Mark, the state could care less. I’ve sent information to the board in CT. no response.

How about $270.00 in CT for a single family. What a joke.

Jodi, you’ll want to check out this link.

http://www.leg.state.co.us/clics/clics2012a/csl.nsf/fsbillcont/8D43544DD129443287257981007F4018?Open&file=1110_01.pdf

Colorado legislation on amc regulation:

Prohibited AMC activities:

12-61-710.5. Appraisal management companies – prohibited activities –
REQUIRING AN APPRAISER TO INDEMNIFY THE APPRAISAL MANAGEMENT COMPANY AGAINST LIABILITY, DAMAGES, LOSSES, OR CLAIMS OTHER THAN THOSE ARISING OUT OF THE SERVICES PERFORMED BY THE APPRAISER, INCLUDING PERFORMANCE OR NONPERFORMANCE OF THE APPRAISERS DUTIES AND OBLIGATIONS, WHETHER AS A RESULT OF NEGLIGENCE OR WILLFUL MISCONDUCT

That one is a godsend. As of day 1 that was passed, I never had to agree to anything other than sow, to get orders. If your state does not have that vital inclusion, that one is worth mobilizing for.

FAILING TO DISCLOSE TO A CLIENT THE FEE AMOUNT PAID TO THE APPRAISER HIRED OR ENGAGED TO COMPLETE THE APPRAISAL UPON COMPLETION OF THE ASSIGNMENT FAILING TO DISCLOSE TO THE APPRAISER THE FEE AMOUNT PAID TO THE APPRAISAL MANAGEMENT COMPANY BY THE CLIENT AT THE TIME OF ENGAGEMENT; OR

And same thing for that one. If the appraisal problem is concealed fees, the solution is a requirement to state fees clearly. Some amc’s are still in violation of this request, and apparently appraisers are not holding them to the fire. But in CO at least, I get to know the amc rake, and I get to disclose my fee boldly within the report. If I flip an amc report without disclosing me fee, that is a violation. That one also set the record straight and although not verified officially, I think that had a very strong influence on stopping undercutters aggressive chop down of fees. They knew that during review, they’d get ate alive when appraisers learned their fees were downward of 175 per order. My how the tables have turned in the few short years since CO passed those regs….

California may not have kahoonas to do anything but the FDIC AND OCC does. Files a complaint with the Feds.

You also need to turn them into to FDIC complaints. (Make sure you have to complaint for appraisal fees) and OCC.

Wayne, I don’t know. Just appreciate the breathing room which comes with choice. I’m going to give up on this lecture. Bidding is code word for actively asking competing appraisers to undercut each other.

It’s been quite fun, to instead of providing a ‘competitive bid’, instead turn the tables and turn the call into an immediate sales opportunity. “What’s the maximum fee you could assign this to me right now for?” And that’s where the rubber meets the road. They either can assign and have pre approval, or they don’t and may not even have the order yet, as lenders can tease multiple amc’s for best quotes at once. Sometimes they have to get individual approval for all quotes from lenders. Some of them can assign right there, and with such a question, you can identify their margins and operational relief room. I make decisions based on those figures too. The market is the consumer charge. How that splits up is largely dependent on the negotiations. In identifying an amc whom actually has the trust of lenders and can make independent decisions, then you can work batch deals. Let’s go 1 at 550 or 5 at 450. Whatever, I’m busy. C&R is a myth, like chasing dragon. The reason being is lenders are not affixed with base consumer charges like they used to be, and if they try to be, are typically working with antiquated irrelevant static charge tables. True C&R is sliding on scale, with a rather infinite scale of possible charge consideration, as broad as the valuation services request might be.

Specifically page 9.

https://www.fdic.gov/regulations/laws/federal/2010/10NoticeDec10.pdf

Why do you do this?

We’re approaching the time when there are literally more vendor managers than there are vendors themselves.  Hang tough.

Dang. I’m running a special promotion right now. Double rate with variable due date. 

Yet another instance of an amc probably taking a loss in one area to recover on those flat rate contracts in other areas. If this amc was not actually giving lenders discounts and was tricking the appraiser with a sales pitch without substance, they could really be in violations of multiple rules and even state and federal laws. It’s such a risky deal, why would they even offer that in the first place? Too much room for abuse. Yet more data which confirms that a direct consumer to appraiser fee relationship is necessary.

“If anyone wants to save the borrower a dollar or a day, they’re free to do so from their side of the desk. As an appraiser, I cannot afford to leverage or offer any discounts what so ever.”

Keep applying, they don’t all operate that way. You named the big box ones, but some of the boutique amc’s are nicer to work with, with better ethic where they are fair with appraisers. Better than that is other standardized work like hud mm reo, fnma reo division, various direct lender, etc. Broad exposure is key to leveraging the same principals of substitution that drive the fees down, to drive them up instead. But yeah, I hung on for a decade before the discounters relented. It’s not a pretty or appealing picture and is a gamble. In the future, discounters will stress my position again when the volume relents, which is why I form alliances with distributors who pay acceptable minimums regardless of demand climate. A massive industry wide correction of amc distribution process is in the works. It’s easy to spot the dangerous amc’s, they always grade you instead of building parternships. My direct guy right now is subbing to amc’s, because he can’t find appraisers to sign up. Sad, because those appraisers did not know how to identify the difference between direct and amc, and subsequently actually accept discount work through amc’s, when the direct distributor would readily accept them on panel. 450 minimum all day long. That’s how it goes though, those amc’s drain all your time with the horse and carrot routine. Appraisers quick to sign up with companies without research get the short end of the stick. I’ve got 4 long drawers of legal cabs, with all the amc’s and direct distributors over 10 years. Just keep moving down the line. If you’re substitutable, so are they.

John Most of the AMC’s in South Eastern VA pay between $238.00 – $245.00 There are only a few AMC’s that pay $350.00 – $360.00 max for an 1004MC. There is no negotiating with these AMC’s either. Appraisers have to sign their contracts they cannot negotiate a contract. I thought being an Independant Appraiser aka Independant Contractor meant to negotiate a contract like a lawyer, Builder, tradesman, or other contractor. But that is not the way it is. If you don’t agree with their contract then you don’t sign up. If you don’t agree then YOU DON’T WORK! There is not negotiating a fee even when the subject is waterfront, lake front, new construction, with 5+ acres, located beside a school or beside commercial properties, which all take more time to find and drive the comparable properties to make sure they are comparables and not to mentions all the extra stipulations that they and the lender puts on the Appraisers that is more liability. Also, I am tired of AMC’s treating me like an EMPLOYEE instead of Independant Contractor like the IRS, Court of Pennsylvania. This list includes but is not limited too: Streetlinks, MCS Valuations, Corelogic, Allstate Appraisal, Nations Valuations Services,and National Property & Appraisal Services to name a few. Yes I have named them because this year I have only completed 15 Appraisals all year because when I quote a higher fee I get the standard removal of order because the bottom feeders have bid lower in the mass text or e-mails. I am fed up and ready to quit! AMC chock up another one that has left the profession. Do the math 13 X 245 = 3430 2x 350 = 700 = my grand total wages for the year is $4130.00. That is not enough to pay for my computer access and liability insurance. I can make $50,000 being an Admin Assistant like my friends with less liability, more fun and a great 401. It is a shame what has happened ot the Profession. Won’t everyone consider filing a complaint. https://ask.fdic.gov/FDICInteragencyForm/

Primary client struggling for fulfillment. Sending some through amc’s, rather than beef up staff. They had to make tough choices but are keeping their in house division open.

Landed a batch set of orders for the first time, in a long time. All through direct side, no amc’s. $650 across the board. Probably a similar fee they’d pay over all if utilizing amc services. Well dang son, it’s about time. And thanks again to the better half of this industry.

It’s like Trump’s words are already resonating true. I’m not used to winning this much, slow it down. Ha! Meanwhile, most amc’s in the area are taking losses on flat rate engagements and can’t wait until the day they turn down these fees again. You win some and you lose some but the important consideration is who’s got the highest standard base fees you can count on in lean times?

I won’t allow my negotiations to cause harm to other appraisers, which is why I refuse to quote companies that do not have direct appraiser to consumer sort of fee relationships (most of the time). Flat rate is a bust. Prefer the guys who play fair all the time not just when they have to, and look at the big picture.

Jodi, that’s so corny. I tell them the billing is non negotiable metric based. Always round up, rending that fee proposal to me as $300. Not enough of course, but as a rule of thumb always round up to the next metric fifty.

hey…my retired appraiser friend. I see this silly business much different than most of my fellow appraisers. Our little office does not accept any assignment from any AMC. We accept no FHA work. Our VA work has been reduced to just one small county. We refuse to accept any assignment from any mortgage broker. Well…that should just about put our asses out of business. But Gee…we turn down several requests each and every day!  Why not promote your business to the point that you no longer provide the fees for appraisal parasites to rip you off? I am just one of two people in a small appraisal office. GEE…there is absolutely NO way that I could possibly take on all the appraisal work that is being offered to me. If you are working for AMCs or national appraisal companies….you are cheating yourself and your family.

After the universe gave appraisers the reaming of a lifetime I happily sent my license back with the following notation on the package:

RETURN TO SENDER
c/o Roscoe Universe
1 Cosmos Blvd
Infinity

P.S. Please File This License Away Where The Stars Don’t Shine

The AMC Creed for Appraisers:
More Work, Less Time, Half Pay
And You’ll have another order the next day!
Question Why!
And We will say Good Bye!
If you keep saying NO!
There will be no more AMC’s for you to GO!
There are plenty more Appraisers that will Bend Over
And spread it wide so Move Over Grover
There is more behind you willing to take our scraps
So we can meet our Caps
Once the caps are met we are in Line
For a big fat BONUS that will be MINE!
More Work, Less Time, Half Pay
Makes the $8.00 an hour email nagging, phone pushing a Happy Day!

Anyone that’s nuts enough to appraise a $5,000,000 home for a $275 fee needs to do their “profession” a favor and just kill themselves. If you don’t have the guts to do your colleagues that little favor and you’re way short on intelligence consider over the road trucking. You’ll make twice the money for 1/20th the effort and 1/1000th the liability.