J Grant
Elite Member
- Joined
- Dec 9, 2003
- Professional Status
- Certified Residential Appraiser
- State
- Florida
The interesting thing in that speed producted, or low cost valuations do not benefit anyon on the RE food chain either. The buyer paid for the appaisal, so lower cost valuaitons are not saving the lenders money. They might save a borrower a couple of hundred bucks - big deal when the loan points and fees are thousands of $.
The fast valuaiton, only matters to a borrower refinancing or taking out an equity loan - they get theri money a few days or a week sooner. One might ask if they are that despearte for $, are they a good risk? A buyer getting a fast valuaiton is no better off, it still takes time, typically 2 months or so, to close and move house and for the seller to find another place etc.
Faster valuations do not make lenders any more $ profit, because there is a finite number of loans made a year. It is not like fast food or consumer products, where more volume results from the speed or lower cost !! DOH. Once the speed products are out there, all lenders can be equally fast, so no competitive edge there.
Perhpas the copemtie edge are the lenders who offer personal service and slow the nightmare down so a borrower or buyer can evaluate what they are doing.w
The only ones it profits are the AMC's if they go into valuation production or the software vendors who sell their services. For everyone else, it is a zero-sum game.
The fast valuaiton, only matters to a borrower refinancing or taking out an equity loan - they get theri money a few days or a week sooner. One might ask if they are that despearte for $, are they a good risk? A buyer getting a fast valuaiton is no better off, it still takes time, typically 2 months or so, to close and move house and for the seller to find another place etc.
Faster valuations do not make lenders any more $ profit, because there is a finite number of loans made a year. It is not like fast food or consumer products, where more volume results from the speed or lower cost !! DOH. Once the speed products are out there, all lenders can be equally fast, so no competitive edge there.
Perhpas the copemtie edge are the lenders who offer personal service and slow the nightmare down so a borrower or buyer can evaluate what they are doing.w
The only ones it profits are the AMC's if they go into valuation production or the software vendors who sell their services. For everyone else, it is a zero-sum game.
