Appraisal News and Business Tips

Do you still enjoy appraising after all the new rules?

Poll: Now that we have been living for some time with all the new rules governing residential appraisal, do you still enjoy doing the actual appraisal work?
www.appraisalport.com

My comments: Hmmm…. All the analyses (Appraisal Foundation, Appraisal Buzz, etc.) about the appraiser “shortage” don’t seem to mention this. How many appraisers are working for AMCs? Low fees are mentioned sometimes. They also don’t mention the “brain drain” of experienced appraisers not willing to work for AMCs. Many appraisers that I know do little, if any, AMC work.

Who wants more appraisers? AMCs. Supply and Demand. The more appraisers there are, the more the fee competition, and the lower fees.

Once again, they also just look at “appraisers” There few problems with commercial appraiser “shortages” due to the issues above because they don’t work for AMCs, although fees are low in many areas, including where I live. Definitely no trainee problems.

Direct lenders have increased requirements, but you know what they are and don’t get 5-15 pages of “requirements” plus call backs. Yes, there are shortages in rural areas that are not close to a metropolitan area where appraisers travel from (less than 2 hour drive, one way, for example). Shortages of rural appraisers is nothing new. It has always been that way.

I wrote about this issue in the November 2015 issue of the paid Appraisal Today: “Staying positive with unreasonable fees and Scope Creep from AMCs”

I also spoke about it on a Dustin Harris 12/13/15 podcast, “How to Stay Happy as an Appraiser”

Click here to listen

http://theappraisercoach.libsyn.com/075-how-to-stay-happy-as-an-appraiser-with-ann-orourke

 

2 Comments
  1. I really think that a positive attitude is very important for having a successful business (and a personal life). Mortgage lending requirements are very cyclical. Now, we are in a time of tight borrower requirements and very tight appraisal requirements. This will change. Big lenders are complaining that they can’t make any money from mortgages. Strict appraisal requirements, low fees, and the dominance of AMCs are driving many out of the appraisal profession. This will change.

    • Ann
      I for one and moving on to becoming a real estate investor. I hope in my lifetime that I won’t have to have a stupid license to be an investor. In fact I have a current deal and which hopefully will close in the next few days I will make $5000. I see that as the future of my main thrust and working.
      I am now in the process of renewing my license for another 2 years. I have no desire to quit and give up my license because you never know that I might have to fall back on it to help supplement my income. I will continue to renew my license and tell I’m just in a place where I never can work again, or fall dead in an instant.
      I’ve added up cost me about $2,7. 00 to do all the things I’ve got to do and feel I should do to be and keep up with my real estate appraisal license/career. This includes approximately $1200 for my E and O insurance, $400 for my IFA membership, $800 for my hocus-pocus license requirements, Mls membership, and all my office equipment, etc. that is a minimum I have to keep going every year.
      I currently have a deal on a vacant lot that it appears very highly will close in the next few days and I will get a fee of $5000 for making it happen. I am working with my grandson who I find very personally satisfying, however, he is a challenge being a young person and wanting at all. Right now.
      Your secret admirer here in Scottsdale – – art/Scottsdale

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