Law firms begin addressing AMC fraud

[Mark K]

Wait...........What!

Translated: "You could pick and choose the comps and give them any number they demanded and they'd promise more assignments in the future."

 

[Dublin ohio]

Translated: "You could pick and choose the comps and give them any number they demanded and they'd promise more assignments in the future."

And if you didn't they always had their "go to" appraiser waiting in the wings

 

[glenn walker]

No matter what happens no checks going out to any appraisers...so hold off on buying that new car or truck..lmao

 

[Fernando]

And if you didn't they always had their "go to" appraiser waiting in the wings

Back then appraisers still had some control. It was easy for me to find another mortgage broker to work with.
Not that easy to beholden to a mortgage broker you don't like.

 

[Fernando]

Back then MBs were less judgey on me.
Hard to believe but my favorite AMC rated me 3/5 on quality. WTF.

 

[Tawfik Ahdab]

So you got a Q4 rating? At least you’re not Q5 or Q6 or Fannie/Freddie/HUD/VA would have to reject you.

 

[Bob Ipock]

I just talked to a mortgage broker friend of mine who said they’ll be on the lookout for an appraisal of his that’s coming my way through a particular AMC. I told them maybe, but that AMC only sends bid requests and I’m sure I won’t be the cheapest. He had no idea, he said his borrower has to pay 700 no matter what. I said sure, your borrower is being fleece by the lender and appraisal management company. Multiply that by 10s of thousand appraisals getting done today.

How is the borrower being fleeced? They are told upfront what the appraisal fee will be. Then, it is reported on the settlement statement. Is there a crime here?

 

[Mark K]

How is the borrower being fleeced? They are told upfront what the appraisal fee will be. Then, it is reported on the settlement statement. Is there a crime here?

Was a crime committed when the big brokerages were sued and had to pay out of hundreds of millions of dollars? The owners willingly signed a listing contract and agreed to allow the co-op commission on the MLS.

No crime has to be committed for the lawyers to sniff out deep pockets of any sort and go after the money. If they lose, they move on to the next scam.

I'm not a big Grisham fan but everybody should read "King of Torts" if you want to get a pretty good idea how the class action system works.

 

[chad hampton]

How is the borrower being fleeced? They are told upfront what the appraisal fee will be. Then, it is reported on the settlement statement. Is there a crime here?

The borrower has no idea half his fee is not going to appraisal related services. Come on , that’s the very definition of being fleece. Your money goes somewhere where you don’t think it’s going to.

 

[George Hatch]

The entire fee is going to "appraisal related services". It just isn't all going to the individual appraiser. Same as occurs when that individual appraiser is working as an employee of a fee shop or in the lender's appraisal or review dept. The CGs who work in CBREs appraisal dept only get paid a fraction of the fee, too.

Fee appraisers who subcontract with AMCs (or CBRE) only sell a subset of the services that the AMC sells. That's why they're unable to directly compete for the accounts they want.