HB 303 - Regulation of Real Estate Appraisers & Appraisal Management Companies

[Summer]

This bill does nothing without clearly stating AMCs must disclose their fees and are not allowed to mark up appraisal fees. All this states is that they have to register and comply with USPAP.

 

[Francois K. Gregoire]

This bill does nothing without clearly stating AMCs must disclose their fees and are not allowed to mark up appraisal fees. All this states is that they have to register and comply with USPAP.

Thank you for your observation. Do you have a rules, regulations of statutes to regulate appraisal management companies in up in CT? If so, how did you accomplish what you suggest?

For instance, if you, as an appraiser or business owner use independent contractors, are you required to disclose your fees to your clients or other parties? It there a limit or restriction on making money over and above what you pay independent contractors?

My questions are not a defense of AMCs. I would merely like to see how a statute or rule is worded to impose one set of restrictions on a business entity regulated by a state agency and exempt another business entity regulated by the same agency.

 

[Dan/Fla]

OK I am not a lawyer or anything however why not do it the easy way on fees make it mandatory that appraiser disclose his and or her fee, within the report, maybe in an area which can not be removed like page 3 of the report in a URAR.

The main thing AMC do not want to home owner to know the fee, if they are low balling the appraiser. Though there are quite a few AMCs that pay a decent fee.

Since the board sets rules could this not be a rule which appraisers are required to post what they charge in an non-removal area of the report. That is if fees are the biggest concerns to some appraisers.

 

[Francois K. Gregoire]

Ladies and Gentlemen, we have a bill!

HB 303 Regulation of Real Estate Appraisers & Appraisal Management Companies

Some details and a link to the bill at Appraiser Active

Press Release from Representative Hudson's office added

HB 303 will be discussed during the meeting of the Florida Appraisal Council on Friday, January 22, 2010. Details of this meeting at the link above.

Yesterday, we had conversations with members of the Florida Senate yesterday. Hopefully, we will be announcing a Senate Bill and Sponsor during the Florida Appraisal Council meeting.

Cosponsors of HB 303 are still welcomed. Please contact your Florida Representative and encourage them to sign on.

Talking points concerning the need to regulate AMCs in Florida are offered in two Appraiser Active posts:

Post #1 - 7 Reasons to Regulate Appraisal Management Companies in Florida

Post #2 - 1 More Reason to Regulate Appraisal Management Companies in Florida

If you are interested in seeing this happen, NOW is the time to get on the phone with your friends and colleagues, your State Representative and your State Senator.

Thanks

 

[Moe Larry]

They should cap AMC total fees to no more that 10% of the appraisal fee. I'm not sure but I think Maryland is trying to do this.

 

[Jonathan C]

Unless there is total transparency of the AMC's cut of the appraisal fee, no legislation will cover the main problems appraisers and consumers are facing. What are we gonna do? File a complaint with the DBPR because the AMC takes 60% of our fee? The bill (which, I admit, I haven't read completely as of yet) should be a Florida version of Truth in Lending disclosure. Let the consumer understand they are paying $675 for the appraisal when they can get the same product for $350 w/o the HVCC regulated middleman we, as appraisers, have to be slaves too.

 

[Francois K. Gregoire]

Unless there is total transparency of the AMC's cut of the appraisal fee, no legislation will cover the main problems appraisers and consumers are facing. What are we gonna do? File a complaint with the DBPR because the AMC takes 60% of our fee? The bill (which, I admit, I haven't read completely as of yet) should be a Florida version of Truth in Lending disclosure. Let the consumer understand they are paying $675 for the appraisal when they can get the same product for $350 w/o the HVCC regulated middleman we, as appraisers, have to be slaves too.

Contact your State Representative and Senator. This bill has been in the works for nearly two years, long before the HVCC came into play. It's not perfect, but can become better. Your elected representatives need to hear from you and folks outside of the appraisal profession.

 

[Jonathan C]

I just sent email to Rep. Dorthy Hukill. Emphasis was on AMC disclosure of fees, regulation needed and how HVCC has harmed the Florida consumer (higher appraisal fees) and Florida appraisers (less income/going out of business/less money circulating our state). Let's keep hounding them....they work for us!

 

[Mejappz]

Contact your State Representative and Senator. This bill has been in the works for nearly two years, long before the HVCC came into play. It's not perfect, but can become better. Your elected representatives need to hear from you and folks outside of the appraisal profession.

Frank, any chance that we could include some language in the bill like New Mexico capping AMC fees at 10%?

 

[Francois K. Gregoire]

Based on my conversations with DBPR and folks in he legislature, the general mood is against additional regulation. This is not just the case for AMCs, but any group, trade or profession. The first task is to overcome that mindset.

The bill must be sold to the legislature on the basis of "protecting the public". If rationale is presented on how capping AMC fees benefits the public, there may be a chance.