Low self esteem

[Joe Birrell (NY)]

Toast, Ruth, Kathy

Toast:

In 1978 (when appraisal forms were 1 page, no photos other than subject front, and no addendums of anykind, no layout diagrams either), appraisers where paid $150. We have averaged about a $5 per year increase since then. It's Friday, and I'm getting ready to have a cold beer.

Ruth:

Since I obvious agree with you, great minds think alike.


Kathy:

I only wish I could have the same luxuries as you described. Any openings in Florida ? Here in NYC I'd get mugged having lunch sitting by the river. Not really complaing, just trying to put the whole thing in perspective. If I were you, I'd take Toast up on his offer.

Regards to all, have a good weekend.

Joe

 

[Dee Dee]

Hey, I don't mind that appraisers have been making the same pay that they made back in the 80's. What I DO mind is that there hasn't been a cap put on the cost of living!

 

[Dale Smalley]

OK Ruth
Your hired!

Now can you do Flint and Detroit. I dont have anything in the good areas.

Jimmy needs to see your post as a example of how to compete against the low fee guys. This is a service business and the quality of service needs to have a bottom line at the bank. Now I dont know how you overcome the quality issue if the computer is selecting by the fee schedule.

I would prefer to stick with quality over quantity but I have a boss too. Sometimes you have to compromise.
Except on the beer

 

[Caterina Platt]

As I read Kathy's post, I can't believe how much we have in common. (3 kids, nursing the baby, living in a mortgaged MH) Yes, this is a great business to be in for all of those and many more reasons. We're self employed! Taxed to the hilt, health insurance is damn near prohibitive, but hey, there are a lot of benefits to working from home.

But I can also see Joe's side here. Realtors, LO's, Title Insurance officers, lawyers, most work off of a percentage. As inflation has driven up real estate prices and such, so went their take of the cut. But we are on a flat fee, and they keep trying to whittle it more all the time while requiring more forms, addenda, verifications, and additional comps.

As our liability, equipment, supplies, insurance, vehicles, taxes, utilities, electronic gadgets, and everything else goes up, my fees should go down??? The major reason we are getting pressure on our fees is so that the AMC or other middle man can get a bigger cut. Don't fool yourselves!

 

[Larry Lyke]

Jimmy --

The one thing nobody mentioned was having a really good boilerplate from which to springboard every appraisal without worrying if you've overlooked something is the foundation of a good "system." Computers can provide that kind of "social security."

Then you have to think only about the truly unusual extras. The benefit is you produce the perfectly organized appraisal on a breeze.

"double your fees and you will loose half your clients and make the same amount of money" is ignorant. That's a hypothetical that can't be realized! You'll have 25% of the business, if that much. Now you'll have to spend the rest of your time hunting for business competing at half price to attract new customers. Just my thoughts.

What I ought to say is: Raise your rates somewhat and loose (test) a few clients, maybe. See if the lost work is made up in fees. If so, your on the right path.

Low self esteem is in the heart of bemoaner. Dat ain't us'n.

 

[Ruth Langkawel]

Toast,

Make mine Bud Light with a Peppermint Schnapps shooter. Woo! Used to make me wild and crazy.
Unfortunately, I'm a tea totaller now. Booze doesn't mix with the meds too well.

Don't get me wrong about the fee thing. I love my work - and I get paid well because I "just say no" to cut rates. If I were working the urban markets, and getting adequate volume within a 10 mile range, my fees would be substantially lower. I do get PO'd by 2 issues related to appraisal fees.
1. Customers who believe that the customer sets the fee - and are rude about it.
Try telling your plumber, electrician, surveyor, well driller, attorney or physician that you think that they are overcharging you, so you are now setting their fees at 1985 rates. After all, technology has made them more efficient.
I'll roll my prices back and freeze them the same day that food, housing, clothing, medical care, education, transportation and commensurate wages in all fields are rolled back and frozen. I am no less worthy than any other person on this sphere.

2. Even more frustrating - Appraisers who believe that the customer sets the fee! :roll:


I absolutely agree that appraisers should not complain about their fee. To them I say - CHANGE IT :!: Who the he** is in charge of your business :?: Do your kids run your house too? Don't tell me, I don't want to know.

 

[Ruth Langkawel]

Maybe I already work for you. Which company do you work for? (email direct: re_specialist@yahoo.com)

Sorry, I don't do Detroit or Flint. They're on the east side of the state, and I'm west/central. My rural territory is Newaygo, Lake, Oceana counties; and my suburban areas are Muskegon and Ottawa Counties. I can do Kent (lived there for 35 years), but too many starving appraisers there - I refer Kent to a local associate.

 

[Mike Garrett RAA]

I started out getting 1/2 of a $75 fee for an "in house" appraisal form. Single page, polariod black and white pic of the front. About the same amount of work as 2055 driveby today.

I have no qualms about fees...well, really nothing serious except for Fannie Mae Repos where they want you to do six comps, lots of interior photos, and repair estimates for less than an a VA or FHA appraisal.

 

[jtrotta]

Toast;
Since you brought up the 80's as an issue- in my area houses were being sold for $60 to $90K; you must live in a city (comment on cranking out work) as the computer industry has enabled us all to "condense time" in our writtings-is a good thing, but I just can't cut the time down traveling from point A to point B and this is what needs to reflect a cost; Closing Costs during the 80's would average about $2500 including the attorney-today the same closing costs approximately $6,000 to $8,000- why :?: Don't all the folks involved in the closing process own computers and have the ability to CRANK OUT Closings :?: From your input, you sound like you still live at home wit yo mommy & daddy as you appear to have no clue about the real world 8O or your comments would have been more grown up :? Do you have any idea how much "Taxes" have increased in the past 20 years :?:
As far as your comment on the oil country's not whining, they just sell more- the books your reading aren't helping- they (opec) flex the need to create money - how can we equal what they do - when you have some "limp bisket" giving away the store behind your back :?: This isn't whining, it's a small action on business, by the way what do you get for an appraisal??? you remind me of a sweat shop slurpy

 

[Anonymous]

GOOD POINT!

Actually, there is a way to handle this. I find many of the FBN (fly by night) cheapo's are so cheap that they turn down the really tough ones. Guess what! The full fee folks tend to be the ones who will do it. Often they think, gee, I will do this crumb for the bank and then they will give me MORE work. Heck no, they are only going to give you the ones in Podunkum Co. - a shanty on 40 acres with a RR next to it. So you do the CRAP appraisals for a "regular" fee that, basically, is now too cheap, especially if you are never going to get a few easy ones to make up for it. So STOP IT. If the bums are not giving you the good work, then why do their dirty ones. Let the FBN boys go do a crappy one or two and then they might raise their prices. As long as I could cherry pick the SFR I do, I could cut my fees and make more than I do with commercial work.