Be Part of the Solution & Not the Problem!
- Federal Valuation Agency Impact on Appraisers & the Public - July 22, 2022
- Is Georgia Going Rogue? - June 13, 2022
- Bias in Automated Valuation Models - February 28, 2022
Why would a professional licensed appraiser not want to be part of the solution?
The Appraisal Foundation has posted the National Real Estate Appraiser Job Analysis Study. The survey is to determine the areas that are relevant to our daily functions as appraisers. This is our profession and appraisers are the best source of information on what we do and how we do it. The results will be used to determine the criteria necessary going forward for license examinations.
We all have experienced revision requests from a reviewer who does not understand the appraisal process. What about those revision requests that reference Zillow? We have all seen those hybrid/bifurcated products and their lack of creditability. We all know how accurate automated valuation model are. The survey has questions relating to hybrid/bifurcation, automated value models and the appraisal review qualifications. Appraisers have been given a gift in the opportunity to express their opinions on these controversial topics. There is even an open space to share thoughts on any topic. VaCAP encourages every appraiser to complete the survey.
Are you happy with the current direction of our profession? Are you concerned about our future? This survey is about change and is your opportunity to share your opinion with those who have the ability to initiate change. Why would a professional licensed appraiser not want to be part of the solution?
We have noticed on social media there are appraisers who have publicly expressed negativity towards the survey. Some complained it was too long; some stated they started, but will not finish because of its length. This concerns us. Those who are posting/complaining on social media and not completing the survey need to reevaluate their priorities. Simply put, if you have time to post on social media, you have the time to complete the survey. Please be part of the solution and stop being part of the problem! Take the survey here.
We can make a difference in how our profession moves forward. It took me only 15 minutes to complete the survey. I wrote about three paragraphs of my own comments on that last questions. This is an opportunity no appraiser should ignore.
I took the survey and it only took about 10 minutes. If we want a say in the future our profession and to stop the maddness, we need to voice our opinion and provide input. Taking this survey is the first of many steps we need to take if we want a say in controlling what happens and taking back our profession!
I agree completely. I don’t understand all the negativity. I guess those complainers are just not happy unless complaining.
This is an opportunity no appraiser should ignore. [Milton P.]
Better to fight for something than live for nothing. [George S. Patton]
Some action is much better than inaction and just watching the world to go by. No matter how many times the bee tried to explain to the fly that a flower was much better than s***, the fly would not try to understand, because she always had lived of it.
This will not be popular but…….the questions seem redundant. They seem to ask the sames questions in several ways. It took 15 to 20 minutes and some of it was gibberish at times. I did complete it. I did my part……hooray.
The Appraisal Foundation seems to be a total waste of time especially in 2020 when they seem to be of NO help to appraisers in any way, shape or form.
It cost me over $1,000 for my 2 year license in California this year.
CoreLogic is trying to own everything associated with appraisers by their controlling every field and exhibiting dominance over everyone.
AMC’s continue to offer fees from the 1990’s and want FREE revisions over and over and over.
In other words maybe…….just maybe some appraisers are fed up and have other things to worry about……like paying our bills and feeding our families.
Do you really think they will listen to us? I’d like to see some proof of all the times they have. It seems to me they are just trying to placate the mob. They only listen to the people with the money and I’m sure we can come up with all the times that’s happened.
Oh I’ll fill it out, but not going to hold my breath waiting for the outcome.
The first question left off an appropriate and very important answer. The Answer they left off “Always”
The second question did also…so I stopped doing the survey.
AP-I agree. Frankly, with only a very few exceptions, the answer SHOULD be critically important in nearly every question. The exception being 3rd party (unaffiliated with an appraiser) bifurcated-steaming-pony loaf-“appraisals”.
The other things being asked about are USPAP requirements! Of course, they are critically important in every assignment! Respectfully, I hope you will go back and complete the survey. Especially the blank comments section. Even if your response is “The only relevant answer to all or most of these questions is that these things should ALWAYS be done.”
Im suspicious of their motives. I think it is going to be used against us in some fashion so it is even more important that appraisers complete it recognizing these are required elements of USPAP (except the hybrid crap).
I am going to complete the survey, but to be honest I think it is a waste of time. I have taken other survey and written several letters and sent comments to recommend changes in USPAP and nothing really get changed. Let’s be honest, appraiser do not work for the lender, they work for the AMC. This is the major problem and until we resolve that problem it is not going to get better for the appraisers. They dictate to the appraiser what and how to complete the appraisal with up to 20 pages of instructions which are their requirements, not the lenders requirements. They require the appraiser to sign an “Engagement Letter” which is very one sided in the favor of the AMC with no protection for the appraiser and then many of them require that the completed report be submitted thru a portal that charges a fee to the appraiser for uploading. AMCs should be paying the upload fees and the lender should be paying the AMC for whatever service they receive from them. The appraisal fee should be negotiated between the appraiser and the lender without the AMC in the middle and the lender should be responsible for payment to the appraiser. If the lender chooses to use an AMC and have them review the completed appraisal report the result of their review should be forwarded to the lender along with the completed appraisal. AMCs should have no authority to request changes to the completed report, they do not sign or use the report and have no liability.
The solutions to these and other problems in the industry are simple to fix however the big money and clout of the AMCs and Lenders drown out the voices of the small independent appraisers and their best interest.
I am NO longer appraising, however it was my main support for 57 years. Sence 1992 I included an engagement letter with every assignment. The engagement was a contract citing my client, my fee, a definition of value, a right to collect any costs incurred in the defense of my opinion, and how my fee was to be collected. Very few clients objected. Most liked it because it gave them a receipt and a date. I can’t remember the MAI’s name but he was out of Tucson giving speeches about the new problems, and the new issues in defense and professionalism.
Accepting some one else’s employment contract and their fee, shifts the burden of responsibility, and enables them to blame the appraiser for all the ills of the loan process. The appraiser is not responsible for the borrower-seller-broker ingrown toenails.
ps long ago and far away I used to carry double sheet on my clipboard as a rip apart two piece receipt to give to the owner for his payment on the spot.
John, you speak through your actions. This survey is just a small step. No one will disagree amcs are a majority of the issues. The beauty of this is you control who you do business with and how you do business. If the amc model does not work for you, don’t do business with them.It really is that simple. Shift your business model away from amcs to other sources. I have been amc free for almost year and have not looked backed. Not only is my income up, I am not working nearly as long getting reports completed.
It will not happen overnight and takes some effort, but completely worth it in the end.
Already done it
Just a reminder the purpose of the survey is for qualifications to take the licensing exam. All the comments about amcs, and turn around time have absolutely nothing to do with this survey. Nor are they I even remotely associated with anything TAF has control over.
Continuing looking at the negative of everything or even speculating a negative response, how do you expect anything to move forward? This is our profession if you don’t care about it, then yes, others will take over and dictate. It will only get worse. Start being the solution and stop being the problem.
This is a public forum and you are free to comment as you wish, but do you really think presenting appraisers in this fashion is in OUR best interest?
Where you been because they already have stopped us from moving forward, so those of you who don’t see that can keep your heads in the sand if you want to. I’ll take every platform I can to air my grievances because on their designated ones they are not listening. In my opinion fighting for change put forward by Appraisers is not being part of the problem it is demanding to be involved in any solutions.
Unless you bring briefcases full of cash to the table, you can forget about any change in this industry. Money talks, and in the case of TAF and others who are making a fortune off the backs of working appraisers, it screams!
Does it really matter when the appraiser coach Dustin Harris say the following in his latest blog.
“In the end, you have three options if you are currently disliking your role as an appraiser: you can change professions, you can change the way you do business, or you can continue to be unhappy. Ultimately, complaining does little to help whatever difficult situation you find yourself in, so make a resolution now to start making different choices that lead to better results.”
Thank God the colonist who participated in the Boston Tea Party didn’t have access to his blog or podcast (3 options Dustin, really), otherwise they wouldn’t have chosen option 4 which is to fight the establishment and start a revolution.
Although I’v seen right through Dustin for years, I applaud him for his new found openness and obvious loyalty to the establishment. If you can’t beat them, then join them and don’t forget to profit off the less fortunate.
Go make up a value, and Seek the truth.
I love you!!
Just a question, but, does the TAF survey have anything to do with the GAO investigation announced in February?
Or is the GAO going to get all it’s info from the CRN?
Mike Ford is a very intelligent and a knowledgeable appraiser and is correct if you look at it from a USPAP perspective, the answer to all of the questions is “critically important”. Why would they ask any questions if they knew that the correct answer to all of them was “critically important”? I think they wanted each appraisers view of how they, each appraiser, felt about the importance of the items. Just because it is required by USPAP does not make it that important in the eyes of users of the report and that is our client and who is using the report. There are many requirements in USPAP that are not relevant to many appraisal assignments or the users of the report and that is what I believe they are looking for in this survey.
Example: If you are a residential appraiser and you are completing a report on a SFR in a tract of SFRs similar to the subject how important is it that the appraiser analyze the “Highest & Best Use” of the subject either as vacant or as improved? A simple check box is more than sufficient and no analysis is necessary. Many things in USPAP are redundant (cited in several places) and ambiguous and many pertain to only specific issues that only arise in very few appraisals and these in my view are NOT critically important in most appraisal reports that I complete. They would only be critically important if there was an issue with the property.
USPAP should only be a guide for the appraisers and not a tool for regulators to use as a “gotcha” against appraisers.
Just my opinion.
Hi John. Thank you for the every kind comments. I get the idea behind your example but just wanted to point out that is exactly what happened to 150 appraisers in Minneapolis on 450 appraisals performed in January 2020.
It is always necessary to verify that the zoning and permitted land use is what it ‘appears’ to be. We used to assume HBU, but can and should not do so. Minneapolis changed all R1; R1A and R2 zoning to allow up to three units to be built. Zoning maps still show R1; R1A and R2. SOME online city sources still described R1 as SFR however ordinance passed in October (2) 2019 ‘crossed out’ (used strikeouts in ordinance-code) to change allowed uses or ‘description’ from sfr to multi.
We ALWAYS need to verify. IF after verification (NEVER trust realist or request!!!) it still appears to be SFR and low-density sfr then its likely HBU may still be the same; but we can’t assume all of it. Still need to apply the four tests.
As an aside. The common-sense approach to USPAP is gone. The standard of compliance is only for those review appraisers that have not figured out how to sidestep SR3 and SR4.
Lenders and AMCs claim they are “admin” or “QC” reviews as if those are somehow exempted. Some (increasingly more) state regulators claim because they are ‘investigating’ that there is no review appraisal involved and they aren’t obligated to comply. (California BREA has testified to this in court).
As long as “misleading” has been redefined to include unintentional act;, and subjective non USPAP compliant perspectives (reviews) are no longer called reviews, we all need to be very careful about what is applicable and what is not. TAF has facilitated enforcement to the detriment of USPAP compliance itself.
Extremely important point brought by Mr. M. Ford:
“Lenders and AMCs claim they are “admin” or “QC” reviews as if those are somehow exempted. Some (increasingly more) state regulators claim because they are ‘investigating’ that there is no review appraisal involved and they aren’t obligated to comply. (California BREA has testified to this in court).” [M. Ford]
A few months ago, this ad from Craiglist was included in a post within the appraisersforum.com. Please note the requirements, responsibilities and the lines that state “no appraisal experience needed” and “only basic computer knowledge” required.
A “fun and professional environment!” ????????
Nobody forces appraisers to work with amc’s, they do so willingly. Escaping the amc is as simple as marketing directly to lenders and informing everyone along the way you’ve had enough and are no longer accepting amc orders. The point of using them is the lender gets to offload their required compliance costs in the distribution process to the appraiser themselves. And heck, if the appraisers continue to go for it, problem solved, keep that gravy train rolling along for another day.
I took the survey and told them I hate my job and would not wish an appraisal career on anyone for any reason under any circumstances. Not until they enforce dodd frank C&R and bring some 2 way accountability back to the process and force those ‘managing’ appraisers to have appraisal licenses themselves. You don’t even learn a tenth of what you’ll really deal with in appraisal class. And you won’t find that out with occupational training from the lackeys whom work for amc’s either.
WOW! All this time we thought they were $15 an hour former Taco Bell employees. This indicates they would be overqualified. Thanks Julio!
It won’t be long before amc’s are like, can you just sign off on this for us, it’s all filled out and ready to go for you. If we lose the 1004 form and move to something like turbo tax as suggested, it’s going to get much worse, not better.
Who knew hypochondria was going to be this trendy? Of all the things. Now closet hypochondriacs are everywhere, and they’re out and loud and proud to be afraid of the world and their fellow man, fearful of everyday germs, and finally, they can share their internalized fears with those around them without shame. But they’re doing it wrong, or they would not have dared to step out their front door in the first place. Ameture wannabe hypochondriacs is a better description for what’s happening. Germs! OMG, the Germs! They’re everywhere! There is no escape! Fear, fear for your lives! I’d better swing by the grocery and hardware store for some comfort purchases and bring those items sourced from contaminated places directly into my home. That ought to help. Meme’s forthcoming. We’re still on planet earth right, or did I miss something?
In California the legislators suggest reviewing the planing and the zoning every ten years. Counties and the cities both give serious thought, therefore high set and best use has some limits. Riverside county has two kinds of zoning; that which may be in the near future and the current zoning. Many governments HAVE given their council members the opportunity to influence zoning, for the constituents, the developers, or the community pleasure???
The practicing appraisers can and will prepare study’s of the contracts and the probabilities of changing zoning. Some neighborhoods aren’t powerless in keeping free from the cities rules and do contract that having over site of some adjacent city zoning
General Plan’s Housing elements are required to be updated every five (5) years. Regardless though, local developer projects and ongoing development cause individual zoning changes all the time. It’s an ongoing process.
We see it most often on the residential side as zone changes to facilitate higher density development in older lower density zones. It can be a citywide ordinance such as Los Angeles TOC zone amendments (transit oriented corridors), or it can be ‘reinterpretation of existing zones to expand (or curtail) development opportunities.
It can even be in the form of a development moratorium which eliminates all prior allowed users and reduces then to sfr. City of Malibu did this when they incorporated it. 20-acre land subdivision projects with 10 to 20 proposed units became sfr sites overnight.
Point is we have to check every single time. Consider that when you quote your fees.
Terrible wars over the ocean front among all parties. The foothills Cities also had zoning wars. The National builders group provided some serious monies and time. Cites and County councilmen lost a LLoott of political power.
Do you think “Newsome”, our governor has-will improve political situations.
One of our many time serving governors sought to provide the older with housing, Remember the “Mother-in-law house” The cities had their own interpretation and more regulations are still changing those well intended benefits