Hybrid

[chad hampton]

[QUOTE="chad hampton, post: 2851218, member: 99638"What I don't like about hybrids are the combining of random data from suspect sources and selling them as a URAR/interior appraisal substitute. .

Currently, the overwhelming majority of hybrids are ordered by servicers for portfolio analysis and default servicing or by equity lenders for home equity lines. As such, most hybrids currently are ordered as a substitute for BPO's or evluations, not as a substitute for 1004's. That may change in the future as Fannie is running some pilots to test hybrids, but right now the number of hybrids used for origination appraisals is very small[/QUOTE]

Not doubting you at all, like I've said, I've only see orders for a handful of them over the last few months. And all from an AMC that I haven't done work for in many years. But every order was for a desktop for a refi purpose. When I pressed them, I was told these are interior desktops and I would have to include AMC provided photographs into my report. I decided it wasn't in my best interest to proceed.

 

[djd09]

a dumb idea.

It is a great idea. But

Dividers like to divide, same story a different day.

They divided the appraiser from the client, the fee, and now the first hand inspection. Soon the AVM will finish them off. Start looking for a new career. Sorry

 

[Mr Rex]

Fair enough. I look at a lot more than just the products in a vacuum though. I take a lot into account. The forms are just forms. What I don't like about hybrids are the combining of random data from suspect sources and selling them as a URAR/interior appraisal substitute. They are not and it is misleading to say so.

I'd love to sit and do URAR's all day. In fact, that's pretty much what I do. And what I'll continue to do as long as I can. But people on here say times are changing. Most of them aren't day to day working appraisers anymore, but I'll take them on their word.

As long as you do desktops, you have joined the enemy that is us. Times are changing and as I have said before the death of hybrids is the refusal of appraisers to participate. Desktops and hybrids are first f-ing cousins, so either get along to go along or talk the talk and walk the walk. You can't have it both ways and expect anybody within or out of the appraisal profession to take your opinion seriously when you are inconsistent. Nancy Reagan used to say "Just Say No". Every appraiser in the US should be reminded of this ASAP regarding all AVP (Alternative Valuation Products). Every AVP you do, whether a Desktop or Hybrid takes income away from the industry. There is no difference in that regard. The argument against hybrids is destroyed when compared to Desktops as there is some data regarding current interior condition regardless of the source of the data. WTF are some people thinking?

 

[Mr Rex]

Fair enough. I look at a lot more than just the products in a vacuum though. I take a lot into account. The forms are just forms. What I don't like about hybrids are the combining of random data from suspect sources and selling them as a URAR/interior appraisal substitute. They are not and it is misleading to say so.

I'd love to sit and do URAR's all day. In fact, that's pretty much what I do. And what I'll continue to do as long as I can. But people on here say times are changing. Most of them aren't day to day working appraisers anymore, but I'll take them on their word.

As long as you do desktops, you have joined the enemy that is us. Times are changing and as I have said before the death of hybrids is the refusal of appraisers to participate. Desktops and hybrids are first f-ing cousins, so either get along to go along or talk the talk and walk the walk. You can't have it both ways and expect anybody within or out of the appraisal profession to take your opinion seriously when you are inconsistent. Nancy Reagan used to say "Just Say No". Every appraiser in the US should be reminded of this ASAP regarding all AVP (Alternative Valuation Products). Every AVP you do, whether a Desktop or Hybrid takes income away from the industry. There is no difference in that regard. The argument against hybrids is destroyed when compared to Desktops as there is some data regarding current interior condition regardless of the source of the data. WTF are some people thinking? They aren't, they are reacting emotionally and irrationally.

 

[djd09]

edit

 

[Carnivore]

Chad-

If, for the valuation component and for the GSE-type hybrid, they paid, say $300 and expected it to be done in two days from acceptance, do you think they'd have a difficult time in finding appraisers to sign-off on hybrids?

That rate/turn-time expectation is out-of-bounds for the non-GSE hybrids, for sure. But I'm it may not be out-of-bounds for the GSE hybrid.

The NC Appraisal Board Requires Appraisers to State the Fee in a conspicuous place within the report. Story has it they found a pattern of Low Fees = Less than desirable Appraisal Development and Reporting during complaint investigations.

 

[hastalavista]

As it stands now fees for a 1004 purchase are the same as for a Refi. I don’t see the products setting any new fee precedent regarding their intended use.

But the SOW for a 1004 purchase vs. refi is pretty much the same as well, no?

 

[Michigan CG]

If the residential fee appraisers are worried about what the GSEs or the lenders that do business with the GSEs will allow then that's where your battle should be. If you can't convince the GSEs to require an inspection by the appraiser in every appraisal they traffic in then you'll need to go over their head to their regulator, and if that doesn't work then you need to go over their head - which is CONGRESS.
Your problem isn't USPAP and it never was. Your problem is most of your lenders chafe under the unfunded mandates to get appraisals from licensed appraisers.

In order to do the above appraisers would have to organize and 70% of appraisers don't even belong to a professional organization. Whining and complaining is easy and saying "Hey we need to do X, Y and Z" ends about right there.

 

[Michigan CG]

Today, everyday millions of dollars flow to agents doing BPOs instead of appraisers doing some form of appraisal (something is less than a 1004).

I am on you side for a lot of this discussion but in reality I don't want to or can't compete with a BPO fee. As I have stated before, I think this whole discussion is about fees and not the product. Dennis has said it all better than I have. I get $125 for a trip fee. I get $125 for a 1004D. There is no way I am going to sign my name to a value for $125 for at least double the work. There is no way I am going to do an inspection for $60. For me (and many) it is all about opportunity cost. If I have the opportunity to make $X and they are only willing to pay $Y then there is no way I am going to broaden my "services".

If agents are doing BPOs for $80 or even $150 I have no incentive to do a hybrid product.

 

[Evincere]

But the SOW for a 1004 purchase vs. refi is pretty much the same as well, no?

Of course. It was your inference to a hybrid paying $300 that made me laugh - my point was it matters not what, where or who the hybrid is product is destined for because the fee that’s going to be offered will be in the very same ball park regardless of the intended use.

Here’s a fun read. Clear Capital is paying a whopping $25. Jeeze. Realtors get more for BPO’s.

http://appraisersblogs.com/clearval-value-hybrid-appraisal

Which to me is EXACTLY what a hybrid resembles - a BPO the only difference is they slapped an Appraisal Certification on it. It’s a pig wearing lipstick and a tutu.