• Welcome to AppraisersForum.com, the premier online  community for the discussion of real estate appraisal. Register a free account to be able to post and unlock additional forums and features.

Offer To Start An In-house Appraisal Department At A Small Bank

Status
Not open for further replies.

Arizona Bob

Freshman Member
Joined
Apr 23, 2008
Professional Status
Certified General Appraiser
State
Arizona
I have a solid background in the residential appraisal world. Most recently I have been a bank reviewer, after many years as a fee appraiser. Our bank's former mortgage department manager has joined a smaller private bank and would like me to join him and build an in-house appraisal department to speed up turn times. The bank is offering a base salary with bonuses (based on production levels). I respect our former mortgage manager and am taking the offer seriously. However, I am not very well versed in the do's and don'ts of starting an appraisal department from scratch. I started a fee shop from scratch, years ago, and was very successful. But I really don't know how much work it would take to do this.

Are there any regulatory prohibitions on having bank in-house staff appraisers? I have known a few colleagues that were staff appraisers at various lending institutions over the years, but not recently. Are there any pitfalls I should know about before accepting a position like this? It sounds like a legitimate, good offer, but I would appreciate any help or insights into understanding any issues I may not have considered.
 
  • Like
Reactions: Eli

Rick Stillman

Senior Member
Joined
Jan 19, 2014
Professional Status
Certified Residential Appraiser
State
Colorado
My take on this is that one of your objectives, being to speed up turn times, puts you on the dark side. Personally, I don't need to be mentored, micro-managed, or reminded on how to do my job. Being an appraiser, or a former appraiser, gives nobody clout with me, as a few lenders seem to think. Your job would still be to push me, and my job would be to do 100% of the work - so leave me alone and let me do my job. Simple.

I also see you giving up the main benefit of being an appraiser, which is being in charge of your own schedule.

My opinion is that you're selling yourself out. But, if you want a regular job with nights and weekends off, and the pay and bennies are good - then go for it. It might be a fantastic opportunity. Not enough details to weigh in on it.

For me, they'd really have to have a good package, and I'd have to have a contract of at least two years. Everyone has a price. I did take a gig once for $45 an hour, and it was a great place to work, for the very short time that I was there. Too bad the training on their systems was pathetic, and they burned through people rather than actually implementing some good training. It wasn't difficult, but, like speaking Russian - you either know it or you don't. No in-between.

It's good to have options. Let us know how it works out.
 

J Grant

Elite Member
Joined
Dec 9, 2003
Professional Status
Certified Residential Appraiser
State
Florida
I have never worked on staff, but if its a stable bank with a strong lending dept and offering you good terms, imo could work out well. Perhaps ask if they keep staff on if things slow down. Sounds like it could be a good opportunity.

If you are setting up the dept for them and will be reviewing/hiring other appraisers etc, seems like it should be a salary above that of regular staff appraiser or that can be re negotiated later such as if if you end up being in charge of dept such as distributing assignments
 
  • Like
Reactions: Eli

chad hampton

Senior Member
Joined
Nov 10, 2006
Professional Status
Certified Residential Appraiser
State
North Carolina
It's my understanding that the regulations on appraisal dept's for banks can be overwhelming.
 

J Grant

Elite Member
Joined
Dec 9, 2003
Professional Status
Certified Residential Appraiser
State
Florida
Would the bank have its attorney or regional manager set up the loan dept with any legal/regulations done on their end, and you just come in and run it as far as getting orders fulfilled or managing staff?

Clarify what you are supposed to do when you get there...assign work to fee appraiser, or review their work, be a chief appraiser for the bank in region, or just a staff who is the first one hired?
 

ucbruin

Elite Member
Joined
Mar 11, 2014
Professional Status
Certified Residential Appraiser
State
Massachusetts
I don't know about regulations, etc.

From my experience and those of some of my friends in the business, it is important that the loan department and the appraisal department have different managers/firewall up the corporate chain.

I can only imagine a disproportion of frustration for the appraisal department if it shares the same manager.
 

Eli

Elite Member
Joined
May 12, 2007
Professional Status
Certified General Appraiser
State
Tennessee
You'll answer to the compliance side of the bank. Try to meet and interview with the chief compliance officer who reports directly to the board of directors. It may be a loan review officer that reports directly to the board of directors. But I would want to meet that person that reports directly to the board that will be over you. I wish you the best. it sounds pretty good to me if the interview with the person I am asking you to meet with goes well. They will send you to compliance classes free of charge everywhere or the compliance officer will come back and instruct you.:)
 
Last edited:

BRCJR

Elite Member
Gold Supporting Member
Joined
Sep 20, 2005
Professional Status
Licensed Appraiser
State
Virginia
PM me.....I will provide my number for you to call me if you desire.
I work for a lender.
 

Attachments

  • Interagency Guidelines on Appraisals 12-02-2010.pdf
    247.3 KB · Views: 2

Meandering

Elite Member
Joined
Feb 26, 2006
Professional Status
Real Estate Agent or Broker
State
Pennsylvania
Also, Read the Truth in Lending Act, sections 226.42 and 1026.42

You can google them as 12cfr Section 226.42.
 
  • Like
Reactions: Eli
Status
Not open for further replies.
Find a Real Estate Appraiser - Enter Zip Code

Copyright © 2000-, AppraisersForum.com, All Rights Reserved
AppraisersForum.com is proudly hosted by the folks at
AppraiserSites.com
Top

AdBlock Detected

We get it, advertisements are annoying!

Sure, ad-blocking software does a great job at blocking ads, but it also blocks useful features of our website. For the best site experience please disable your AdBlocker.

I've Disabled AdBlock
No Thanks