I will still have my trusty general purpose form for non lender estate work. But the MLO license with create $90k to $200k+ per year if you plan your work and work your plan.

Pats post shortly after this article:

Pat
July 10, 2024 at 8:03 pm

Some of you fine people know me and my fighting spirit.

However, today a friend of mine has a friend that was at a recent Fannie meeting where they directly said their goal is to have to get 90% less appraisals ASAP.

Where is the Fed, CFPB, Congress, OCC???

DAMN IF THIS MAKES ANY SENSE OR REASON AT ALL.
At least the you know who’s will go down TOO!!!

Presently I have 3 appraisals on my desk to complete. Kind of busy here.

Why are you continuing with a discussion on the lack of a National Appraiser Union which never has or never will exist due to economics of running a business and making a profit? Blaming Reagan for the lack of Appraiser Unions, Really?

You are just pointing at other actors or people. Statistics is a solid way to prove facts in the real world and a court of law.

Realtors belong to a National Association of Realtors or are Not Realtors and are Independent Real Estate Professionals. The Realtors have no Realtor Union.

Do you actually have something to discuss of merit to the present situation of appraisers in the real world?

Flash go back to bed. Unfortunately, we screwed ourselves. Reagan broke the unions. There will be a change in our society when people wake up and realize how much Reagan screwed us over (Iran – Contra) with the unions. He gave Iran the arms. Now look where we are with that. There is no safe return on our money. Placing your savings in a bank, that’s a joke. As far as the appraisal process, it was setup to fail. The education process stinks. People making decisions for us are non-appraisers. Everything is about statistics. That will fail too. Statistics in itself has to be consistent. With every change they make it gets worse. People who are reporting it are not consistent, I don’t mean the appraiser. WE all know who they are. Local governments and the realtors who you may want to consider them a good union. They are not held responsible for disinformation they give us.

“And thats the way it was”

channeling Walter Chronkite when he signed on of each news broadcast.

I agree it is a mess. Frank Dodd created the mess we are in the present.

When interest rates climbed as they have in several different real estate markets since the 1970’s there has been a fall out of appraisers due to lack of work between good and bad times.

When rates increased, it is like a water faucet being turned off with respect to available appraisal work.

Every time there has been an economic down turn in the since the 1970’s the appraiser is to blame. It was that way in the 70’s during loans made on home loans with 1st, 2nd and 3rd mortgages on one house. Then in the 1990’s lenders created a 125% loan for homeowners and also wanted a 130% loan until that idea collapsed the market with home foreclosures.

I am still in appraisal for the same reasons you suggested for years. It tough times for sure. Andrew Cuomo while still part of the FHA helped create the Appraisal Management Companies along with Frank/Dodd government paperwork.

Hundreds of Appraisal Companies with large staff members became worthless or worth less over night due to an inability to cover office expenses.

The idea of Agreed Valuation Acceptance is what has removed a lot work and again puts homeowners in jeopardy of not knowing if they may have paid too much for a property.

How is this good for the buyer?

There were 20,000 appraisers in California 25 years ago now we are down to 8,541 total active licenses. so 53 % of that total is Certified Res Appraisers 4,526 and 31% General Certified Appraisers 2,647 , Licensed 10% and Trainee 6%. The numbers are expected to continue to decline in the coming months.

Most Appraisers need a side gig in these times, whether to add a real estate license, MLO endorsement, add notary services to their profile.

In the end lending is winning and it makes sense to consider a sideways transition into lending which still is making over $100K min a year to start.

Looking at the other side of the Equation there has been over 600,000 Real Estate Agents who have quit the business due to a lack of homes to sell. I expect over 1 million agents to leave the industry. Now Listings agents will survive but buyer agents have to negotiate how much commission they are to receive in helping a buyer to complete a purchase. Buyers agents will probably make anywhere from 1-2, % percent of a sale as commission or can accept maybe a used car as commission for the sale of a house as acting as a buyer broker.

Addition Non Lending Work is the only answer i have found with estate work and sometimes it allows me to represent homes owners with estates as a Real Estate Broker should they need to sell inherited homes.

Actually, it was a state agency, in a large state in the Northeast, with a very large union. It was nothing like the description of the 1970’s – half a century ago, with smoke filled rooms & six pack of beer.

My guy, dropping bombs per usual.

So you worked for a local government agency which operated differently than independent appraisers at large. There is no comparison. None.

Working for the local government agency is great and you were part of a union with a contract with the county. Again, no comparison at all to the real world of independent appraisers.

On a national level, which Union do you suggest Real Estate Appraisers should become a part of?

Secondly, are appraisers to contract with their unions directly with the Federal Government?

Laughable since the government has said its OK to use Property Data Collectors for $20 per house.

Teamsters Local 481 in San Diego, California was connected with Fedmart Auto Centers which were owned by Sol Price who later created the Price Club which he sold to Costco.

What about the people who will need to engage in conventional lending systems in the future? Thank you for providing a professional and valuable service. Other market spaces, those services, also essential.

I was an appraiser for a government agency & was represented by a union. IT WAS THE BEST TIME OF MY LIFE. I was paid well & had great benefits. Your description of “union bosses” & the rest of the nonsense you wrote is beyond laughable & absurdly out of date. We never had meetings like you described. Our union dues were more than reasonable & well worth it, especially considering what we got for it.. Our shop stewards were also appraisers & good people, that we, the members, elected. No, it certainly is not “shear madness” – it is anything but that. Most appraisers have no idea how good it can be. Too many people believe utter nonsense about unions & are completely screwing themselves with their idiotic opposition to collective bargaining.

Serious question. A serious answer. Missing the IVPI proposal yet?
https://www.workingre.com/wp-content/uploads/2013/08/IVPI-Proposalfinal.pdf

For real. If they are talking this way, they are talking this way and whomever the individual was, is not the only one. Somebody get that on a secret tape recording and blow the whistle already. Inquiring minds want to know.

Flash is my nick name. I am a Real Estate Broker owner and a Certified Residential Appraiser in California. I was an appraiser even before licensing , so have seen several different real estate markets since the 1970’s to the present.

My appraisal work plan shifted during Covid when I received 30-40 calls day for an appraisal. So at time I decided to do Nothing by the Rush reports delivered in less than 3 days with $1,500-$2,500 per report.

The lenders were ok with it due to the limited number of appraisers willing to work during Covid, they just wanted reports on simple or complex properties in Silicon Valley.

Lately for the last 3-4 years II mainly work for attorneys, trusts, expert witness testimony which can involve over 100 hours of prep time , discovery and testimony. I mostly use the GP General Purpose Form with 8-11 statistical charts and scatter graphs with data from the MLS CMA exported into the reports.

In addition to Real Estate Brokerage, Appraisal and Consultant work I am as busy as I want to be, but have decided to add a MLO Mortgage Loan Originator License in the next 9 months from now.

When the interest rate comes down in The first quarter of 2025 there will be a lot of work for appraisers or for Mortgage Loan Originators. It only a 28 hour course for the MLO and a grueling test so that’s an additional stream of income and can easily make a transition with their knowledge of real estate to sideline as a mortgage loan originator with for a bank, lender or under a Real Estate Broker.

I have no intention of filling out the new appraisal forms when ever they come out in 2025 or 2026. I primarily do Estate, Legal Work, Inherited Homes, Divorce and Expert Witness Testimony.

Plan your work and work your plan, or someone else has a plan for you.

Ninety Five percent of my work is Non Lender work.

Tom Melville, MRA, MNAA

Agreed the meltdown is on the way. Going to be hard to stay patient but we must remain above board with our actions and direction.

With your level of backassward thinking I find it hard to believe that you are an appraiser. Why don’t you talk about the NAR rather than what was obviously some backwoods union hall just outside of Hickville?