Reassigning Appraisals and HVCC

[Mile High Trout]

You've got to learn why they are uncomftorable working with you.

There is your great new appraisal firewall. Everyone get's to communicate amongst themselves, and the AMC has replaced the appraiser in that inner circle. The appraiser is left like some distant orbital planet, largely unaware of what's going on, and without any gravitational pull. As stated in a popular article linked recently in the appraisers forum, the appraiser is the lynchpin to the transaction. I fail to see the appraisers central presence if they're excluded from all business dealings except that one way communication avenue which is lender pressure through the appraisal management company.

Round robin rotational panels should be mandatory. This is yet another instance of preferential appraisal assignment. Either you're qualified to be on that approved appraiser panel, or you're not. Plain and simple. You're information states the borrower requested your removal. Perhaps you should speak with them after the dust settles, about why they made that request.

If you thought real estate was an strictly honest business, think again. These days, appraisers have to be aggressive to insert themselves into the process. Otherwise, the commission based participants will continue to use those go to guys who make every deal work, regardless of the situation. With no fear of consequences as a result of no skin in the game, these sorts of situational events are speculated to be increasing in frequency, not decreasing.

Realtard - Funny, but not very nice. What Appraistard came up with that!? JK - Zinger!

 

[Mile High Trout]

<>insist that a well trained and geographically competent appraiser be selected<>

I'm glad you put well trained first, although I doubt you or any other Realtor can properly identify geographically competent before reviewing the appraisers product. I wonder of those who judge geographical competence also review the appraisers lifetime physical address or working address, or even working experience history before making such ascertains about the appraisers competence.

Sadly, the measure of compliance with geographical competence may just be measured by the biased opinions regarding the appraisers results. I can see it now, someone turns straight to the final opinion of value, and if it failed to meet his expectations the first word out of his mouth will be geographical incompetence. The second action he will take is to use that arbitrary consideration to discredit the appraiser. Why negotiate and accept less, when you can use exploits in the appraiser independence system to pass that on to the appraiser?

I'm capable of becoming geographically competent just about anywhere. Geographical competence does not happen by way of locational proxy, it happens by way of studious research and attention to detail. The whole geographical competence issue is rooted primarily in firm activity and discount appraisal preference anyways. It's the quality of appraiser that drives their order engagement and personal decision making factors. If that appraiser is working as a simply replaceable employee or for a discount to receive the work, don't count on that quality you're looking for. Geographical competency is just a clever word to sweep away individual instances of incompetence without considering the real driving factors behind why the appraiser was incompetent to begin with.

 

[Delta85]

Hmmm,

I PREACH to the local Realtors that they have every right to (with their clients approval) insist that a well trained and geographically competent appraiser be selected to perform any appraisal. They regularly turn away the carpetbaggers and require a local experienced appraiser. Certainly they can't request by name, but the borrower is entitled to have someone who truly is qualified in all manner to perform a credible appraisal.

In addition, I am encouraging Realtors to include contract clauses which REQUIRE local (or truly geographically competent), qualified, experienced appraisers. The feedback I have gotten from the Realtors is very good.

Unfortunately, (sarcasm) if the AMC is one of the low fee high profit outfits, it may be hard for them to meet this requirement with their approved appraisers, and they actually have to go out and contract a local, experienced appraiser, at a real fee...

Imagine the concept!

There was a thread on this recently. I don't feel comfortable giving realtors the power to grill appraisers, quiz them, demand to see a resume, etc. in order for THEM to determine if the appraiser is qualified to do the job. It's the job of the AMC or client to provide and pick a qualified, experienced appraiser.

I understand the AMC does not always choose appraisers based on experience and qualifications but that does not give a realtor the right to cross examine an appraiser. If anything, the realtor should speak with the client or AMC and demand BEFOREHAND that a local qualified appraiser be chosen. Realtors are not qualified to make these determinations and appraisers are not required to respond to demands or quizzes from realtors.

 

[JULIEWEBB]

Incognito,
I have been appraising in this town, the town I was raised in and live in even now, since 2001, so geographic competencey is not an issue here. The issue is the Realtors like to use the good ol boys in town who hit numbers, and the lenders are allowing it to continue. I agree with you that borrower's are entitled to have qualified appraisers who can provide a crediable opinion of value. That's the way it should be. It's been my experience that Realtors could give a damn about qualified appraisers, they just want the deal to close. I doubt many of them turn away the "carpet baggers" as you say. After all, they don't get paid unless the deal closes.

 

[JULIEWEBB]

Realtors are not qualified to make these determinations and appraisers are not required to respond to demands or quizzes from realtors.

Nor should they be remotely involved in the choosing of the apppraiser!!!! They get paid on commission! They get paid if the deal closes!

 

[JULIEWEBB]

Round robin rotational panels should be mandatory. This is yet another instance of preferential appraisal assignment. Either you're qualified to be on that approved appraiser panel, or you're not. Plain and simple. You're information states the borrower requested your removal. Perhaps you should speak with them after the dust settles, about why they made that request.

The excuse from the AMC was that the borrower requested my removal. When I challenged that in an e-mail, (because I don't know the borrowers from Adam), he stated he "mis-quoted" the note from the lender and actually it is the Seller that does not want me. Well guess what! The seller of the property I was going to appraise is.....A REALTOR! She insists, according to the AMC, that I not come onto her property. The AMC, in the same e-mail, says they are truely sorry, they love my work and would love to continue using me for future orders.... Are you kidding me? Hello?
According to the State investigator, the seller does not have to allow me onto their property.

 

[Mile High Trout]

You've got a singular event on your hands, with the information presented here.

Let the other guy deal with it.

The AMC workers are not qualified to to love your work or not. They are in love with low fees and quick turn times because that's what pays their bills. Comments to keep you complacent are just part of the script.

 

[Delta85]

Nor should they be remotely involved in the choosing of the apppraiser!!!! They get paid on commission! They get paid if the deal closes!

I agree. In the ten years I have been an appraiser the vast majority of realtors I have worked with on deals could not care less if an appraiser came in from Pluto to do the job as long as the deal closes. They have an active interest in seeing the deal close, not to make sure a fair and accurate appraisal is performed.

Does anyone really think a realtor would be happy if an appraiser who lived right next door to the subject for 25 years and who was a CG with 30 years appraisal experience came in low on the appraisal and caused the deal to blow up?

 

[Mile High Trout]

What's the secondary method to discredit appraisers if the geographical argument is not applicable?

Funny, Realtors work all over town. When an appraiser does it, they're incompetent.

 

[Mr Rex]

I have seen the equivalent actions and professionalism of crack addicts from a RE agent that I have known for years as an upright person in the communiity when I reported that the basement walls were bulging inward and needed repair. It seems she had a family to feed and an expected monthly income level to hit, and I was causing a hiccup in the process. Sounds familiar to the moans and whines of the appraisers experiencing lowered volumes from the peak doesn't it? In any case, it reflects badly on my future perception of these individuals, as the importance and participation of each party is diminished when individual situations affect these market activities...:new_all_coholic: