Working Conditions, Pay, Etc

[BJM]

I have been working for about four months at my new apprenticeship/trainee position. I will be starting classes soon to meet education requirements for California. Right now I get paid 125 per appraisal and can barely get three done a week because I can't go to the inspection alone, I have to schedule appointment with borrower/owner AND my supervisor (uggh). Anyway, my question is how long does it take to start making real money. When I am licensed should I be making more? If I go on to be certified, how much is a typical amount per appraisal? Thank you in advance for your insight!!

 

[AMF13]

When I am licensed should I be making more? If I go on to be certified, how much is a typical amount per appraisal? Thank you in advance for your insight!!

1. Yes.
2. What is typical? Hard to say, it varies, but $125 a pop is much less than a full C&R fee.

Look around here, lots of info. The commercial side looks brighter than the res side for the future.

 

[graindart]

Way too many variables. Some start making money earlier. Some go through all of the hassles of getting licensed and end up leaving the profession due to lack of business. I thought I'd start making some decent money right after getting licensed, but then found out that most clients wouldn't hire me without 3 - 5 years of licensing. It was a slow 3 - 5 years and then I started making ok money.

Typical amount made per appraisal is also impossible to quote. If you're like I was for the first few years after getting licensed, you'll probably only be able to work for bottom of the barrel AMC's. Don't be surprised if they send you requests where the total fee they want to pay is $200-$250. I just had one email me with a $200 offer. They also listed the fee being charged to the client of $750. I just laughed as I deleted the email without response. However if I was new and hungry, I probably would've been making $200 for a ton of work.

Sorry I can't answer your questions. There is one question I can answer though: "would I ever think of training my own daughters to become appraisers?" No.

 

[Michael S]

Personally I think it's kind of ridiculous to pay a trainee per report as it assumes you're ready to be writing reports from day one. I understand a lot of residential appraisers can't afford to pay on an hourly basis or a salary. If you're working 40 hours a week you're not even making $10 an hour.

I'm not too sure about the residential side but as a commercial appraiser you'll be making maybe $50,000 once you're certified with $100,000 plus obtainable in a few years if you're willing to work a lot of hours and/or get your MAI designation. Some commercial appraisers make over $200,000 but that's definitely at the far end of the bell curve. Obviously those figures depend on if you're working for a large company, or a small fee shop, or on your own. With the latter you might not be able to get as much work starting out while your upside potential might be higher in the long run as you're not splitting the fee with anyone.

 

[bnmappraisal]

but then found out that most clients wouldn't hire me without 3 - 5 years of licensing. It was a slow 3 - 5 years and then I started making ok money.

Typical amount made per appraisal is also impossible to quote. If you're like I was for the first few years after getting licensed, you'll probably only be able to work for bottom of the barrel AMC's. Don't be surprised if they send you requests where the total fee they want to pay is $200-$250. I just had one email me with a $200 offer. They also listed the fee being charged to the client of $750. I just laughed as I deleted the email without response. However if I was new and hungry, I probably would've been making $200 for a ton of work.

BJM, Graindart hit it on the head with this one! I had a similar experience myself. It sucks! As Graindart points out, when you accept that $250 and then find out the total fee paid by borrower was $500-750, that becomes a HUGE slap in your face as a Certified appraiser. It also gets you motivated to better yourself (education) and finding newer/better clients.

This definitely isn't an easy road and there aren't any short cuts! You really have to want to be an appraiser if you're going to become one. It's not for everyone and the $$$, especially in the first few years, isn't the greatest.

Welcome to the Forum, by the way! There's a lot of great info to be had here. As Lee mentions, do some searches for topics. Check out the "Good, Bad and Ugly" threads. Running an Appraisal Business has some good stuff. I'll also add, don't be afraid to ask questions on here; we all were in your shoes at one point! Salut'

 

[AMF13]

It's a long way to the top, if you wanna Rock and Roll.

 

[BJM]

Thanks to all for responding! I only got an email notification for one response so I assumed that was it. Then just now I see there is more content. Anyway sorry for delayed response. It's frustrating because I am doing two appraisals a week, at this rate I won't be licensed till I'm 50 ( I am 37 now lol). Just bought my lottery ticket, let you know how that pans out!

 

[JTip]

10 years after certification until the real money starts coming in.

 

[Deleted member 134708]

It will take you at least 3 years after being Certfied to make $50k a yr. Lot of lenders/AMC want 3+ yrs certified experience before get work. On the bright side. There are a bunch of AMC's that will pay you $225 as a licensed appraiser with 48 hr turn time.

If you were asking me life advice, I'd tell you the hurtful truth now to see you succeed later.

Go get an entry level job at a Fortune 500 company and re-visit appraising when you retire/semi.

 

[Elliott]

I had a call from a 'retiree' (said he had been a corporate executive, which I guess he thought made him smart) who wanted to be an appraiser in an adjoining state. All hot to get started. When I told him that many AMCs and lenders typically look for 5 or more years of experience after being a certified residential he got upset and essentially hung up. He wanted to be an appraiser "Now!" Hey, I don't make the rules.