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The Appraiser Shortage Myth Part 43
- Thread starter Michigan CG
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DWiley
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- Apr 4, 2007
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- Certified Residential Appraiser
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- Tennessee
I guess I need let our accounting people know we have just been doing things incorrectly.
. You seriously think that lenders pay AMCs in advance of receiving a report? Sorry, that is a credibility crusher.
gregb
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- California
I guess I need let our accounting people know we have just been doing things incorrectly.
So when will your accounting people be able to bill for the 650+ USAA recently placed appraisal assignments? On completion, or within a certain number of days the appraisal order was placed?
Eli
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- Tennessee
I guess I need let our accounting people know we have just been doing things incorrectly.
Please elaborate. Consider me a kindergartner on how AMC's get paid.
Eli
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Antitrust law deals with market structure, public trust, and market power on price.
It's probably the deepest law ever written. Think about it.
LA ain't done. It's mid round 1. I'm serious.
It's probably the deepest law ever written. Think about it.
LA ain't done. It's mid round 1. I'm serious.
Last edited:
J Grant
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- Dec 9, 2003
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Denis DeSaix said: ↑
(my bold)For the record, I don't defend any fee-point model (high or low). I'm fine with appraisers setting their own fees, like I do.
My entire position is simple. And I've said it many times.
I've bolded your "low fee model" because you consistently equate low fee with low quality; therefore, a low-fee appraiser must be inferior to a higher (full, fair, etc.) fee appraiser.
Just as George Hatch makes the argument, "Show me where a college degree equates to a quality appraiser" I can make the same argument, "Show me where a low fee equates to a low-quality appraisal.
You and George Hatch make these circular logic loops continually- and they are much the same, leading back on themselves. There are no known low fee vs higher fee studies that are reliable on any scale, your anecdotes about fee and quality may not match others' anecdotes and there are plenty of exceptions. The college degree belongs to another thread; so lets' focus on low fees, which is the focus as the consequence of AMC involvement on a national level.:
Let me ask you this; except for low fees to the appraiser enabling AMC profit, what other purpose, do they serve? How do they serve the appraisal profession, or the public trust, or borrowers ?
Is the overall impact on the appraisal profession of low fees positive, or negative?
Do you think the lender res side linked with low fees ( and other adverse conditions ) due to large AMC presence, has a good chance, or poor chance of attracting and keeping quality minded people to be appraisers now and in the future?
(my bold)For the record, I don't defend any fee-point model (high or low). I'm fine with appraisers setting their own fees, like I do.
My entire position is simple. And I've said it many times.
I've bolded your "low fee model" because you consistently equate low fee with low quality; therefore, a low-fee appraiser must be inferior to a higher (full, fair, etc.) fee appraiser.
Just as George Hatch makes the argument, "Show me where a college degree equates to a quality appraiser" I can make the same argument, "Show me where a low fee equates to a low-quality appraisal.
You and George Hatch make these circular logic loops continually- and they are much the same, leading back on themselves. There are no known low fee vs higher fee studies that are reliable on any scale, your anecdotes about fee and quality may not match others' anecdotes and there are plenty of exceptions. The college degree belongs to another thread; so lets' focus on low fees, which is the focus as the consequence of AMC involvement on a national level.:
Let me ask you this; except for low fees to the appraiser enabling AMC profit, what other purpose, do they serve? How do they serve the appraisal profession, or the public trust, or borrowers ?
Is the overall impact on the appraisal profession of low fees positive, or negative?
Do you think the lender res side linked with low fees ( and other adverse conditions ) due to large AMC presence, has a good chance, or poor chance of attracting and keeping quality minded people to be appraisers now and in the future?
Last edited:
J Grant
Elite Member
- Joined
- Dec 9, 2003
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- Certified Residential Appraiser
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Denis DeSaix said: ↑
(my bold)For the record, I don't defend any fee-point model (high or low). I'm fine with appraisers setting their own fees, like I do.
Do you realize that the crux of the problem is appraisers setting their own fees on the res lending side of AMC work is mostly a farce? Technically, appraisers can set "their fees", but the reality is, unless "their fee" is among the lower tier the appraiser gets few or no orders from an AMC ( expect in the 3 COW states ) One can advise don't do AMC work, or develop other lines of work . Which many of us are doing /trying to do. However, since so much lender work flows through AMC's, why keep a system in place where the advice to experienced appraisers is to exit flee it? If competent, experienced appraisers keep leaving the AMC rosters it means the majority population left working for AMC's are the less experienced, or mill firms/people embracing a fast food style volume approach to compensate for the loss of income. Again I ask, what positive purpose does that serve? The low fees are certainly not being passed back to the borrower, and low fees makes appraising an untenable income doing AMC work unless one "cranks out" volume, with short time spend on each order- which quality minded appraisers, even efficient ones, are loathe to do for numerous reasons. .
If lenders want to use AMC's, then let the lenders pay them in a manner that separates the AMC business from a model that survives by obtaining the lower/ lowest fee from appraisers for it's profit .
(my bold)For the record, I don't defend any fee-point model (high or low). I'm fine with appraisers setting their own fees, like I do.
Do you realize that the crux of the problem is appraisers setting their own fees on the res lending side of AMC work is mostly a farce? Technically, appraisers can set "their fees", but the reality is, unless "their fee" is among the lower tier the appraiser gets few or no orders from an AMC ( expect in the 3 COW states ) One can advise don't do AMC work, or develop other lines of work . Which many of us are doing /trying to do. However, since so much lender work flows through AMC's, why keep a system in place where the advice to experienced appraisers is to exit flee it? If competent, experienced appraisers keep leaving the AMC rosters it means the majority population left working for AMC's are the less experienced, or mill firms/people embracing a fast food style volume approach to compensate for the loss of income. Again I ask, what positive purpose does that serve? The low fees are certainly not being passed back to the borrower, and low fees makes appraising an untenable income doing AMC work unless one "cranks out" volume, with short time spend on each order- which quality minded appraisers, even efficient ones, are loathe to do for numerous reasons. .
If lenders want to use AMC's, then let the lenders pay them in a manner that separates the AMC business from a model that survives by obtaining the lower/ lowest fee from appraisers for it's profit .
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