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The Appraiser Shortage Myth Part 43

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  • Hank Miller, SRA3 hours ago
    I guess yet again we're in the "right" to own a home. Already removing credit hurdles, now this. Brilliant and just wow...

    WOW - because we know that agents are honest and would never misrepresent a listing...WOW - because we know that public records are so so accurate when it comes to characteristics, size and all else...WOW - historical home values? What? Home values for what? What's the competing market area?

    I seriously cannot believe the stupidity - SAID NO ONE.


James Ebert
4 hours ago
The most effective money spent is for the appraiseal. Such a pittance to get an outside opinion that your hard earned dollars are safe.


Joansie k
4 hours ago
It's a puzzlement to me why buyers would want this. Automated appraisals are often way off. Save 600$$. And risk thousands


Daniel Lindeman
5 hours ago
I don't think we should be "helping" buyers bypass the appraisal. The last thing I would recommend to a buyer is to waive the appraisal. The appraiser is the only independent person in the transaction. What happens when the computer gets the value wrong and the buyer over pays? Who is responsible? Freddie Mac, I don't think so. The agent is the only other party involved, guess who will be getting sued.


Angela Schill
an hour ago
BAD idea for several reasons. The appraisal contingency protects the buyer from possibly overpaying. Sometimes in a bidding war, buyers may have outbid over market price against others to get into escrow - but the appraisal can come in lower than the accepted offer and the price may need to be renegotiated - down. I also seriously doubt that an "automated" value will protect our mortgage market. There is nothing better than a real appraisal made by a certified appraiser.


Natalie Carpenter
4 hours ago
Wow! This is a game changer. Having to wait for the appraisal usually lengthens the time. This is great. I would love to see this new system in action
 
Comments to the article-



Natalie Carpenter4 hours ago
Wow! This is a game changer. Having to wait for the appraisal usually lengthens the time. This is great. I would love to see this new system in action

So say the Realtors and LO's waiting too long for their commissions. :rof:
 
You have just gotta hand it to Phil....he does a great job stirring the pot and telling a certain group of appraisers exactly what they want to hear, including pushing the obligatory GSE and AMC conspiracy theories:

Voice of Appraisal E168 Land of the Lost?!?!


Voice of Appraisal
Published on Aug 20, 2017

Phil and Kevin break down the news of the day!! Is there a secret deal between Fannie and some AMCs??? Also...SB 1649..what's that all about??? Enjoy!!!

O.M.G. Are you saying that some subversive propaganda shoe is now on the other foot?
 
He read Danny's tweet, he didn't accuse Danny of having a secret agreement with Fannie.
No, he didn't. All he did was raise some questions about the tweet regarding claricity or who ever the heck they are. Which seems reasonable to inquiring minds.

BTW. Who are they? Maybe Danny heard something? :)
 
Not a game to me DW. You have accused others in this thread of at the very least, ignorance. I have asked you to answer a simple question to test yours. As far as making a relevant point to this thread and topic, I have been doing that all along, and so far your responses have been horsesh*t. I am not asking Phil, I am asking you. You cant lump me with Phil because I am asking you directly - you don't get it both ways. If you need to take a break and think about it because you had a bad day or something, fine. But if you refuse to answer, then I say you have no right to ever say anything derogatory about another appraiser on this forum ever again, or anything related to appraisal for that matter. YOUR credibility will be zero. I'll give you a hint, the question is relevant to this thread.

Its not a trick question, though maybe it is too simple (and that's another hint). What is wrong with the following statement? "The market value of the subject property is $200,000, in consideration of an exposure time of 3 months." The context is as stated before.

1. It is no secret that I don't like the AMC model to anyone who has followed this forum for a decade.
2. Therefore anyone saying I am defending the AMC model would be wrong.
3. There are some ignorant replies in this thread.
4. You asked a very obtuse question.
5. No one owes you an answer to your obtuse question.
6. The remainder of you post is just silly.
7. You giving a hint that the question is relevant does not make you question any less obtuse.

The simple fact is you (and me) don't like the AMC model. Danny is very consistent in his responses on here although I disagree with some of his posts and think some times he is advancing the company "line". However, you can not say he is ever inconsistent in his responses. From what I know about his company I would most likely never take an assignment from his company, but that is my personal choice.

You are calling out the guy for not answering your obtuse question and you have done it multiple times. Your insistence that he answer this only makes YOU look bad in that you do not give any details of what you have posted. The phrase you posted is, we are guessing, from an appraisal report, OR maybe a requirement from an AMC. We don't know where the statement came from nor the context of the statement. We do not know the Scope of Work of the assignment or any details.

To be very frank, your challenge is ignorant to ask without significant details of the situation.
 
1. It is no secret that I don't like the AMC model to anyone who has followed this forum for a decade.
2. Therefore anyone saying I am defending the AMC model would be wrong.
3. There are some ignorant replies in this thread.
4. You asked a very obtuse question.
5. No one owes you an answer to your obtuse question.
6. The remainder of you post is just silly.
7. You giving a hint that the question is relevant does not make you question any less obtuse.

The simple fact is you (and me) don't like the AMC model. Danny is very consistent in his responses on here although I disagree with some of his posts and think some times he is advancing the company "line". However, you can not say he is ever inconsistent in his responses. From what I know about his company I would most likely never take an assignment from his company, but that is my personal choice.

You are calling out the guy for not answering your obtuse question and you have done it multiple times. Your insistence that he answer this only makes YOU look bad in that you do not give any details of what you have posted. The phrase you posted is, we are guessing, from an appraisal report, OR maybe a requirement from an AMC. We don't know where the statement came from nor the context of the statement. We do not know the Scope of Work of the assignment or any details.

To be very frank, your challenge is ignorant to ask without significant details of the situation.

LOL - I asked that no one answer for Danny! But, I am glad you did. Yes, it was obtuse, that was the point. No, it did not include appropriate context, again the point. Never said anyone owed me anything and I don't expect my respect means diddly to DW. I would not say he has been inconsistent in his responses ever, rather I would say they have been consistently horsesh*t. I have called Danny out for not answering my questions this last time, after asking other questions multiple times and receiving no appropriate response there either, except for the out-of-context, or the pick-only-part-of-it, or the totally missed-the-point and answered like a politician. Not only did he do that to me on this thread, he has done that to others on this thread. In addition, he has accused appraisers of essentially being delusional (saying our problems are only perceived), that the real problem with appraisers not making money is time management, that appraisers don't understand market context and last but not least, which was why I phrased the final question the way I did, is that AMC fees paid are market value, with zero acknowledgement that they are not market value in the traditional sense (shall we say fair market? - talking context here after he accused us of not understanding context). It was not just me he made these ridiculous comments to, but many on this thread who did not deserve it for the points they had made. Go back and read the thread if you think I have summed up the conversation inaccurately.

Like I said, you answered for Danny and you answered correctly - the answer to the question is a lack of context, which in my opinion is what Danny exhibits and I find it insulting. I make no apologies. I aint the best and brightest, but I can smell BS just the same. All I ever wanted in this thread is for DW own who and what he is - part of the ugly side of the business. Instead he comes on here and tries to sugar-coat our plight and place the blame on us. F that.
 
hat the real problem with appraisers not making money is time management,
Exactly. The AMC model expects you to do two things. Devote 100% of your day to them and to do so for $15/ hour before your expenses. Rural diverse property or village cookie cutter, each must be completed in six hours w/o error or question and they wonder why the canned comments.
 
LOL - I asked that no one answer for Danny! But, I am glad you did. Yes, it was obtuse, that was the point. No, it did not include appropriate context, again the point. Never said anyone owed me anything and I don't expect my respect means diddly to DW. I would not say he has been inconsistent in his responses ever, rather I would say they have been consistently horesh*t. I have called Danny out for not answering my questions this last time, after asking other questions multiple times and receiving no appropriate response there either, except for the out-of-context, or the pick-only-part-of-it, or the totally missed-the-point and answered like a politician. Not only did he do that to me on this thread, he has done that others on this thread. In addition, he has accused appraisers of essentially being delusional (saying our problems are only perceived), that the real problem with appraisers not making money is time management, that appraisers don't understand market context and last but not least, which was why I phrased the final question the way I did, is that AMC fees paid are market value, with zero acknowledgement that they are not market value in the traditional sense (shall we say fair market?). It was not just me he made these ridiculous comments to, but many on this thread who did not deserve it for the points they had made. Go back and read the thread if you think I have summed up the conversation inaccurately.

Like I said, you answered for Danny and you answered correctly - the answer to the question is a lack of context, which in my opinion is what Danny exhibits and I find it insulting. I make no apologies. I aint the best and brightest, but I can smell BS just the same. All I ever wanted in this thread is for DW own who and what he is - part of the ugly side of the business. Instead he comes on here and tries to sugar-coat our plight and place the blame on us. F that.

It is late and I could take your response line by line and respond, but again, it is late.

You asked an obtuse question and hopefully didn't really expect a response. Your question was never intended to have a response.

You can "call out" Danny for anything you want but that does not make you "correct" or mean you have any reasonable expectation of a response. He works for an AMC, he gives his views and sometimes he posts the "company line".

Danny does not "owe you" a response. He participates in this forum because he wants to. I can post something that you do not like and you can ask a question of me and I don't "owe you" a response either.

As to your claim that he has accused appraisers of being delusional he is correct. Some are. We are self-employed people and have to react to the market. In some areas there is an over-supply of appraisers and therefore fees will be low. It is basic economics we learned in the first year of college. AMCs are in the business of making money (just like all of us do) and they will do what they can to do that. I don't like some the tactics they use but it is what it is.

His time management argument is the "company line" selling his AMC's product. I am not interested and if you are not interested don't work for his company. The idea that most of us need better time management is garbage.

Our business can be ugly. Guess what? All businesses can be ugly. Supply and demand is a part of EVERY SINGLE BUSINESS. Danny's company can do what they can because of supply and demand but they have to adapt to regional or local situations as he has posted. Danny defends his company's 48-hour after inspection time very poorly multiple times but I would guess his company looks away in COW states if they are smart. He has to defend this "requirement", it is the company line.

Danny does own what he does. He has never been secretive about it. Does he sugar-coat? That is up for interpretation. He is part of an AMC. Take it for what it is worth.

The personal attacks on him are not warranted.

I doubt I would ever take work from his company but folks should at least appreciate that he posts here as he gives insight to the workings of one aspect of the AMC model.
 
...he has accused appraisers of essentially being delusional (saying our problems are only perceived),

LOL. I said no such thing. I did say that a cost plus model would not address the perceived fee issue, and by that I did not mean that there is not a fee issue - I meant that the problem (which is very real) is not what many perceive it to be, and because of that they are pursuing incorrect solutions, IMO.

Those in the "Eli camp" assert that AMCs control prices. Yet, they cannot then explain the current prices in places like Portland, Seattle and Nashville. If fees are really controlled by AMCs rather than being market driven, then how do you explain fees in those areas? Do the AMCs just love the appraiser in those cities more, and so they decided to give them a big pay bump? Or did supply and demand simply drive the fees up?

I ask appraisers to tell me what their fee is. I then compare that fee to other appraisers in the same market who provide similar quality and service (i.e. I run the comps) and by doing that I measure market rates. What about that is contrary to a free market? The ones who dislike that system the most are the ones who want to charge more than most of the appraisers of similar quality are charging. I understand how anyone who sells a product or service would prefer to operate in a non-competitive environment. And, truthfully, appraisers did get to operate in a non-competitive environment for a long time. So, I understand the longing to return to those days, but that is not the world that a large percentage of appraisal business (residential appraisal business in particular) runs through today.
 
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