Hybrid

[George Hatch]

And yet, the major lenders who have staff appraisers do pay far less per assignment, don't they? If fee doesn't matter to them then why would they do that?

It's really unfortunate that you have no experience in this business outside of the fee appraising bubble. Shoot, even having a vaguely personal relationship with a chief appraiser at a regulated lender would give you access to insights of which you are completely oblivious.

 

[J Grant]

Which, BTW, is the answer to why some lenders are using AMCs and others aren't. I keep telling you that but you just don't want to acknowledge it.

Tell me, do you really think the reason your direct engagement clients are doing that is out of altruism or morality or out of a sense of responsibility to you? Of are they doing that for other reasons such as wanting more quality or more control over a much smaller approval panel?

I have direct engagement clients whose approval lists don't amount to even a dozen heads. It should be obvious why they don't bother using an AMC.

They are national level and why they do it ...maybe better quality or control but their motive is off topic.

Why why can you not acknowledge that with the fee split profit motivation of an AMC absent, that neither technology nor an over supply of appraisers in a region produces the lower fees?

 

[Mr Rex]

Anyone disagree with the notion that SFR fees would not suck so much but for the incursion of the AMC's?

I make more now than when the mortgage brokers were in charge and shopping fees and a number hitter and haven't had a comp check request in years. AMCs are required to pay regardless in NC, prior mortgage borkers not so much. So yeah, count me on the opposite side of the ledger.

 

[chad hampton]

^^^ Case in point. Chad can see the short term dollars and apparently doesn't care about what happens when the volumes dry up and those former trainees are now competing with him based on fee.

THIS is why your fees suck.

How did you get into the business? Were you born with a certification?

I hate the trainee system. I'd prefer a mandatory 4 year appraisal/real estate degree requirement.

 

[J Grant]

And yet, the major lenders who have staff appraisers do pay far less per assignment, don't they?

It's really unfortunate that you have no experience in this business outside of the fee appraising bubble.

What they pay their staff is between them and their staff. I am not a proponent of lower pay at staff level but the appraisers who choose to go on staff make less $ per assignment for benefits and steady pay and for some of them a shot at advancing to management level. . Why do you keep ducking the question with asides like what staff appraisers make ?

 

[J Grant]

I make more now than when the mortgage brokers were in charge and shopping fees and a number hitter and haven't had a comp check request in years. AMCs are required to pay regardless in NC, prior mortgage borkers not so much. So yeah, count me on the opposite side of the ledger.

You are very fortunate to live in NC because in most states that is not the case. Might it also have something to do with the rural nature of your coverage area?

I dont' miss the comp checks or number hitting choosing pre HVCC and spoke out against it at the time . But replacing it with email blasts for lowest bidder for a regular assignment is not much better ...( and still number hitter selection despite AMC firewall in some cases )

BTW, I personally make a good living now , perhaps more recently as well despite the AMC presence but dislike the fee battles with AMC segment of work which I do less of but some and have to fight for every decent fee I avoid the bottom feeders . Just because I am doing well right now does not mean I have lost interest in the topic in general...it's all vulnerable imo and can change with more corporate ownership of lenders such as CoreLogic buying out so many entities.

 

[timd354]

It is the profit motivation, not the availability of technology that is the factor driving fees down)

Even if what you say is true, so what?...it does not change the anything...the fact is that it is the oversupply of appraisers that is the reason that an AMC or any other aggregator can find lower cost appraisers. Once the balance of supply demand changes so that there is no longer an oversupply of appraisers, appraisal fees increase quickly and by a large margin. This was proven beyond any shadow of a doubt over the past few years in the COW states.

 

[chad hampton]

Why else would someone take on a trainee other than the make money off them? I've been someone's employee for the first 15 years of my working life - I made every boss or owner I ever had money. Far more than I ever made working for them.

But the system here is too complicated. When I started out, I got my own clients, cashed my own checks, and every 2 weeks, dropped off $2,000 at my supervisor's home. Eventually he took less as I was doing 99% of the report. I was happy with the arrangement.

I'd never do this is I was stuck in a 60/40 fee split mill when starting out.

 

[J Grant]

Even if what you say is true, so what?...it does not change the anything...the fact is that it is the oversupply of appraisers that is the reason that an AMC or any other aggregator can find lower cost appraisers. Once the balance of supply demand changes so that there is no longer an oversupply of appraisers, appraisal fees increase quickly and by a large margin. This was proven beyond any shadow of a doubt over the past few years in the COW states.

Oh yeah the famous low population grand total of 3 cow states out of the lower 48 states , the only places where the AMC;s are forced to pay decently....an under supply of appraisers forcing the hand for reasonable fee is not healthy or viable, I think you know that and for that to have to happen to force decent payment is bad for tax payer backed work for many reasons....

 

[George Hatch]

They are national level and why they do it ...maybe better quality or control but their motive is off topic.

Why why can you not acknowledge that with the fee split profit motivation of an AMC absent, that neither technology nor an over supply of appraisers in a region produces the lower fees?

Again, why are some lenders choosing to use AMCs? Are they being forced to do that or are they choosing to do that; and if they're choosing to do that then what's their motivation?

When are you going to figure it out? The AMCs aren't doing ANYTHING that they aren't being pressured to do by the lenders they work for. The AMC that unilaterally goes to a cost-plus model over their client's objections will get eaten alive by their competition.