Many Mortgage Lenders are Seeking Appraiser Coordinators!

The appraiser coordinator position has been around for a while but I am seeing more job openings for them.  I have also seen a few ads for appraisal reviewers and those do require experience.  I wouldn't have a problem with the coordinator having little experience as long as I could have access to a reviewer if there's a problem with the appraisal itself.  From what I understand though, access is often difficult to obtain particularly with appraisal management companies.

I had a discussion with an owner of an AMC yesterday and we were both trying to determine whether or not she could carry an appraiser's license and be the owner of an AMC while following the HVCC guidelines.  We were both stumped.  She had done a lot of homework on it... calling AI, Lending and Securities in DC... and anyone who might be an expert.  No one had answers for her.  It makes it clear that things are still very clear with HVCC ... and if this 'simple' question can't be answered, these lenders will not be looking for licensed appraisal professionals for these positions.

I don't see any reason she couldn't be an owner, however on each individual appraisal she would have to adhere to USPAP particularly with regard to reviewing appraisals.   Obviously she shouldn't review any appraisals in states she isn't licensed in and that's just the tip of the iceberg. 

As far as following HVCC. she shouldn't be performing any appraisals for any business that comes into the AMC.  It seems obvious to me-if she performed appraisals, there would be no "protective layer" which is the whole purpose of HVCC.  With all due respect, I think the owner of the AMC needs to think about the intent of USPAP and HVCC and not look for ways around it.  

Sadly, it does seem like every change that comes along provides opportunity to everyone except the licensed appraiser.  It's a difficult part of being an appraiser but it's necessary to maintain objectivity.

We shall see-something tells me that some mortgage brokers will still be trying to control the process.  Supposedly a call center of some sort will be set up (as part of HVCC agreement) to report violations like value pressure etc.  I'm not holding my breath on that one though. 

James, my guess is that they do not want to pay the kind of salary that would attract a real appraiser.  They are viewing it as clerical - something that can be done by a kid making a bit more than minimum wage.

Dear James,

I had a transaction this fall that was filtered through a coordinating company. The appraiser was paid $195. The charge on the HUD-1 was $350. Wonder who got the balance?

James, please let other appraisers know that agents can be their biggest allies!

Barbara

Most AMCs have an review appraiser on staff.  That doesn't mean an appraiser will have the opportunity to speak with them though. 

If mortgage brokers want to help get rid of HVCC they can refuse to use bank lenders that insist on using AMCs. 

Bank lenders are not required to use a third party (only morgage brokers) and yet they have already adopted this practice and EARLY at that.  I wonder why this is?  Follow the dollar signs....

The larger banks have all been moving to AMC's because it is easier.  They pay the same fees they normally would and they do not have to have any reviewers on staff (most of them dont, I think WAMU still does though) because they work out their guidelines and due dates prior to and the AMCs handle the rest....

I am curious as to what will happen in this industry now the HVCC is a reality and the deadline is approaching fast.  Will there be more appraisers entering the field, or less....

I cant see sustaining this pace and these fees for high quality work.  But I dont know.  When the market comes back and appraisers arent scrambling for work, maybe we will all demand to get a higher cut of the fee.  I certainly hope so! 

Lord help us, I see a layer of 'coordinators' much like the asset managers we have to deal with now to get anything done on REO. I have a mental picture of a bunch of cubicles overflowing with paper & with some poor overworked clerks at the bottom of the pile.

I had a brief stint as an asset manager a couple of years ago.  Sounds about right!