Why lender's appraisal fee cap is so low?

[J Grant]

Wit

The AMC gets compensated out of the bundled fee for all services rendered, of which the appraiser's work is but a subset. If you're hanging the entirety of your argument on the "appraisal" label as opposed to whatever other term could be (and usually is) used to describe the entirety of the services being paid by that fee then you have a semantics problem, not a theft problem.

The appraisers work is nto a subset, the fee is for THE APPRAISA:L , no conseror borower ispaygng solely for managing servics of nothing

 

[alebrewer]

Some lender direct does not give more work to any appraiser who offers to lower the thief fee for more work; they pay all the panels the same fee in an area for regular orders.

There - fixed it.

 

[George Hatch]

A lender direct does not give more work to any appraiser who offers to lower the thief fee for more work; they pay all the panels the same fee in an area for regular orders.


An AMC agreed to throw with lower fees ( typcially_), so you blame the appraiser for offering to lower their fee instead of the system making it necessary for them to do that? Your choice but tii is your choice of where to put the blame- the AMC can always so now and refuse to pay less lol, but you con' hold them to task for it - odd

I do nothing but direct engagement and I lose bids on a regular basis. And I do a lot more work than you've ever done.

If an AMC agreed with appraisers to assignments at the lower fees then what moral obligation do they have to pay more when they have the opportunity to pay less? What loyalty have you ever shown by paying more than you needed to for the oranges you buy or the sale price or rents for the condo you live in? None. But you somehow expect AMCs to carry appraisers who aren't willing to compete by fee?

You're living in a glass house on this one and your walk doesn't match your talk. Direct lenders are not in the business of engaging, managing or paying appraisers or getting the best deal on their fees; AMCs are. And there is not one thing that's special about appraisal services that makes protecting the economic interests of fee appraisers (but not staff appraisers) more important than any other occupation.

 

[J Grant]

I do nothing but direct engagement and I lose bids on a regular basis. And I do a lot more work than you've ever done.

If an AMC agreed with appraisers to assignments at the lower fees then what moral obligation do they have to pay more when they have the opportunity to pay less? What loyalty have you ever shown by paying more than you needed to for the oranges you buy or the sale price or rents for the condo you live in? None. But you somehow expect AMCs to carry appraisers who aren't willing to compete by fee?

You're living in a glass house on this one and your walk doesn't match your talk.

The AMC should not get paid out of the bundled fee is my argument. The lender should pay them a cost because teh lener benefits from teh AMC service a

Your argument is that the AMC getting paid from the bundled fee is fine, then you debate examples or other things around it. The two points of view are vastly different.


A commercial license appraiser bidding on large or unusual jobs or whatever it is you bid on is not the same as AMC work which is standard regular orders work that gets a standard fee set by the lender from the borrower and imo 100% of that should go to the appraise,r or the AMC at most allowed a small cap % of it Since you are not hiding on 'AMC work for ress mortgage assignments why is it relevant to the topic ( it is not )

I bid on large custom or unique residential assignments and have no problem with that, it is not the same thing as appraisers having to reduce fees to get regular orders where there is simply not enough $ to go around for these splits out of the bundled fee which were intended to cover small misc amounts, not large chunks or half -

 

[Mejappz]

The AMC should not get paid out of the bundled fee is my argument. The lender should pay them a cost because teh lener benefits from teh AMC service a

This is just common sense.

 

[George Hatch]

The bundled fee model will persist regardless if appraisers approve or disapprove. Saying so isn't a "defense" of it. Simply an acknowledgement of the facts.

Govt will outlaw AMCs altogether before anything changes WRT how fees are negotiated. Personally, I'd like to see AMCs outlawed. I just don't think it will ever happen. Some people might consider THAT observation to amount to common sense.

 

[BRCJR]

The "bundled fee" = say 600.

The segregated fee = say, appraisal fee 500 AMC fee 100 (or any other ratio for that matter)

Total fee collected by lender from borrower = 600.

The lender does not care about the payment arrangement other than the fee (600 any way you slice and dice it) for the loan closing cost.

Why would the lender get involved with the AMC management?

A lender does not tell an attorney how much of the attorney fee should be paid to the office manager or admin. assistant. No different than not telling the AMC to pay the Appraiser X out of this "bundled fee".

The lender is paying an APPRASIAL FEE, period. This is not an APPRAISER FEE nor an AMC FEE. It is a "bundled fee" and everyone knows that, period.

If Appraisers cannot do any better from a desire or capability standpoint in their negotiations, how on earth can that be the lenders fault?

One chooses to work for a certain fee. How is that the lenders' fault.

Just quit working for the AMC and this problem takes care of itself.

 

[sputnam]

the AMC deserves the $300 for taking 1 minute to to send you an order. stop complaining, you support them. like the godfather said, stop crying and be a man.

No one said it was deserved. As you should know (if you are an appraiser) the value of anything is what people are willing to pay and accept. That is true for objects and for services.

 

[Ricky LaFleur]

Honest, innocent question... Appraisers understand markets and supply/demand. Appraisers see apparent rampant opportunity in AMCs taking good compensation for seemingly little effort (cough* sounds like I'm talking about realtors *cough), so... how difficult is it to enter the market as an AMC?

 

[djd09]

Without exception, every AMC head I've ever spoken to

sure do know alot of AMC heads...