Comments on: FDIC Diversifies Its Appraiser Targets

By: Baggins

Baggins — Tue, 28 Aug 2012 18:01:56 +0000

Oh Retired appraiser, appraising is a service industry job. It’s a vital position in the checks and balances system. It’s been too long coming, the penalty for some of these issues. / Now if only the FDIC would put forth a sample appraisal, indicating a framework for proper developmental standards.

By: Retired Appraiser

Retired Appraiser — Thu, 23 Aug 2012 17:11:56 +0000

I have a simple question.

Who in their right mind is willing to do appraisal work today under the following circumstances:

*Doing twice the work (1004MC, UAD, 4 to 9 comps, etc.)

*Assuming at least twice the liability and fully aware that everyone is targeting you including the FDIC.

*All while surrendering up to 50% of your fee to AMCs.

For the life of me I can’t figure this one out.

By: Fritz Vogel CREA,CRS,CEI GRI

Fritz Vogel CREA,CRS,CEI GRI — Wed, 22 Aug 2012 21:39:46 +0000

Why do you think appraisers overvalued properties 2004-2008?
1) The LO/MB/Lender mad us do it or else we were cut $$$ off.
2) We, as appraisers saw a seemingly unending increase in volume and values and “forecasted’ what the value would be in 6-12 months ???
3) We just did not care anymore, bad fee splits, large overhead, too much liability, constant pressure for value and turn time etc.
I vote a combo of all 3.
If someone did it 10-50 times take them out, but 1-5 times in 3-5 years is just business. That’s why there is risk, the risk is the interest payment and associated costs of the loan.
Lenders are just seeking thouse pockets that are DEEP, E&O providers.