received.

I just found it odd because I have completed a lot of assignments for this AMC and have never had this request. The request was not in the engagement letter only e-mailed to me just before I submitted the report. I normally do not disclose fees in reports. I agree with Marion, that's what the HUD is for. I could care less what the AMC's cut is along as I am paid the fee I request.