Hybrid

[djd09]

I was employed at Freddie Mac.

 

[Michigan CG]

Most fee appraisers are no longer doing the "easy ones" anyway.

Um, yes they are. Maybe you aren't getting them and I don't get many of them but they are getting them.

Today in my e-mail I got two notices from AMCs that wanted fee and turn time for houses I didn't even need to look up as I recognized the streets in these very easy subdivisions. I look at those offers on a weekly basis and laugh that some idiot is bidding in the low $300 range while I am now booking private work at three weeks for residential.

 

[Michigan CG]

The US has a president whose own business history is high debt/leverage/risk and stick others with the bill...three bankruptcies, a trail of thousands of lawsuits and stiffing contractors.

Ignorant post of the day. Your president has not filed one personal bankruptcy.

 

[Michigan CG]

I do very few 2055/s and so do most appraisers ...( that I know) But yest I feel a bit more "exposed " to possible issues with 2055 forms. I did a few last year pre foreclosure for a client and found them more time consuming each time out digging for info, etc I stopped accepting them

And a 2055 is still not a hybrid desktop...appraisers are cranking them out in 45 minutes that's on them, but I am just wondering if any of the reports one day will be looked at more than these appraisers think.

Turn time/speed is very much a problem in these products and in fact of much of res lending work. Though it's understandable clients need/want it fast, many of the deadlines are AMC imposed to impress their clients/win market share and put pressure on appraiser and reduce time for verification, research etc. Appraisers are turning in reports faster than ever, typically 2 days after inspection.

"Back in the day", 2003-2007 appraisers weren't complaining about the 2055 reports with absolutely no knowledge of the subject property other than an exterior inspection that lasted less than a minute. Personally I didn't want to do them for the same reason you stated, the exposure and that the time was not much less than a 1004. I haven't done a 2055 in over 18 months.

The 2055 is not a hybrid desktop..........but it the 2055 of 2006 was a blind assignment for many of your peers while the current hybrid is not much more than a blind assignment in many cases as there will be a few photos that don't tell the whole story but that can be explained away in Scope of Work.

Your problem is that you think that these products are common; they aren't and as long as appraisers have a brain on how much work it takes to comply with Standards 1 and 2 the majority will not take the currently offered fees. Any appraiser who claims to comply with Standards 1 and 2 in 45 minutes is a liar. Also remember, these loans are not going to FNMA (yet).

Of course the AMCs are trying to impress their clients, that is what most businesses do. Are the AMCs lying about many of these products, sure, that is how most AMCs base their business model on.

 

[Michigan CG]

it is meant as a compliance document not a serious valuation.

Absolutely..........that is what is required. Nothing more and nothing less. Appraisers need to understand that lenders need to be compliant and that is the product they need. Appraisers need to understand their requirements and react accordingly.

 

[Michigan CG]

.............So maybe everyone is jumping the gun.......

Yes, there is an excessive amount of paranoia.

 

[Michigan CG]

There was a post or a thread somewhere about the E and O insurers being worried about hybrid appraisals taking over the industry (the post had no support of that idea). I just renewed my E and O today for $900+/-. I have a commercial license, do a lot of residential along with commercial and farm and have appraised properties over $3 million in the last year. My cost was almost identical to last year telling me that so far the E and O companies are not yet concerned about this.

 

[J Grant]

Ignorant post of the day. Your president has not filed one personal bankruptcy.

Below is what I wrote : his own Business history...I never said he filed for personal bankruptcy.

The US has a president whose own business history is high debt/leverage/risk and stick others with the bill...three bankruptcies, a trail of thousands of lawsuits and stiffing contractors.
Ignorant post of the day.

 

[J Grant]

Um, yes they are. Maybe you aren't getting them and I don't get many of them but they are getting them.

Today in my e-mail I got two notices from AMCs that wanted fee and turn time for houses I didn't even need to look up as I recognized the streets in these very easy subdivisions. I look at those offers on a weekly basis and laugh that some idiot is bidding in the low $300 range while I am now booking private work at three weeks for residential.

The reality then is if a segment of these assignments go to bifurcated with inspections, fees will be less for the appraiser segment : res appraisers will have more free time- either develop another source of income or make less from appraising . Whether an increase in the low fee desktops would generate enough income to matter is unknown, I doubt it unless the volume vastly increases.

Appraisers could create demand for a product they can offer the consumer, but it would need a targeted web presence to reach and get business linked in to Zillow and other mega RE sites, to do consulting work for people making offers or for contract appraisal contingencies as these sites are increasing their own buy/sell direct business.

 

[Mr Rex]

A novel idea might be to stop spending so much time crying and whining on this site and go work harder at paying gigs that don't include the dreaded 3rd party inspector that scares you so.