Johnny.. You are 100% correct

HVCC read well and initially I supported that. The conditions have changed though, when HVCC came out there were requirements for amc’s and lenders to put into writing why any appraiser was to be removed from their panel, (tackling rampant blacklist problems which Corelogic has now codified into regular tech distribution process under the radar as normal allowable activity with Mercury and Scope platforms) and C&R provisions were in the works as that was the normal status quo expectation at the time. (When amc’s occupied 15% or less of the lending space.)

Funny how the TAF applied certain ethical principals to appraisers but for 14 years has failed to apply a similar standard to the now regulated amc industry.
https://www.appraisalinstitute.org/AMCCompetenceFeeIssuesDebatedinLatestASBQA/
“Disclosure of fees, commissions, or things of value connected to the procurement of an assignment must appear in the certification and in any transmittal letter in which conclusions are stated”
Except if you’re an amc, then you can skim as much as you want unbeknownst to consumers and appraisers, sack borrowers and appraisers with indemnity and fee confidentiality agreements except in the few states this is prohibited, etc, etc.

You know for honest people, if even one state passes a new rule detailing a higher ethic, they just blanket apply that across the whole spectrum, because they believe in ethical principals. That can not be said about the amc industry. They only comply where it is required and otherwise consistently exploit all possible avenues available. The complex network of regulatory compliance allowance merely raises their overhead expenses, which they take from appraisers, and morph into even greater profit margins.

It is just deserts that appraisers whom still subscribe to the amc model get to deal with the hybrid and desktop offerings. The rest of us are by and large not dealing with that. It’s never too late to subscribe to the higher ethic and demand by your own working efforts a better reform. Amc’s did not stop contacting me because of my appeals to them, but rather because I went over their heads and made those ethical principal appeals to their lender clients. A few of those had been direct assignment resources for many years after too. It’s no coincidence that amc’s used to occupy 80% of the ML spaces and now that’s reportedly down to 2/3rds. I’m not the only one but few dare admit what everyone knows to be true.

The first round of amc hybrid requests were $35-$50 dollars. While charging consumers upwards of $250-$350. Early discoveries on remote inspection and ancillary services have been bonafied documented as sourced from acm’s to delivery drivers at $10 a pop. What’s new?

Those of us whom have lingered on will never forget that TAVMA and REVAA represent nothing less than vulture capitalism and ruthless independent worker exploitation while simultaneously spending millions on lobbyists to stop opposing side unionization and effective organization efforts. With friends like that who needs enemies?

USPAP, something somewhere…

Defining the scope of work.

Despite popular opinion, that is the appraisers sole responsibility.

If they say take it or leave it means nothing in terms of end of the line liability exposure.

Because if you agree, you may as well have formed that SOW from scratch yourself.

It’s a perspective issue sort of consideration.

When you’re working for the man and your only responsibility is to shore up liability and increase production, punch in punch out, these proposals make sense, if one presumes the independent vendors have an unlimited protection coverage like you do as a non accountable non licensed employee. That perspective is common as the majority of corporate and government employees have never experienced the challenges and risk management which ride along 1099 status and independent liability insurance procurement.

When you’re the independent worker dealing with asinine changes which dump the near entirety of corporate companies liability exposure on your independent 1099 insurance programs, it’s sort of a different story.

When all is said and done, it does not matter who was eyes and ears, typing up or providing analytical information or whatever, only the signatory parties are committed to contractual engagements. Which is why I have refused outsourced services since the very first appraisal I signed all by myself. The appraisal report is a legally binding document. Those in liability free punch in punch out positions often are unable to get their minds around this concept of 1099 worker liability. Their attitudes means nothing to the independent workers. This is a game of attrition and it’s launching off again right now. I’m primed to hang on but it’s still entertaining to go with the flow. One can only imagine what types of desperate email requests are being sent to panel managers right now. To those people I say get out while the getting is good, you’ve done enough damage and shouldered enough liability exposure to last a lifetime already, just hope it does not blow back at you. Good luck, you’re going to need it.

That’s $130 an hour and rising in Colorado.

Had we all said NO a long time ago….

Well I’ve been out of the amc game for many years. Have any of them engaged with cost plus billing, where the incentive to drive the appraisers fee down to pocket the difference has been successfully removed? I read a few articles recently which pointed to a few amc’s whom may operate that way. Despite me being in a difficult to assign area with high appraiser demand I still was never comfortable with amc’s, even if I was getting a C&R fee rate (same as if an amc was not involved). And that’s because I can never get past the ethical implications of my fee causing harm to appraisers in low demand areas elsewhere, because that’s where the amc recovers their margin. The problem with mass appraisal distribution on scale is the pooled funds, the departure from traditional simple straight forward billing relationships where the consumers appraisal fee was the appraisers entire fee. They think about appraisal fees differently now in the hundreds of thousands, millions, even billions. Some of the largest amc companies have yearly compliance costs as well as operational software subscription overhead and labor costs which they’re saying run into the tens and tens of millions every single year. If anyone wonders where the market potential for the appraisers dissipated to… How many quality appraisers are now absent whom never materialized?

“Of all tyrannies, a tyranny sincerely exercised for the good of its victims may be the most oppressive. It would be better to live under robber barons than under omnipotent moral busybodies. The robber baron’s cruelty may sometimes sleep, his cupidity may at some point be satiated; but those who torment us for our own good will torment us without end for they do so with the approval of their own conscience.”

And I have another one I’m having a hard time finding but it goes something like this; The socialists are most damaging because of how they deny us the things which never materialize. Surely as a robber in the night taking our goods and possessions, so does the socialists programs result in even greater harm, as our posterity which would have created jobs and wealth never materializes in our lives. Anyone know who that quote is attributed to?

I do agree and enjoy our non- amc clients the most, we do have a few AMCs that pay us the fees we set and are respectful. Again – a few. It’s all business but this “New Deal” is off the charts rediculousness. A bunch of people trying to disrupt an industry they do not understand. And that isn’t the real problem!

There were a flurry of fees but I recall just processing an avm cost me like 150, several hundred per each party involved, hundreds for some simple paperwork deals, it all added up. Again, unless you know what the borrower was charged for the service…

I don’t understand how any appraiser could continue to even accept communications from a company like that. Because regardless if you pick up your type of order, you’re still encouraging the persistence of their methods, by preferring to provide service to them over more ethical less predatory companies. All appraisers have a choice so why would you continue to give two thumbs up in promotion and support of the amc industry instead of simply finding alternative clients?

Here, one of the easiest marketing tools you’ll ever run across. The HUD lender list. Cold roll down the line and eventually you’ll run across any of the dozens of direct assignment lenders servicing your area. Take careful client notes, create folders, such marketing efforts can materialize years after the initial solicitation, others can hit right away. Deny all lenders whom redirect you to amc’s and inform them when they stop using amc’s you’ll be available and hold on to your info. The only mistake you can make is marketing too much and they all hit at once. As they used to say in this industry before the destructive forces of unnecessary amc middle management; all it takes to make an appraisal business is a fax, a flyer, and one good client.
https://www.hud.gov/program_offices/housing/sfh/lender/lenderlist

Now I see it! That’s hilarious!

If you’ve never reviewed UCDP user guides, that would be a good place to start.
https://singlefamily.fanniemae.com/media/9371/display
https://singlefamily.fanniemae.com/media/5696/display

This from 2013, this is what was supposed to happen with UCDP… And just wait, things have ran smoothly for a decade but now it’s getting shaky again. The lending and investment industry tends to ride along to get along like everyone else. Then when shtf, that’s when forensic review jobs pop up. Remember the suspensions and revocations threads? We’re going to start seeing that again and all these dudes getting ahead with discounts and outsourcing, volume based approaches are going to learn some important lessons about personal liability and their failures to take it seriously. These companies are not going to stand up for appraisers. When and if repurchase demands outpace capital supply, someone from the top will step in and say; we’ll take it from here. The axe will fall.
https://blogs.claconnect.com/residentialmortgage/fannie-mae-issues-quality-control-self-assessment-tool/
https://appraisersforum.com/forums/threads/suspensions-and-revocations.88400/page-210

FYI, I was making fun of the incorrect use of the word; appraiser.