Category: AMC

Experience, Education Criteria Input Request & AGA Open Letter

March 2, 2016

AGA Open Letter Regarding Changes to the Criteria

Request for appraiser input on current and future educational / experience requirements… The AGA sent the below letter to the AQB in response to their outreach asking for comments. Please write them and tell them YOUR views. If you agree with what we have said, then just copy it and add your name to it saying “we agree”. Or don’t copy it, and just say “We agree with the AGA letter”. If there are any significant parts you disagree with, then please ‘except’ those. If you have additional thoughts or suggestions for them (civil ones), feel free to add them....

AGA / AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisal Organizations

February 29, 2016

Virginia Real Estate Appraisal Board Made History!

On Tuesday February 23rd, The Virginia Real Estate Appraisal Board made history! The legislative code of Virginia states Licensed Appraisal Management Companies must provide customary and reasonable compensation to fee appraisers. There are two presumptions of compliance. One based on objective third party information, including fee schedules, studies and surveys prepared by independent third parties, such as government agencies, academic institutions, and private research firms. The other presumption of compliance is based on recent rates paid to a representative sample of providers of appraisal services in the geographic market of the property being appraised or fee schedules of those providers....

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisal Organizations / Appraisers News

February 26, 2016

Coffin Lid Closed on Defunct AMC

AMC is indeed closed! Over the last number of days, I have sent messages about a Washington State Appraisal Management Company which was about to fail. This AMC is owing many appraisers thousands of dollars in unpaid appraisal fees. I performed an ‘autopsy’ on that AMC while it was still kicking and screaming. I now have confirmation from two separate appraisers, on two separate days, that the AMC office is now closed, with most furnishings removed. The AMC owner has not informed any appraisers about this action, or anything else related to the business closing. Because those of us involved...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisers News

February 24, 2016

Valligent New $40 Alternative Valuation Assignment

Valligent, an AMC with ‘national’ presence, is soliciting appraisers to complete a new alternative valuation product on behalf of their GSE clients. There is nothing wrong with doing these. Any appraiser can. But any appraiser who does these assignments is required to comply with USPAP’s Record Keeping Rule. Which means keeping a Workfile for every assignment. In order to do these alternative valuation assignments, you need to comply with USPAP Standard 3, because you ARE providing a report review service. Even though Valligent is sly about not really revealing that aspect. The SOW for these assignments, which I highlighted below,...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisers News / Trending

February 22, 2016

The Decline of Appraisers

The problem is not simply that too many appraisers are retiring. Very few appraisers are entering the profession. In Illinois, the drop in real estate appraiser trainee applications went from 1,231 in 2005 to only 55 in 2015. That’s an over 95 percent decline. This drastic reduction in new entrants is being seen in states across the country. Many appraisers welcome the shortage, which has already driven up fees in many areas. But many believe the celebration is shortsighted. A decline in the number of appraisers threatens the integrity of lending and undermines the stability of the real estate market…

AI / AMC / American Society of Appraisers / Appraisal / Appraisal Institute / Appraisal Management Companies

February 18, 2016

Autopsy of a Failing AMC

The autopsy has revealed… Appraisers and others, I have previously reported about a Seattle area AMC, who I and others believe, is just about to ‘officially fail.’ This AMC claims to be registered in many states, places orders ‘nationwide,’ and uses both “Staff” (1099) appraisers in the metro areas, and independent vendor appraisers (also 1099) in other areas. I am purposely not reporting the AMC’s name. Even though it’s a terrible situation for many appraisers, the AMC deserves some courtesy as they attempt to stay afloat. They have taken steps to do so. But with no expectation from observers with...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisers News

February 11, 2016

Payment Trouble – Another AMC Failing?

If you don’t demand payment, you work for free. Folks, I learned from two different appraisers, that an AMC/Appraiser Company may be on the verge of failing. The AMC is based here in Washington State not far from Seattle. It has 4 initials in its name. First initial starts with “W”. This company operates as an Appraiser Company with W-2 employee staff appraisers, and as an AMC with vendor appraisers in those areas where their staff appraisers don’t work. The situation came to light today in an email sent out to their appraisers. They admitted they do not have the...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisers News

February 8, 2016

Environmental Issues Notice to Appraisers

Response to LRES email concerning appraiser’s responsibility regarding environmental issues Fellow Appraisers, Have you asked yourself WHY a few more of the larger regional AMCs are joining organizations like REVAA? In my opinion, it is because they and their clients (usually GSE lenders) KNOW that they are not truly compliant with Dodd-Frank’s C&R requirement. Despite disclaimers or advisories like this, they also know that the bulk of their work products are ‘probably not compliant’ with USPAP. Notices like this don’t normally get set out until ‘after the fact’ issues arise. REVAA recently helped coerce the State of Virginia (through threat...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisers News / Customary & Reasonable Fees

February 5, 2016

Big Data is in Real Estate

The only thing Big Data can’t do is smell. I got a call from my credit card company. Now I have been traveling a lot lately on business. Apparently, someone got my number and charged $199.53 at WalMart on Monday. I was not in WalMart, but a couple a weeks ago I bought a new TV at Sam’s Club. No question about the Sam’s Club purchase. How did they know I did not go to WalMart? I am truly amazed. The reason – BIG DATA! The banks are amassing massive amounts of data on you, me, everyone. They know more...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisers News / CoreLogic Valuation Services

February 4, 2016

Board Member Says ‘Squeaky Wheel Gets the Grease’

Board Members reported a shortage of individual appraisers offering suggestions, complaints and concerns… Legitimate ‘complaints’ should never be referred to as whining by any professional in my opinion. To do so diminishes the importance of the concerns being addressed. I attended the Las Vegas Public Hearing of the The Appraisal Foundation (TAF) / Appraisal Practices Board (APB) last Friday. No Appraisers Guild or member funds were used in any way for this. There was lots of good information. Board Members reported that there really is a shortage of individual appraisers offering suggestions, complaints and concerns to them as a Board,...

AGA / AMC / APB / Appraisal / Appraisal Management Companies / Appraisal News