Appraisal Institute’s Harassment, Tests, and Dance with AMCs
The New York Times article by Debra Kamin, published on May 8, 2025, unveils a disturbing culture within the Appraisal Institute (AI), peeling back the curtain on a decade of alleged sexual harassment with Craig Steinley — former president and current vice president — who found himself in the uncomfortable spotlight. Accused by at least eight women of inappropriate behavior, Steinley’s antics include unwanted groping, as detailed in interviews with 12 women and a $412,000 settlement to silence ex-CFO Beata Swacha, though he denies all allegations. Former CEO Cindy Chance’s lawsuit claims Steinley made lewd remarks and groped her, while ex-director Alissa Akins was shown the door after uncovering a testing fraud that misgraded exams, potentially certifying unqualified appraisers since 2008 — a bitter irony for an organization meant to uphold standards.
Cindy Chance responded with a resolute press release yesterday, framing her lawsuit as a bold stand for appraisers and the public trust she championed. She highlighted a governance breakdown, retaliation, and collusion with private interests, sketching a troubling “insider ecosystem” that has eroded the profession’s foundation. In a YouTube video posted recently, Chance detailed how her advocacy against Appraisal Management Companies (AMCs) led to her firing, confirming suspicions among her followers. She revealed that her “Cindy’s Desk” columns, which criticized AMC predatory practices, provoked backlash from the AMC lobbying group REVAA (Real Estate Valuation Advocacy Association), costing AI Executive Officer Craig Steinley their endorsement for his candidacy. Chance faced intense pressure from Steinley and then-president Sandy Adamatis, culminating in a 12-against-1 meeting with REVAA and AMC leaders the night before an August board meeting where actions against her began. Despite intimidation, she refused to stay silent, later learning that AMC attendees predicted her firing. Chance expressed alarm at AI officers accepting REVAA endorsements and colluding to silence her, emphasizing her lawsuit’s role in protecting the profession and public. She commended the Times’ reporting, called for transparency, and expressed frustration with the entrenched culture she aimed to reform, advocating for accountability in the midst of the turmoil.
AI’s President Paula Konikoff quickly countered with a promise of investigation, claiming the article doesn’t reflect their true colors, while vowing to battle Akins’ lawsuit and shrugging off the testing fiasco — because who needs accountability when a polished PR statement will do? Meanwhile, a petition on Change.org, launched by Alison Arms, demands Steinley’s removal from the executive board, citing the reputational and financial toll of his alleged actions — a clear signal that the rank-and-file have had enough of this unfolding drama.
Jonathan Miller’s take on Housing Notes dubs AI the National Association of Realtors’ mischievous twin, tracing a darkly comical arc of misdeeds — eight years of self-dealing, including those extravagant European jaunts on membership dues, and now a scandalous cocktail of harassment, test-rigging, and financial blunders. He sketches a gloomy scene: SRA and MAI designations fading like forgotten trophies, membership dwindling, dues skyrocketing, and mortgage rates inching up as credibility takes a nosedive, leaving homebuyers in the lurch. Miller laments AI’s abandonment of its residential SRA members since the 1991 licensing shift, noting that consumers wouldn’t know an SRA designation from a shiny sticker, while the lending industry chases fast-and-cheap appraisals through AMCs — quality be damned — or leans on automated models like Zestimates for valuations. This erosion of integrity, fueled by the testing fiasco and #MeToo ethical lapses, could see the credit and bond markets deliver a harsh verdict, hiking mortgage rates in response. With AI designations looking more like relics, Miller calls for a forensic audit to unearth the messy truth behind this professional soap opera.
The real twist lies in AI’s long, cozy dance with REVAA, where the rhythm of their partnership directly orchestrated Chance’s exit. Her bold critique of predatory AMCs — slashing appraiser fees, exerting undue influence over the appraisal process, and bloating their own profits at consumers’ expense, all veiled in secrecy — struck a nerve, leading REVAA to flex its influence. This pressure, channeled through Steinley and AI leadership, silenced her transparency push, explaining AI’s mute stance on the troubling practices of AMCs as they twirled with REVAA. The evidence points to REVAA’s heavy hand in her ouster, demanding a rigorous investigation, audit, and overhaul of REVAA-affiliated AMCs and AI to reclaim the profession’s integrity.
- Appraisal Institute’s Harassment, Tests, and Dance with AMCs - May 9, 2025
- The PAREA Program: Costly Promises, Empty Support - May 6, 2025
- Appraisal Institute Scandal – Widespread Fraud Uncovered - April 1, 2025
The high costs of cheap appraisals.
https://appraisersblogs.com/uncovering-flaws-in-fha-appraisal-n-loan-review-process/
An anonymous article? Sounds legit. What conflicts might this author have? We’ll never know. The stuff at AI is bad, but piling on to the misery of others only hurts the profession. When you look down and try to figure out who metaphorically ‘shot’ the appraisal industry, you might find out it was you holding the gun.
You might want to brush up on the definition of whistle blower. And you should take the time to read the actual lawsuit. Amc’s decimated the appraisal industry. Have been doing so for some time. Alongside the dereliction of duty of top people at appraisal trade groups whom sold everyone out to be on the amc gravy train. You’re like; shoot the messenger.
Thanks for the condescending comments. I surely haven’t read or understand as much as you. After all, the lawsuit is facts, right? As soon as you make an allegation, it’s true. That’s what I learned in law school. Just like appraiser bias- all those lawsuits were true- right? There were no opposing viewpoints. Allegations = facts. It’s also important to trash a group of your fellow professionals, after all. That’s what’s important here. It’s a competition to see who can hate them more – got it. Don’t worry about the collateral damage to 10,000 other people and their reputations by association. As long as you feel superior. It’s comments like yours that make me just astounded that we can’t get people to come together as an industry.
Amc’s have been trashing most working appraisers for two decades. They’ve decimated gse appraisers working positions, advocated against traditional process and developed tools and processes which have put tens of thousands of appraisers out of business, the attrition continues. All the appraisal trade groups had ample time to respond. They failed to do so.
Maybe the point is being lost here; We want industry corrections, so everyone can flourish instead of the constant attrition and reduced demand from gse side providers. The only thing that’s necessary is honest transparent and fair process.
Read the lawsuit, read the Miller article. Quite the event. No wonder these people do not advocate for independent appraisers. So many of them are inside track players whom are self dealing with loyalty and fealty to their people, disregarding so many others. Cindy stepped on a hornets nest when she tried to talk about corrupt amc processes. Turns out PAREA was a colossal waste and should have been scrapped all along, something we all knew anyways. The best part; REVAA runs that show. They step in with impunity as top amc executives really call the shots. Meet your new new boss. A culture developed around the perception of untouchable status, and it came back to bite them.
From Millers article; / Final Thoughts / What was in it for the Appraisal Institute? Their behavior has been so suspicious and secretive for the past 15-20 years that one can only believe that there is someone who is enriching themselves, feeding at this trough. No one can be that stupid, killing off their future and tricking their client base, both the appraisers and the end users of appraisals. Or maybe they can be that stupid. Incidentally, AI recently proposed to stop having quarterly board meetings. / Is the Appraisal Institute ethically bankrupt or terminally stupid?
Well…. Amc’s run the show over there, apparently. We’d expect no less from amc’s. There are hundreds if not thousands of appraisers integrated into amc’s at every level, many whom should have their licenses stripped. Will try and fish up the AI tax returns here in a minute. / Thanks.
If allegations are found to be true then, as you aptly point out, their lack of defense of the appraisal profession makes perfect sense. This suggests there may be some truth to the report. Common sense will tell you this is, in all probability, why they have been so quiet in spite of the entire industry openly wondering “where is the AI?”. If true, this whole appraiser “witch hunt” must have been a nightmare for the poor souls having to hide behind their ivory towers hoping they could weather the storm. No one wants to throw themselves into the fire voluntarily and AI is no exception. If this is allowed to play out, I believe the naysayers are going to be disappointed. Alas, once they get close to the truth, a settlement will be on the table with an agreement of non-disclosure accompanying it. It’s just how the system works.
Just had to respond to a review from a Clear CRAPital appraiser who disagreed with my opinion of value—without offering any actual analysis. They just copied and pasted the same generic boilerplate Clear Capital is known for and slapped a number on it. I was honestly stunned at how far off their value was compared to mine—until I saw the reviewer lives in Virginia, holds licenses in four different states, and is somehow reviewing (while being geographically competent) on a California appraisal.
The AMCs have officially corrupted the appraisal profession—and the Appraisal Institute has been complicit in allowing it to happen.
HEADS UP ALL YOU LICENSED APPRAISERS – to the AQB
I want the record to read clearly that any efforts to provide standards equivalency to the IAAO assessing community should be rejected as this group practices and relies 90% on unproven theoretical cost approach valuation. THIS IS THE LEAST RELIABLE APPRAISAL APPROACH and 90% of the time is practiced solely without the benefit of the market approach – We should not elevate the cost approach to a an “additional pathway” experience worthy of submission for practical appraisal experience. It is no secret that Trustee Pete Fontana is pushing this with support from Lyle Rieke from Fannie.
PASS IT ON1
I worked in Montana for 2 years. They refused to give me a reciprocal Certified General after having my license since 1992. I was in good standing so the reasons they gave were that back when CA started giving licenses, the State didn’t review my work as if it was an application for a designation. I had no control over how my home state awarded licenses. I filled out the app. Paid money and listed my experience. It was discrimination! A California woman was coming into their state as a newcompetitor. The jerks in Montana are thick as thieves. They openly hate Native Americans who live their and my dark skin didn’t help me. When I realized I am Black in Montana I moved to Oregon. Pete is a big jerk and has people like Darwin helping keep out appraisers from moving into their state. It is the wild west, another non-disclosure state, but I was hired by Chicago Chase to appraise a famous cowboy artist home being remodeled by a movie star’s son and it was creating a new home from original barn. Interesting work in boonies near where I lived.
The AI was incompetent and protectionist, so they don’t want anyone who is competent to do work there! The AI has been male-dominated and women who are highly qualified appraisers are paying a price from those little guys who feel threatened by Cindy’s qualifications and we all know now that all that Ethics talk is hollow window dressing.
I HAVE SUPPORTED THE AIREA AND THE AI FOR 45 YEARS. ONE MORE CERTIFICATION OF MY MAI WILL MAKE ME A LIFETIME MEMBER.
NOW THERE WILL BE NO MORE MS. NICEY-NICEY. I WILL REVEAL MANY MORE OF OUR PEOPLE LIKE ARMORIN WHO IS ALSO INVOLVED IN Cindy’s firing after secret meetings!
There are more unethical appraisers teaching Business Profession and Ethics class we need to recertification.. I personally have been fired by Mile Mason who is a 2nd generation appraiser. I knew his Father who was a smart guy. He was against the AIREA not merging with the Society of Real Estate appraisers .
Since 1990 I have watched the corruptions kept quiet for fear of retribution but I don’t care any more.
I will keep in good standing as long as I live. I will keep speaking out and if required, I will testify to anything I say. So century me now or you will add to my s**t list!
Apparently you’re not allowed to comment here if you don’t spout the running orthodoxy that:
-the AI is bad. Always. In everything. Everywhere. Every chapter. Every member.
-All their members, everywhere are corrupt and/or feel superior and/or whatever other derisive thing you can say about 10,000 individuals.
There? Did I say enough bad things about AI this time for my comment to get moderator approval?
After all – we need appraiser UNITY. That means taking down 10,000 AI Members and alienating them and calling them names. That’s definitely the best way to get all appraisers to come together – by tossing thousands of them under the bus. That logic is undeniable. Unity through division. We should all have GLEE and happiness and the misery of an entire group of our profession. That makes us good humans. “Something you spent a lot of time and money on going south? Well – that makes me so HAPPY! By the way, please sign my petition against AMCs and the TAF. If you don’t, you don’t believe in appraisers coming together for their industry”. I know, that seems like some kind of deranged mental issue, but I assure you it’s not. This logic only applies to the AI, by the way.
No other organizations, particularly ones that sponsor this blog with banner ads beside this article, can be criticized. They are above reproach. But remember, we oppose corruption and believe in transparency. We definitely don’t need an article about how the AGA is affiliated with labor unions that got the last administration elected (the people that tried to take down our industry). Definitely no conflicts there at all. Nothing to see. Go AGA!
Lenders and their agents shall compensate fee appraisers at a rate that is customary and reasonable for appraisal services performed in the market area of the property being appraised. Evidence for such fees may be established by objective third-party information, such as government agency fee schedules, academic studies, and independent private sector surveys. Fee studies shall exclude assignments ordered by known appraisal management companies.
Why are amc’s having any influence with the appraisal trade groups? Amc’s are agents of the lenders. The regulatory structure pertaining to amc oversight needs reconsidered. Amc’s should be overseen by the same federal agencies that oversee lenders and they should not have anything to do with state based appraiser oversight boards. We want things to get better for everyone not worse.
This again shows how people that criticize an organization that don’t belong to it just really make leaps of logic for things they have no experience or information about. You know that there are many people that work for lenders and AMCs that also happen to be members of various Appraisal organizations, including the Appraisal Institute? At one point in my life for medical reasons I had to take a job as a bank appraiser for 2 years. Should I have given up my designation with the Appraisal Institute because I was no longer a sanctimonious fee appraiser, but instead one of those dreaded evil bank reviewers? Thankfully, I’m back to the job where nobody can criticize me anymore, which is a suffering, put-upon independent fee appraiser. Should we start checking members at the door at chapter meetings and make sure they haven’t taken a job with a lender or an AMC? I’m assuming, of course you mean that AMCs as an industry shouldn’t have an outsized influence on an Appraisal organization, but that’s the problem when you make generalized comments like that and try to group and divide people. Which is evident by your phrase “no matter where the road leads” – which means you don’t really give a crap what happens to individual working appraisers that have designations. If they are collateral damage, then so be it as long as your holy Crusade keeps going. How do you possibly expect to convince a group of people with varying interests and agendas to support you based on that? Honestly, I think you need to get out more and meet a few more of your peers that aren’t necessarily just residential fee appraisers. I’d like to see a New York Times article about what kind of influence labor unions have on the AGA, if that included indirect support for getting the last administration elected and how much that might’ve hurt the Appraisal industry. Maybe somebody should do a little investigative reporting on that? I’m sure it’s all rumor and allegation, but that’s all we need these days. I don’t belong to the AGA, but I can certainly look from the outside and make all sorts of assumptions and paranoia that must certainly be true.
Hi there. Sorry, edited that comment down before I read your response. Trying to keep this simple and straight forward. You’re mis reading me. I’m one guy, a low level appraiser whom wants fair working opportunity with gse work and not to be sidelined for having a fair market fee. How could that be too much to ask? If you are a member of an influential group, go have some influence which will lead to industry corrections which will lead to a better future for everyone.
I thought designation meant the people involved were leaders of the industry. The people whom could be called upon for industry assistance and correction of any potential unfair process or matters of ongoing ethical violations. If anyone were to have stepped in to set this ongoing amc train wreck straight and demanded something more honest, transparent, and fair for everyone, shouldn’t that have been the AI? So why isn’t that happening? The point of the article is one person tried to make that happen, and was subsequently dismissed. Do you agree with the dismissal?
Baggins me thinks you mischacterize the profession. I’m not mad at the AMC’s because I work according to my own standards and my own fees. And, I know many who do the same. I will agree that too many appraisers are AFRAID to demand higher fees, but that is their call.
Dave
The amc’s broke the traditional model of direct billing where the consumers appraisal fee went entirely to the appraiser completing the task. Subsequently when no fee rake is involved, lenders would select the best most experienced appraiser they could find for that appraisal fee.
Under the amc model the totality of all appraisal fees is in a group pool and the strategy for engaging appraisers is no longer tied to quality service as the priority, but rather carving out the larger profit margin from the total pool of all consumers appraisal fees and associated appraiser vendor fee payouts. So when they can sub you they do. All it takes is one person to undercut your rate. You’ve been lucky so far, but like three out of four other appraisers whom now refuse to work with amc’s, one day your luck will run out. Be careful what you wish for because you’re supporting the model that puts so many other small businesses out of work and out of luck.
That’s not a mischaracterization, that’s the truth of what’s happening. Amc’s could choose to have a fixed rate cost plus billing for amc side service instead of operating on a variable margin where profit is increased if they can sub out for cheaper appraisers, then not return that cost savings to consumers, hold that as profit instead. They choose not to. If you had to vote, in your opinion which method is more transparent, ethical, fair, and reliable; Cost plus amc billing? Or variable fee rake undisclosed to both the consumer and appraiser vendor?
I will not be renewing my membership (since 1978) after this year. William Barnes, SRA.
Can’t say as I blame you. To continue would be akin to paying the mortgage for the person that has been having an affair with their spouse.