Cash for Caulker's?? This Spending is OUT OF Control! 12.17.09
The road to HVCC continues. Zillow has new toys for us. Cash for caulker's? You have got to be kidding us! New FNMA HAMP guidelines. GFE and SAFE Act webinars.
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BoKnowsClosings-again, NOT appraisals: (December 18, 2009 6:34am)
ILL App., dude, relax! Don't take my 1 comment on 'lowball' out of context. You (and probably most others on this forum) are not the problem-it's the low-cost providers and AMC's(as referenced in this thread) who don't know what they are doing and spit out a lowball value because of that. That's what I am referencing. (again, your industry, not mine so I don't claim to know all about it--but look at the thread to see complaints about exactly what I said, more or less)
Ed: (December 18, 2009 6:05am)
HVCC is not a House Bill, it's an idea from Cuomo! The House has NOTHING to do with it.
The do-nothing Congress will continue to do-nothing.
Rick R: (December 17, 2009 5:58pm)
CornerstoneKathy, Yes, I could not be more sincere. If we could get the reactionaries to step back and let the agencies that are already in place make measured appropriate adjustments in light of our experiences in the last few years we could come up with the solutions like the ones that you proposed. Any solution to a problem can have unintended consequences and unfortunately the politicians don't have to suffer from the problems that they create. Keep the faith and keep fighting . thank you to everyone that commented today.
CornerstoneKathy: (December 17, 2009 5:21pm)
Hey TAC ..know what they call they guy with all D's in medical school......DOCTOR
CornerstoneKathy: (December 17, 2009 5:19pm)
Rick R I just want to make sure that your words were sincere.. I am as honest and ethical appraiser and realtor as I can be..I do a good job for the buyers because I want repeat business..just like when I USED to go to a house for an appraisal and it had no kitchen I would call the LO to say we have an issue..not everything is about a buck..the things I have done in my career for free have brought me more business than any season tickets to an LO could possibly bring. There are LOTS of good honest people in our industry..but when you brush a very broad stroke things can look corrupt. Fact is when you eliminate competition and govern compensation..we all lose..I fight every day..knowing I am also fighting for the bad guy and the guy who doesnt fight at all..
TAC: (December 17, 2009 3:49pm)
Thank you joe CO.
I hear or see "low ball appraisals" and want to get into a fight. It is people like this that passed through their education system in high school with C's and are what is embarrassing to my industry. It is like they do not have a conscious and can sleep when they screw over the banking system and more importantly the public consumer. They are whores and they ARE STILL OUT THERE
Rick R: (December 17, 2009 3:45pm)
Well everyone has a different perspective that is for sure. I have been a Realtor, Appraiser and Mortgage Broker over the last 20 years. I know that we always are biased based on our perspective. Thank God you self righteous appraisers know more than the discretionary buyers that are paying your fee(protect them from their ignorance). Maybe we should just put all of the appraisers on the government payroll so that you will be above corruption that seem to work in all other cases. Live Free or vote Dem.
joecolorado: (December 17, 2009 3:43pm)
Venting good........but bitchin bad.....g'night everyone, I have had enough today, need to leave some for tomorrow.
joecolorado: (December 17, 2009 3:40pm)
there's the rub, people immediately assume 'cos the figure doesnt hit what they want or "need", its the appraiser's fault.We are however there to ensure that the guy with the money doesnt invest in a product that is overpriced and/or under secured.I also make sure that the borrower is safe in that same premise that S/He isnt overpaying for a home that they REALLY REALLY want.The figure I give them could also be used as a bargaining tool, which could be used to discuss in the negotiation if they still REALLY REALLY want that home, whether thats the purpose of the appraisal or not.Amazing multiple uses for one small fee,AND its insured.AND its abused,AND its a point of contention when someone else who does not get an appraisal on the property bitches about the figure,'tho they may as well have asked the milkman what his view on the value should be,as it holds just about as much water.
TAC: (December 17, 2009 3:35pm)
TO ALL MORTGAGE BROKERS LENDERS BANKERS .. YOU ALL NEED TO BE REQUIRED TO TAKE EDUCATION TO BECOME KNOWLEDGEABLE AS TO WHAT APPRAISERS are REQUIRED TO ADHERE TO. PERIOD. SO QUIT YOUR WHINING. YOU GUYS spend a weekend in class & get a title "SENIOR LOAN OFFICER" I think you are SENIOR CROOKS! You make used car sales man look like kindergardeners.
TAC: (December 17, 2009 3:34pm)
Well. It appears as though I stuck some nerves on Commissions. MORTGAGE MAN: I don't buy the cheeseburger concept a single bit. I've turned down 10 requests to each 1 I have accepted do to the suspicion that the broker (and BANK!!) are pawning off the mortgage to the secondary mkt ... that they a SHOVING a deal down the consumers throat. AS far as the comment by another post that oh!! "I FEEL BAD THAT THE CUSTOMER SPENT a whole $425 to find out the REAL value of their DREAM HOME" Well Odds are that they are overpaying and getting screwed in the deal. Maybe they are looking for something that really cannot afford or they are being ripped off by all the so called professionals involved (the later is often the case; i guarantee it!) ...
joecolorado: (December 17, 2009 3:32pm)
Ill-now, now, now, dont get all het up 'cos there is confusion in the ranks....They just have not been taught what the difference actually is, whereas we have,and for goodness sake dont go anywhere near explaining the difference between cost,value and price, the ensuing muddle will be horrible.brains will be overworked everywhere.BUT when the proverbial hits the fan its amazing how quick the appraisers name gets brought into the forefront of the picture(probably because of insurance)There is no one there to back him/her up at that point.....but the fingers sure get pointed in our direction quick enough, my philosophy works wonders here...If you need an inflated appraisal, go somwhere else.I will give you a good figure, supported by the market and I will stand behind that figure AND I will back you up if necessary, based on that defensible figure, my expertise, my honesty and my integrity.will you do the same for me?
ILL Appraiser: (December 17, 2009 3:23pm)
BoKnows-What do you mean "lowball"? If you mean opining a value lower than the sales price, most appraisers I know go out of their way to support a sales price but if the value is not there, it is not there. I have found that it takes more energy and time, not to mention grief, to prove a lower value than "hitting a mark." As for refinancing, I'm not even going to go into the whole "let's up the value 10% so we can.....(fill in the blank). All parties involved in the transaction need to learn the definition of market value, that's what appraisers estimate, and then a brighter lightbulb will illuminate. Market value, contrary to common belief is NOT the sales price, NOT the list price, NOT what one person is willing to pay because they like the view or the property is next to the park. Market value is what SEVERAL knowledgeable, well informed, people might pay for a property with cash or an equivalent that has been offered on the market for a reasonable length of time.
Frank Garay: (December 17, 2009 2:27pm)
DCS - If you mean the video on the MRev page.. I"m not sure.. sorry. Maybe Mark Green knows.. I think you can link to him from the MRev page.
DCS: (December 17, 2009 2:10pm)
Frank: you and Brian are doing a fine job. Keep up the great work. On a social note, who is the artist performing the backround music on the Mortgage Revolution video?
BoKnowsClosings: (December 17, 2009 2:02pm)
for once someone answered my question! lightbulb moment... Okay, I can see the reason for not having an interest in the transaction closing but I just hate seeing everyone else work their collective a$$e$ off only to have a deal trashed by a lowball appraisal (or a borrower with cold feet, or a silly inspection issue, or a silly underwriter q, clash of egos, earthquakes, locusts, etc. etc. etc.) My 2 cents as always
Frank Garay: (December 17, 2009 1:59pm)
BoKnows... it's supposed to be because they are not "part of the transaction". They don't get paid commission, just a fee for an opinion. Really... that's how it's supposed to be. No?
BoKnowsClosings: (December 17, 2009 1:57pm)
Here we go again pissing off the appraisers: So why do y'all get paid first? NO ONE ELSE gets paid until closing-LO, Realtor, Title Abstractor Attorney, etc. Why do appraisers get paid?
joecolorado: (December 17, 2009 1:43pm)
Jk-thats not true at wal mart you bend over just as much but they give you a little badge and a blue vest and they make you smile while they are doing it.....but I agree wholeheartedly with your sentiment, I just didnt have the nads to tell it like it is earlier on in the string.....
JK: (December 17, 2009 1:36pm)
I meant box not bock below, I am working too hard. Well looks like I may have some vacation time coming in Jan. For the guy that said he didn't care if he had to do appraisals for $150 as long as he got some work @#%$@@!!!! Go work at Walmart, you will make the same amount of money, maybe get paid benifits, get a little blue vest, and not have the hassel of our industry =) You are part of the reason the AMC are trying to screw us all!!!! At least at walmart you can stop bending over!
Frank Garay: (December 17, 2009 1:30pm)
I'm kicking it in Live Chat for a while if anyone cares to join.
Frank Garay: (December 17, 2009 1:28pm)
JK - at the bottom of any email you can "unsubscribe" from the thread..
JK: (December 17, 2009 1:28pm)
How do I stop all the emails that are coming. I hope this will work. Never check the bock below if you don't want 15m emails of opinion you don't really five a rats a-- about
JK: (December 17, 2009 1:28pm)
How do I stop all the emails that are coming. I hope this will work. Never check the bock below if you don't want 15m emails of opinion you don't really five a rats a-- about
JK: (December 17, 2009 1:28pm)
How do I stop all the emails that are coming. I hope this will work. Never check the bock below if you don't want 15m emails of opinion you don't really five a rats a-- about
Frank Garay: (December 17, 2009 1:27pm)
Really not sure how FHA will pan out. FHA says the appraiser has to get paid properly and the appraisal must be portable.. so we'll see I guess.
k: (December 17, 2009 1:24pm)
Jan 1st starts HVCC for FHA do you think it will be revised before that nd will be the sames rules as conforming
k: (December 17, 2009 1:24pm)
Jan 1st starts HVCC for FHA do you think it will be revised before that nd will be the sames rules as conforming
k: (December 17, 2009 1:24pm)
Jan 1st starts HVCC for FHA do you think it will be revised before that nd will be the sames rules as conforming
joecolorado: (December 17, 2009 1:18pm)
Now look what the latest is.. Two professional groups of lenders have sent a letter to Congress calling for changes in the upcoming financial reform bills, arguing that AMC regulation should be should be overseen by states' bank regulatory agencies, not appraisal boards, which are described as "dysfunctional" in the letter. WTF...now the appraisal boards are incompetent...how far will it go?
Rick R: (December 17, 2009 1:13pm)
ILL Appraiser, Yes I have a that is a good point. We should all be able to work with the professionals that we like to work with and when someone tries to strong arm you you should drop them and turn them in if it rises to the level of illegal. I have always guaranteed my appraisers their pay and have never dictated value but now I am treated as if I had bad intentions.
ILL Appraiser: (December 17, 2009 1:01pm)
Rick R-Have you heard about those deals where the appraisers only get paid if it closes? Seems that the powers that be decided if an appraiser wants to get more work from them they should waive their fee if the deal doesn't close. Sure the appraiser can file a complaint to get paid but if they do they can say "bye bye" to that source of income. Go figure. The same thing can happen if they complain about getting paid in a timely manner, threaten, or involve a collection agency or the courts. Been there...
SunDiegoAppr: (December 17, 2009 12:52pm)
Slim Shady, it is obvious you are drinking the Kool Aid or you would not have forgotten "Tort Reform" but then again there would not be Dems in office if wasn't for the donations of trial lawyers who jack the costs up by getting insane judgments and their insane fees. The answer to replace HVCC is a REVIEWS, not third party AMC's dipping into the money and time waisted in the process. Let quality knowledgeable appraisers get the job done and review them!
MMN: (December 17, 2009 12:47pm)
Sorry, I meant, "when I got the appraisAL"
MMN: (December 17, 2009 12:45pm)
Here's another example why HVCC should end. I ordered an FHA appraisal in an area about 1 hour south of me. Took me awhile to find an appraiser that was certified. When I got the appraiser, the guy had the WRONG COUNTY on the appraisal and the borrowers names spelled wrong. So I called him up and told him what was wrong. He fixed it on a couple of hours. Had this appraisal gone through HVCC I'd still be working on getting it fixed!
Rick R: (December 17, 2009 12:41pm)
don't forget that the Realtors only get paid when the deal closes unlike some (appraisers) in the transaction. CornerstoneKathy, I love the simplicity and common sense that the rest of your statement made.
joecolorado: (December 17, 2009 11:59am)
Ezr-actually they both fall under a category of a union as they are a united coalition or a whole resulting from combination of parts or members working under their own set of rules or regulations.They are not a trade union as they dont encompass ALL appraisers no matter what particular affiliation, but they are unions.
LivingInDC: (December 17, 2009 11:57am)
Brian... there is no such thing as a "hot water heater".. if the water is hot, it does not need to be heated. It is a water heater... :)
CornerstoneKathy: (December 17, 2009 11:44am)
I vote for a Fannie Mae list of approved appraisers. Get a website to list all of the approved appraisers and place the orders online. No contact. Narrow down the area in which a single appraiser can cover to guarantee geographic competency. Fannie Mae CE courses to stay approved. PS how can any realtor buyers agent really and truly be working for a buyer when their commission grows if the buyer pays more? Realtors are the sacred cow but this storm will come to them too but at least NAR can rally the troops for them.
Ezradams: (December 17, 2009 11:41am)
Joe Colorado: The Institute and ASA are not unions....you are correct, however, in the statement that they are only advocating for their own members. The Guild represents ALL appraisers.
Ezradams: (December 17, 2009 11:38am)
There is an appraisal union and it's working in New Jersey. (American Guild of Appraisers) We already have a solid core of members and have an agenda to fight AMC's, BPO's, HVCC, as well as other points of interest for appraisers. This is the ONLY organization fighting for our rights and independence!
joecolorado: (December 17, 2009 11:37am)
Union-What on earth do you think AI and ASA are?They are unions, promoting their own standards and protecting their own appraisers.The only thing other than that a union does is fix/negotiate fees.I am not advocating fixing the fee I am advocating that appraisers get a set of nads and realize what they are worth before prostituting themselves out for a buck.I am appraiser and have been since I was 20 and I am 57 next month.I KNOW what my worth is and I dont work for anything less, unless it is a special interest group, but even with low income or disadvantaged persons I still know my worth as I put my fee into the invoice but discount it the full amount.I dont get any tax relief for it Ijust get a feel good card that day.amc's dont allow that,the appraisal has to be submitted with NO FEE INVOICE........... I wonder why?
Slim Shady: (December 17, 2009 11:20am)
Hey Public; could you please repeat that!
Publius: (December 17, 2009 11:03am)
HEY GUYS!
Notice the one group whose ox hasn't been gored by this so-called mortgage crisis? Give you a hint---Think "BIG R" You guessed it -- the REALTORS! None of you have ever been pressured by those guys to "cut some corners" so they could make their 6%--or more! Funny! Haven't heard any talk about legislating lower commissions! Yet--that's the single biggest cost that the buyer pays! Far more than what even the most agressive broker is able to charge. Have a clue why? Think NAR. The National Association of Realtors is one of the most powerful and effective lobbying machines, not only in Washington, but also in most state houses as well.
Guys--we need that kind of national and local clout. We need to combine forces, brokers, bankers and bank employees to make sure that we aren't the whipping boy for all of the real predators.
Publius: (December 17, 2009 11:02am)
HEY GUYS!
Notice the one group whose ox hasn't been gored by this so-called mortgage crisis? Give you a hint---Think "BIG R" You guessed it -- the REALTORS! None of you have ever been pressured by those guys to "cut some corners" so they could make their 6%--or more! Funny! Haven't heard any talk about legislating lower commissions! Yet--that's the single biggest cost that the buyer pays! Far more than what even the most agressive broker is able to charge. Have a clue why? Think NAR. The National Association of Realtors is one of the most powerful and effective lobbying machines, not only in Washington, but also in most state houses as well.
Guys--we need that kind of national and local clout. We need to combine forces, brokers, bankers and bank employees to make sure that we aren't the whipping boy for all of the real predators.
Publius: (December 17, 2009 11:02am)
HEY GUYS!
Notice the one group whose ox hasn't been gored by this so-called mortgage crisis? Give you a hint---Think "BIG R" You guessed it -- the REALTORS! None of you have ever been pressured by those guys to "cut some corners" so they could make their 6%--or more! Funny! Haven't heard any talk about legislating lower commissions! Yet--that's the single biggest cost that the buyer pays! Far more than what even the most agressive broker is able to charge. Have a clue why? Think NAR. The National Association of Realtors is one of the most powerful and effective lobbying machines, not only in Washington, but also in most state houses as well.
Guys--we need that kind of national and local clout. We need to combine forces, brokers, bankers and bank employees to make sure that we aren't the whipping boy for all of the real predators.
Publius: (December 17, 2009 11:02am)
HEY GUYS!
Notice the one group whose ox hasn't been gored by this so-called mortgage crisis? Give you a hint---Think "BIG R" You guessed it -- the REALTORS! None of you have ever been pressured by those guys to "cut some corners" so they could make their 6%--or more! Funny! Haven't heard any talk about legislating lower commissions! Yet--that's the single biggest cost that the buyer pays! Far more than what even the most agressive broker is able to charge. Have a clue why? Think NAR. The National Association of Realtors is one of the most powerful and effective lobbying machines, not only in Washington, but also in most state houses as well.
Guys--we need that kind of national and local clout. We need to combine forces, brokers, bankers and bank employees to make sure that we aren't the whipping boy for all of the real predators.
Publius: (December 17, 2009 11:02am)
HEY GUYS!
Notice the one group whose ox hasn't been gored by this so-called mortgage crisis? Give you a hint---Think "BIG R" You guessed it -- the REALTORS! None of you have ever been pressured by those guys to "cut some corners" so they could make their 6%--or more! Funny! Haven't heard any talk about legislating lower commissions! Yet--that's the single biggest cost that the buyer pays! Far more than what even the most agressive broker is able to charge. Have a clue why? Think NAR. The National Association of Realtors is one of the most powerful and effective lobbying machines, not only in Washington, but also in most state houses as well.
Guys--we need that kind of national and local clout. We need to combine forces, brokers, bankers and bank employees to make sure that we aren't the whipping boy for all of the real predators.
Publius: (December 17, 2009 11:02am)
HEY GUYS!
Notice the one group whose ox hasn't been gored by this so-called mortgage crisis? Give you a hint---Think "BIG R" You guessed it -- the REALTORS! None of you have ever been pressured by those guys to "cut some corners" so they could make their 6%--or more! Funny! Haven't heard any talk about legislating lower commissions! Yet--that's the single biggest cost that the buyer pays! Far more than what even the most agressive broker is able to charge. Have a clue why? Think NAR. The National Association of Realtors is one of the most powerful and effective lobbying machines, not only in Washington, but also in most state houses as well.
Guys--we need that kind of national and local clout. We need to combine forces, brokers, bankers and bank employees to make sure that we aren't the whipping boy for all of the real predators.
No Spin: Just the Facts: (December 17, 2009 10:33am)
http://www.zoominfo.com/people/Davidson_Edward_38972848.aspx
No Spin: Just the Facts: (December 17, 2009 10:32am)
http://activerain.com/blogsview/1341278/hvcc-the-smoking-gun-corruption-at-the-expense-of-ethical-appraisers-
No Spin: Just the Facts: (December 17, 2009 10:26am)
If you want to understand why Cuomo came up with HVCC which empowered the exact entities he was accusing of manipulating appraisals (AMC's-- eAppraiseit and Banks--WAMU)take a look at this website:
http://activerain.com/blogsview/1341278/hvcc-the-smoking-gun-corruption-at-the-expense-of-ethical-appraisers-
This explains Cuomo's illogical HVCC. Cuomo was attempting to weaken the largest competitor and empowering his largest political contributor and CEO/Owner of AMCO (yes an appraisal management company which Cuomo was a paid Board member).
Here is background on Cuomo's political war chest contributor Edward Davidson:
http://www.zoominfo.com/people/Davidson_Edward_38972848.aspx
Get to work gang on exposing Cuomo for being yet another Eliot Spitzer style NY attorney general. HVCC was pure political scandal being ready for public exposer, Eliot Spitzer style. Cuomo was very much compromised to be pushing the dysfunctional HVCC.
Slim Shady: (December 17, 2009 10:15am)
Problem is Obama is probably right. Who would be lending any money right now anywhere if BOFA, Wells Fargo, Chase and AIG had gone under. The Chinese would be buying up homes here at a nickel on the dollar, un-employment would be in the 25% range minimum and that's a rosey assesment based on economics from both parties! Insurance companies have been sqeezing the public dry for years with no let up in site pushing medicare and medicade costs to un-imagined heights and where's all the angst over that? The insurance industry has always been a social disaster through the disguise of free enterprise since it has a controled captive audience that cannot pull away without dieing. Not to mention the cost of all the people who have no health care who get medical help anyway. While Obama's program isn't perfect it beats the hell out of all the recteric non-solution ideas I've heard so far! Unless of course going bankrupt is the perfect solution. Have a happy day!
ThePhoenix: (December 17, 2009 10:08am)
Interesting on the FNMA guidelines for tax returns. They only want the most recent tax return or 4506 for the recent tax return. Why is it that most servicers are asking for 3 years tax returns and a 4506 that encompasses the last 3 years??? Simple, they are going beyond looking to assist the borrower and are looking for fraud (remember liar loans) and if the info does not match the original 1003, they file a SAR with www.fincen.gov. Most recent tax return is reasonable... anymore than that, doing their loan mod may be a very bad idea. Remember lying on a 1003 is fraud... fraud is not dischargable in a bankruptcy... don't be stupid and supply them the information, they only get it from you.
gheinz: (December 17, 2009 9:51am)
Why can't brokers forma credit union instead of getting beat-up the way we have bee. Hmm banks and credit unions play by different rules and we could remove money from the likes of BOA and others that abused tarp and the public. It would make a statement. I had this suggestion years ago and my local mortgage brokers association siad I was paranoid. Who's the NOID now?
gheinz: (December 17, 2009 9:51am)
Why can't brokers forma credit union instead of getting beat-up the way we have bee. Hmm banks and credit unions play by different rules and we could remove money from the likes of BOA and others that abused tarp and the public. It would make a statement. I had this suggestion years ago and my local mortgage brokers association siad I was paranoid. Who's the NOID now?
Golden Eagles: (December 17, 2009 9:45am)
"He who takes from Peter to pay Paul gains the Favor of Paul and the Wrath of Peter" You guys just don't get it! All these laws: HVCC, MDIA, RESPA, National Mortgage Licensing Laws, Global
Warming, unfettered outsourcing and illegal immigration; are designed to take all or part of your earnings and give it to others that have paid off, excuse me, contributed to politicians and through their lobbyists,to: Namely the 5 big banks and wall street, in this case. Now "Legislators are eyeing State-Run Title Insurance Fund", Dec 2009 Origination News, page 12, Yes, it is another New Pork State grab of the 1.2 billion in annual premiums "2007".Look all this is unconstitutional and needs to be challenged in the courts. RICO statues, Anti-trust, Restraint of Trade/Commerce across state lines. It will not stop until Class Action law suits are filled in tandem with a Large Public Relations Firm letting consumers know how they are getting screwed. "When they came for....no one was left" Santiana
Midwest Appraiser: (December 17, 2009 9:43am)
Union where does it say appraisers are forbidden to form unions?
BIG AL: (December 17, 2009 9:33am)
17 years of Appraising. Appraiser vs Zillow! Appraiser wins everytime. Will the last appraiser please shut the door.
****UNION OR DIE****: (December 17, 2009 9:30am)
joecolorado- It sounds like you are talking about a union. As you know appraisers are forbiden to form unions. If we banded together as a union we would actually be able to fight the appraisal institute and our licensing boards and they don't want that. It is easier to fight an individual appraiser in their eyes. That being said, what type of dues do I need to send in order to join the union. I am all for it.
BIG AL: (December 17, 2009 9:28am)
Bottom line, Congress sucks, AI sucks and Coumo sucks! I'm slowly losing my business and house because I can't make enough to pay bills. I don't know how long I can last. It just keeps getting worse.
sher: (December 17, 2009 9:24am)
I love you guys. I look forward to your emails every day. I agree with almost everything you talk about. Keep up the good work. We need locals to appraise these homes not some computer in who knows where.
dxi14: (December 17, 2009 9:19am)
Problem with bank owned properties. Sellers are imposing the qualification through them in order to place offer. With market conditions, Realtors are placing 10 offers before one gets accepted. That's a possibility of 3-5 extra credit pulls due to the seller's imposing rule. Does that protect my buyers, the consumer? No ficos are driven down, less privacy on their data, etc! Can we try to stop that?
Hussein Obama! You sure pulled the wool there!: (December 17, 2009 9:14am)
Hussein Obama!! kinda got a nasty ring to it if you ask me!! He just paid off members of congress $480 billion to buy their votes for the health care bill! no pork and no more earmarks and full transparency were his campaign mantras..what a pile of horse manure. Now he says if we dont get a health care bill opassed it will bankrupt the federal govt (he said on 60 minutes on sunday)..he said that about the $780 billion stimulus bill too. Seriously a god damn district manager at Mc Donalds has more business experience than this guy, and quite frankly at this stage Lindsey Lohan has more class than him. Everyone thought how the hell did we get stuck with and suckered and hoodwinked by George 'W"..you have no idea where this community organizer is taking this country..wake up and smell the roses..becuase he is dismantling our industry before our eyes and we cant do crap about it.
ACE APPRAISER: (December 17, 2009 9:13am)
Frank, I'm confused. What does the uderwriter do? I thought they were suppose to follow up on the appraisal that was submitted and ensure it is correct or at least close. Any appraiser has several ways to follow up and make sure the value is close. Doesn't an uderwriter have the same tools? Thanks,
joecolorado: (December 17, 2009 8:55am)
Slim, then AI needs to inform the people out there representing THEM that they are lecturing with the wrong information, because this is not the first time i have heard this and I am a senior member of the ASA.The ASA are just as bad, the model they are trying to emulate is the european model where NO ONE other than designated designated appraisers get to do an aappraisal which keeps the standard really high, but cuts out anyone that doesnt have a degree in appraising.If you extrapolate there soon wont be any new appraisers as there are a lot of other jobs out there that may not pay as well,but that dont entail as much legislation, responsibility or oversight as appraising.And you are correct, we need to act quickly as a unit to fight these penalties that are aimed at appraisers.
Deedie: (December 17, 2009 8:54am)
Bob: (December 17, 2009 6:19am). Bob I just completed appraisal on a distressed, estate sale with vultures with three heirs. You know the best comes out in people die and how they come together and support each other. One agave her 3rd interest in the property to another, he now has stake in 2/3s. So now the family hates each other and just wants to dump the property wich has had 3 appraisals done in the last month (mine included) contract $168,000 - estimated value from 3 different appraisers over $200,000. Buyer has had to pay for 3 appraisals. Granted 2 came out of there market area, one did not like the area, (North Brevard County Florida - orange groves, manufactured homes, boondocks, horse & redneck country, no offense I am a redneck) She was a city girl) anyway the 3 appraisals came in over the contract price and there be it, consumer pays for 3 appraisals. Consumer friendly? Funny!!!!!!!!!(mine finally passed)
kc: (December 17, 2009 8:52am)
Jan 1st starts HVCC for FHA do you think it will be revised before that
Slim Shady: (December 17, 2009 8:46am)
Joe; AI's official position, based on what's in print, is they recommend the most difficult appraisals be completed by a state certified, designated appraiser. It does not spell out the designation, probably because the letter is signed by several orginizations. However, I would imagine an SRA or MAI conducting a seminar would most likely say it differently. In any event, based on what I have read, I believe they are actually working for every appraiser in general and I applaud them for it. I have always believed in an open market and that appraisers and mortgage brokers can work together. I would be the last one to say mortgage brokers make too much money especially after what has happened to appraisers over the past 6 months. However; we better come up with a common voice before they turn on the mute button.
Florida Realtor: (December 17, 2009 8:43am)
If they want seperation between the lenders and the apprasier why do they let the banks own AMC's?
GODLIKE: (December 17, 2009 8:42am)
Frank well 30+ years ago when I started when we got one of those dud FHA appraisers (it's funny we never got a dud VA appraiser cause they held the appraisers more accountable) we simply didn't let them into the property. They sent the order back in and we place another order and got a good appraiser. Ya gotta know how to work the system! And with that said the bad guys will work any system you put into place. You can't get rid of them.
Central Valley: (December 17, 2009 8:34am)
Slim Shady - Unfortunately I think you have a point. I spoke with a Representative from Freddie a while back and was told that even if HVCC was overturned in the House/Senate that they would incorporate it in there guidelines and thus still enforce it! According to them, it is working great as they are getting less phone calls from appraisers complaining about "lender influence". Oh and by the way, the only appraisals they are looking at are those whose values are over their AVM. The ones that are under, they can care less as they feel that they are less riskey.....
joecolorado: (December 17, 2009 8:26am)
Appraiser in CA-YOU are the problem. you are accepting work from an amc that is gouging the consumer and taking advantage of you and you are letting them do it...However if you consider yourself worth $150 for an appraisal then I am wrong. JUST SAY NO..means just that...SAY NO when the fees are ridiculously low.There will aloways be other ways and means of working, just adapt your work model to suit your worth.I do and I was woried about losing a client with several investors, but I dont work for anything less than I am worth.
joecolorado: (December 17, 2009 8:22am)
Slim- I wasa t a seminar on Monday where the guest a member of AI and RICS(england) advocated HVCC and also was spouting rubbish about making ALL appraisals be commissioned to designated appraisers that are members of an association!that would have eliminated 80% of his audience from doing any work....and NO one in the audience said one word.I dont have an issue with that as I am designated,but to advocate cutting out non designated appraisers tells me that the AI are in it for themselves and dont give a hooha about ANY other appraiser.
bill: (December 17, 2009 8:14am)
One problem is that there is no incentive for the appraiser to do a good job. the lower he appraises the house the less work he will have to do in justification/exlanation to underwriters. With low $ the appraisers get for each house, the must play a numbers game.
Slim Shady: (December 17, 2009 8:11am)
To many of the opinions on this forum are old hat, solve nothing, and are counter productive. Some form of HVCC is here to stay and no amount of moaning, groaning, complaining and calling Coumo or anyone else a #@#%@#$ will make it go away! The bill currently in Congress is the best beginning possible at this point and should be receiving more support since if it does not pass it will be a long long time before another one will even be considered. FNMA, Freddy, FHA, etc have all come out and stated they believe HVCC is WORKING and since they are the ones utilizing it their opinion or point of fact carries the most weight, period! I do find it interesting that AI, NAIFA, ASA, etc have sent a joint letter to Congress recommending that mortgage brokers be allowed to order appraisals again since the new SAFE ACT that has been passed would prevent most of the problems associated with brokers orders in the past. The train has left the station so let's get on board before we get left behind.
joecolorado: (December 17, 2009 8:07am)
Anonymous.....look at the amount of work the appraiser did to get it to THAT point...time is money and this fiasco is not helping anyone
NWIndiana: (December 17, 2009 8:05am)
broker turned, thats the worst solution Ive hear yet. That only works for lazy old-timers like yourself that have over ten years experience. You know who decides if your comepetent or not, the state, so why should the amc's increase licensure time to work. Nobody will work as an apprentice for ten years, the time put in is enough. I have been working for 8 years licensed, cant afford to take 2 years off so you can fatten your retirement fund. All professionals begin working when their acredited state tells them its ok, this would include appraisers. As far as local only I agree with midwest. Whos to say your competent or not, let the work prove it - under review by another appraiser, not a commisioned LO or RE agent. If you live in city "A" and appraise their for ten years, then move to city "B" 1000 miles away, does that mean you incompetent the very day you move? I dont think so. As far as Im concerned, its up to you to decide where you are competent at. But never for $175.
Frank Garay: (December 17, 2009 8:00am)
23 years ago when I got started, VA and FHA appraisals we ordered through VA and FHA. Sometimes you got a dud appraiser and you knew who they were. You still got to meet them with comps and your data, and overall... it was fine. I too think those models should be considered...
Frank: (December 17, 2009 7:57am)
Yeah CW, that's our goal, reporting rumors. Oh wait... NAMB telling us the amendment is there is a fact, so... wow, this is confusing.
BoKnowsClosings (Not Appraisals): (December 17, 2009 7:57am)
Ha! Far too true (though I have seen some 'thin air' comps as well, which is why they over-regulated your industry in the first place). I guess I wasn't clear and/or it takes local knowledge to know what 'across the street' meant. Bottom line, the comps across Peachtree Road weren't even close to the homes on Club Drive. The appraiser was so off it was crazy (and all b/c he was a low-cost provider who was not well-versed with the location). So I'm agreeing with all of y'all that note that 'out of area' appraisers can be clueless--and can stall/kill a deal. The 2nd appraisal (paid out of LO's pocket to get the deal done) was proper and the deal finally closed.
GODLIKE: (December 17, 2009 7:52am)
What's wrong with the VA appraiser model where VA actually has standards the appraiser must meet (as opposed to the only standard HVCC has is who will take the least amount of $$), there's a good reporting process and you still get to talk to the appraiser
bodontknow: (December 17, 2009 7:47am)
Bo, just so you know you cant pull comps from mid-air. They have to come from somehwere, and often times that somewhere is directly across the street.
Appraiser in CA: (December 17, 2009 7:47am)
This is a general comment about "review appraisers" at AMCs. I dont even think these guys are licensed. I get RETARDED revision requests. I've had 3 separate revision requests. first one was to take out a bedroom photo because there was a crib in the photo....eh? (removed it) then I got one telling me I had done the 1004MC wrong (I hadn't so I explained why I did what I did). THEN I got one telling me to take out the dining room photo (had a picture of a person on the wall) so I did that. SO ANOYING AND TIME CONSUMING. No money and tons of BS. Why didnt they request both photos be removed on the first revision request? Since when is a crib the same thing as a person? Oh and I'm making $150 for the appraisal. Please give us our old fees 9$350-$375)back that's all I care about. thanks TBWSDaily.
BoKnowsClosings: (December 17, 2009 7:43am)
The 'people in charge' (HA!) in DC, etc. don't understand our business at all. I can understand the comment about not allowing an appraiser from another county to do an appraiser but that may not be as clear in all areas of the country. In Metro-ATL for example our Metro area consists of over 13 counties! As you already know it is tough for a suburban appraiser (used to $350K tract homes or $450K Mcmansions) to come in-town to try to appraise a 1200 sq. ft. 60 or 70 year-old mill house or true craftsman bungalow--that is worth the same as the 2500sq ft tract home! Most just don't get it! Had a deal that took 9 months to get to closing because appraiser 1 kept pulling comps from "across the street". BUT if you knew the area (Club Drive/Brookhaven for any ATLiens out there), across the street is NOT truly comparable. I'm a dirt lawyer and even I can figure that out!!! (I may need to do something that rings up billable hours myself instead of this too... hmmmm)
Patricia: (December 17, 2009 7:42am)
Yeah, what is that little starlike symbol in the corner of the video?
CW: (December 17, 2009 7:40am)
So, Frank are you saying that you are reporting "rumors" on TBWS....NOT facts?
CW: (December 17, 2009 7:40am)
So, Frank are you saying that you are reporting "rumors" on TBWS....NOT facts?
Appraiser Pete in CA: (December 17, 2009 7:39am)
jcollins: Try "Trillions" in equity $7-12 Trillion in wealth destruction is what I have read. Ouch. James the Appraiser: BANKS ARE LOANING MONEY! If you need more appraisal orders get in contact with more AMCs at last count there were almost 2,000 AMCs (up from 250 from a few years ago) Call your friends/brokers/loan officers and ask them which banks they use the most and then call those banks and ask which AMCs those banks use the most. FOLLOW THE TRAIL OF $$$. If you get into one AMC CALL THEM EVERY DAY AND BEG, PLEAD, CRY, THREATEN TO SUE THEM IF THEY DONT GIVE YOU ANY WORK. Tell them you are a great appraiser and you just need a chance to show them. AMCs dont care who gets their work as long as the appraisal is done on time and your work is tight. Once you start getting work from one AMC CALL 50 MORE AND DO THE SAME THING. Also, get your residential certification. 90% of AMCs want a certified res appraiser to do their appraisals. I've been told by many AMCs AR Lic=more $$$
big MIKE: (December 17, 2009 7:38am)
Hey America you are close, but where's the money. Congress and our fowes know we are a bunch of broke asses who if is cost 10 cents to crap would have to crawl under the door. Simple, no money, no change. Just like at the store, if you don't give the sales lady money she can't give you bank and "change".
Frank Garay: (December 17, 2009 7:35am)
Real Appraiser, there is supposedly an amendment per NAMB that carried over from 3126.
GODLIKE: (December 17, 2009 7:35am)
I copied this straight from HUD's webpage: "HUD is the nation's housing agency committed to sustaining homeownership; creating affordable housing opportunities for low-income Americans; and supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development ad enforces the nation's fair housing laws." I see a whole lot more in there about disabled and special needs than I do about the majority of the people in America.
AMERICA: (December 17, 2009 7:33am)
Sounds like you teach your kids to sit back and take it. Now that's the COMMEE way. It may be a big fight but if you truely want to make a difference then you fight for it. I believe that we can make a difference but we have to fight the right oppt.
John: (December 17, 2009 7:31am)
You can't count on a review appraiser to always come within a % of the value of the first appraiser. Almost no review appraiser every goes inside or even in the back yard of a home he reviews. I do reviews as well as my own full reports, and any reviewer can rip a report if he want to use poor sales. So turning an appraiser into the state for the simple reason that the reviewer did not agree is WRONG
big Mike: (December 17, 2009 7:29am)
"money makes the world go round the world go the world go round". Just in case you missed it kids.
real appraiser: (December 17, 2009 7:29am)
Sorry, correction, hr 4173. You guys might be dead wrong on this.
real appraiser: (December 17, 2009 7:26am)
Brian, Where is the legislation to end HVCC in the HR 4126. I may be wrong, but I do not see this anywhere, read paged 180-200 about HVCC. Did I miss something? what section did you read. DOES ANYONE ELSE SEE THIS??????
big Mike: (December 17, 2009 7:25am)
Ok one last time children. Most of the really big AMC's are owned by larger title insurance companies and banks. These guy have more money than God and they want more. So to that end they want to control the entire loan process. I mean every loan, no exceptions from start to closing. Then all of the fees are theirs. Simple right, follow the money. One thing I am sure of this is a very well thought plan of theirs, and therefore violates anti-trust laws and maybe even federal reco law. Another follow the money is Banks give big time to congress, so all us little pissants will stay in line. I will be my balls that if you a had a petition with everyone in USA signing it it would not makes a rats ass of a difference. Why, no money, simple. Sing it with me "money makes the world go round the world go the world go round". Get a clue.
James the Appraiser: (December 17, 2009 7:20am)
We just need to get the banks making loans, as an appraiser I don't care if the fees are $150 ot $450 at this time. I have not had an order in December and it has been 5 weeks from my last order.
real appraiser: (December 17, 2009 7:18am)
Remove review appraisers from AMC's, these guys can not work as real appraisers and get jobs reviewing work from other states. This is wrong. Have AMC's order reviews from appraisers in the area. They way the appraisals were intended to be reviewed. Bad Appraisers and review appraisers are sent to state board for reprimand or removal of Lic/Certification. The way it was always done. The problem with the HOT LINE is. If you complain about your AMC and they lose the right to order appraisals, You are cutting your own throat, since eventually, you will get no FUTURE work if they are removed from the state as authorized AMC's. If they go under due to a complaint, the Appraiser may not get paid for prior work, Some AMC's take more tha 90 days to pay
jcollins: (December 17, 2009 7:18am)
I agree "Lil broker"
I thought I heard that TBWS hires a firm to get this on the media. WHat happened to that. Does no one really care except us. You can track the home prices of when HVCC came into effect and see the drop. NOW that should catch everyones eye. The nation lossed Millions if not Billions in equity and no one talkedabout it.
CW: (December 17, 2009 7:16am)
If the intention is to protect the consumer and make sure they are not overcharged, why don't the banks that mandate all these "consumer protections" pay for the appraisals in the event the deal does not "work". That would be a good use of taxpayer money...after all don't we have another couple billion dollars we can borrow from China?
I hate telling borrowers, "sorry the appraisal won't allow us to move forward" after they spent $425 to find out they can not take advantage of historically low rates. The worst part is, the LO ends up with egg on his face...NOT the appraiser or the lender.
God: (December 17, 2009 7:15am)
What's the strange starburst in the upper right hand corner of the screen in the video?
Lil'broker: (December 17, 2009 7:13am)
HVCC needs to end! Communication with the appraiser is vital to everyone. I absolutely agree that by just enforcing the rules or "codes" that have been in place all along is all that needs to be done. You "negotiating" with King Andrew is not going to get anywhere. Why don't you turn your focus to a higher power? He's only the AG of ONE state. I think it would be much more productive to go to DC. And for the life of me I cannot understand why this doesn't get any media coverage! Please guys, use your influence there! Get it on every news station in every town of America. We've got big elections coming up this your. Make this a determining factor for who gets elected. It's the mortgage business people who have to get the REAL story out. That's the only way the American people are going to understand the true affect this has on every homeowner/homebuyer. By NOT doing this, it's almost like we're part of the cover-up!
Frank Garay: (December 17, 2009 7:12am)
It's in an amendment somewhere supposedly. That's what NAMB is telling us.
real appraiser: (December 17, 2009 7:08am)
Where in 4173 does it say that HVCC will end. I read pages 175-200 in the appraisal section, what I read says the will review HVCC for 6-18 months and see its impact on appraisal and mortgage businesses. By then, two years from its start, its in place and done. If you want to fix HVCC, START WITH THIS! Have the AMC bill their management fee to the bank/lender, whatever it is and allow the appraiser to collect his standard fee directly from the owner/borrower/buyer at the door at point of inspection. The AMC typically takes too much and forces fees based on value, violating USPAP. The appraiser gets paid up front, the corret fee shows up on HUD from the appraisers invoice and the lender knows the true price of using the AMC. AMC DOES THEIR JOB OF PROCESSING ORDER, which is ALL they do. AMC cant hurt or bully appraiser. I know more thought must be made to work all kinks out but its a start. At least if AMC goes out of business, appraiser wont be under bus with them.
big Mike: (December 17, 2009 7:05am)
MORE.... The number of appraiser's will be less this year and I can hardly wait for the next increase in license fees. If the Federal would back up their mouths with money it would be a giant help. The states are the only enity which have the power to put an end to an Appraiser that is out there commeting fraud. Not Freddie, Not Fanny, Not FHA and do it. Only the OREA can jerk a license away. I would love to see some enforce money from the Federal Ass Clowns, F.I.R.E.A was another un-funded mandate which should be amended. Gee lets see, didn't these clowns just spend over a trilon dollars on crap. Money talks and B.S. walks. Please let the fund this mess and let each state handle their onw problem. Then if penis eating Andy Cuomo wants no one to get a loan in N.Y. who the fornicating cares.
NOPAINNOGAIN: (December 17, 2009 7:04am)
FRANK,
JUST thought I would rattle the cage. Thanks.
I like the clips, but I do agree it needs to be the right clips. No animals were hurt in the making of this clip.
Have a MERRY CHISTMAS
ALLforREG.ifdoneRIGHT: (December 17, 2009 7:01am)
The Appraiser's decession to work a market. WHAT that is bassically what we have now. How is that working for YA. Thay should simply, allow the LO to choose the appraiser that they feel is qualified and then the banks can do an independent Review. If the reviewer or the appraiser is found to by off by a certain % then they could go up in front of a board to justify themselves. If they can not pull there Lic. This would cover all of the GOV. concerns and ours.
Frank Garay: (December 17, 2009 6:59am)
We haven't dropped "bad day" just yet... just need the right stuff.
dd: (December 17, 2009 6:59am)
As a certified residential appraiser and now realtor, I will not let an appraiser who is from another county in a home to appraise it because of past negative experience. I interview the appraiser regarding their experience, how many homes they have appraised in the area, and go to my states on line system that tells me where the appraiser is domiciled. If it is too far away, I call the lender and ask for another appraiser. If I have to do it 10 times, then so be it until I get someone local who has been in business for longer than 10 minutes. When I was appraising I could do a better job in areas that I knew very well. Values are often determined by local preferences and you better know what they are, even if it means that homes 1/4 mile away are not good comps because of where the school boundaries are! Your AVMs are not going to know things like this-appraisers better or they can be replaced by a machine! Zillow is junk science. Often high. Often low. Rarely accurate!
Dale Kadish: (December 17, 2009 6:59am)
My name is Dale Kadish and I watch for vedio everyday. I am an appraiser in Western New York. I feel HVCC or something close to it has a benefit. Why can't the mortgage Brokers recomened a short list of three or four appraisers that they feel do a good job and their appraisal orders can be ordered through the AMC in a rotational basis. this can still be ordered blind and the brokers/bankers will feel more of a confort level.
We as appraisers will still be sheilded by the AMC. The AMC can still do the "quality control" (LOL) that they have been doing.
My biggest problem is, in the past I have been on a bunch of AMC's lists for no other reason then to say I was on the list. I never activly tried to get work because of the fees. Now that the AMCs are in control, they are still utilizing the same group of appraisers they had in the system as active before. The only reason these appraiser were on the AMC's lists is because they could not get work on their own.
SimpleSolution: (December 17, 2009 6:59am)
Broker turned Coresspondent Lender-OK so when all of the certified appraisers retire then who is left to do appraisals. Appraisers become certified by doing APPRAISAL hours and if they can't do appraisals and get their hours needed from doing appraisals they will never become certified or licensed for that matter....
davwan: (December 17, 2009 6:57am)
We don't need govt regulation to do the right thing. we should be allowed to develope business relationsships we see fit to our business. The governing bodies need to enforce the rules already on the books to keep the criminals out of the process. If we are not allowed to operate our business's as a free enterprise then appraising should become an entity of the govt and that would be bad in my opinion.
CV Broker: (December 17, 2009 6:56am)
Ameriworks - Very well said!
Midwest Appraiser: (December 17, 2009 6:54am)
I agree that an appraiser traveling 4 hours to complete an appraisal for $175 is at a minimum desperate and inexperienced. I don't see any way for the government to regulate this other than to say you can only appraise within 3 miles of your house? which will put every appraiser out of business. it is the appraisers decision if they are competent to appraise in a particular market area and willing to accept the liability. Most experienced appraisers refuse to work for the $175 AMC's offer and then travel 4 hours away to do it. I suspect if they were required to hire appraisers with minimum of 5+ years or experience you would get better appraisals done by more local appraisers.
big Mike: (December 17, 2009 6:51am)
@ Broker turned Correspondent Lender. Your idea on how to fix HVCC will not fly. I am an Appraiser and have been for 22 yrs, I am 54 years old which is the average age of a California appraiser. How will there ever be enough younger guys comming up behind, me so when all of us retire there are enough appraisers if everyone has to have 10 years on the job to make an appraisal? The REAL solution is even more simple than that. The states, in California the OREA, don't have enough money for enforcement. If the federal regulators would stop with all of their un-funded mandates, step up a give money to the states which they should have done in the first place this mess would have been avoided. The states are "required" by law to pay for the funding of their own appraiser offices. In California the OREA does not get one dime from the state's general fund. All funding for the OREA is paid for by the Appraiser's which have the highest fees in the state for ANY license.
CV Broker: (December 17, 2009 6:51am)
Frank, why does there need to be a compromise? There were abusers before HVCC and there are abusers now - just costs the consumer a lot more. No portability - crazy! AMCs are so inefficient and poorly staffed. Appraisers are doing a great job of getting the job done quickly - even at a fraction of the fees they should be receiving - but the AMCs sit on them in "Quality Control" for a week. Again - WHY must we compromise??
Mr Ohio: (December 17, 2009 6:49am)
I agree with the local AMC or at least state regionalized. Since HVCC, states started putting into place regulations on AMC's. Last I remember, there were only 7 or so states with regulations on AMCs. I know that the St of OH is working on one. There should be at least guidelines - ie experience, license held, teritory covered
JustthoughtIwouldsay: (December 17, 2009 6:47am)
WHat happened to the "you think you are having a bad day" It appears that once again a few have change things for the masses. I guess you won't be wishing anybody a Merry Christmas now either.
Broker turned Correspondent Lender: (December 17, 2009 6:41am)
I have no issue with the fact that your firm can cover as much territory as you do. Obviously, you employ appraisers that live fairly close to most of these markets. My complaint is the fact that you can not and should not have an appraiser driving 4 hours to appraise property in a market that he/she is not familiar with...that's common sense. Let's not even use the word AMC, let's just say that some type of system needs to be in place that randomly assigns appraisals to qualified appraisers in that market...I don't think that is too outrageous a request...do you?
Mr Ohio: (December 17, 2009 6:35am)
HVCC and Cuomo - that is great for that freak. He can do what he wants for the STATE OF NEW YORK. Since when is he able to dictate National Policy? Seperation does not work and even with the HVCC in place, LO's for Banks as still calling the appraiser!! AMC should not be owned by ANY BANK, subsidiary or the like. Most software packages come with the ability to set up a list of appraisers who are chosen at random (AMC like). At least this way you can control who gets your appraisal and that the appraiser has brains.
oculaw: (December 17, 2009 6:32am)
Why shouldn't I be able to market a loan officer? What kind of business can be run if you can't really talk and market the user of your product? I believe 80 to 90% of the appraisers are doing and have done the right thing, and have followed the rules. Now HVCC is punishing the 80% that are and were already doing the right thing. Realistically, how do you market some AMC that is out out state? Appraisers, lenders and mortgage professionals need integrity.
Midwest Appraiser: (December 17, 2009 6:30am)
Local Markets? I urge you to please drop or modify this segment of your goals. We don't need more government regulation to tell us where we are geographically competent to appraise. our firm has 7 full time appraisers that cover Chicago, the 7 surrounding counties, and even some of Wisconsin. We have been working these areas for over 10 years and are more the competent to complete assignments anywhere within them. . Its the appraisers decision if they are competent to appraise within a certain market. not the government or some appraisal desk manager neither of which have ever done an appraisal in their life.
Broker turned Correspondent Lender: (December 17, 2009 6:27am)
The solution to HVCC is extremely simple: Small, LOCAL AMC's need to be founded as a firewall between originators and appraisers. The local AMCs should only hire/submit appraisal orders to CERTIFIED appraisers who have at least 10 yrs experience in the business and can show their apptitude at appraising real estate in the local market. 90% of the fee should go to the appraiser under this type of system. This will satisfy the politicians' need for separation between the appraiser and the "profiting entity" and will ensure accurate,timely, and portable valuations will be performed. Newly licensed appraisers willing to work for $175/appraisal will essentially be run out of the business....Problem solved for all.
As much as we would like to go back to the days of ordering directly through a particular appraisal, it's not going to happen so we all need to get over it and move on with a solution that does work.
Nick in S NV: (December 17, 2009 6:26am)
How many potential SCAM projects can one administation introduce (dream up)in such a short period of time?
Bob: (December 17, 2009 6:19am)
Nobody is mentioning how this affects the consumer.The appraiser comes from who knows where and does not have a clue to what is going on in that market, so lowballs appraisal to keep from getting in trouble and the customer who thought they had a deal is told it won't work. Now they are out the appraisal money and unless they have a good LO who will challenge the appraisal they are dead in the water or have to start all over again, which most would trow their hands up in the air.Also,put the banks on a level playing field, as most of them take their top 4 or 5 appraisers and open their own(hands off?)AMC office.
MN Man: (December 17, 2009 6:15am)
I don't agree that there should be anything between originator and appraiser. I think they should enforce it if the lines are crossed. Period.
Also - sorry to say, but TBWS seems to be losing it's edge. I used to watch it every day. Now it just depends. Maybe I feel slightly let down that I disagree about having independence between originator and appraiser. You guys are still funny though!
Cuomo is governor of NEW YORK: (December 17, 2009 6:05am)
I don't accept the premise that there needs to be separation between the originator and the appraiser, anymore that that there needs to be separation between the originator and underwriter, attorney, surveyor, closer, etc. We have adequate safeguards in place - licensing boards can revoke the license of offending appraisers, investors can put them on the "non-approved" list. Underwriters also have tools available to test appraisals - tax values, automated valuation modules, etc., and can require review appraisals if they are uncomfortable with the report.
WakeN Up: (December 17, 2009 5:41am)
Frank and Brian. Watch this video. http://www.youtube.com/watch?v=1gKX9TWRyfs&feature=related let me know your thoughts.
Mortgage Man: (December 17, 2009 5:33am)
NT, Sorry I missed that era with the S & L crisis and rates above 15%. Given those circumstances I would have wanted to be on a salary too! FYI, I started in 1991 and do agree that some of the junk fees have got way out of hand. My point was that the consumer is benefited more by the option of rebate pricing if used properly by a loan agent. Have you looked closely at a wholesale rate sheet lately? Rebates are already capped and will be capped by competition. Unfortunatly our World is not a perfect place and never will be. If it was we would all get tax breaks like Citibank did today.
common cents: (December 17, 2009 5:27am)
The Prius Affect: The world is cooling because of the evil man made lawn mower- the Prius... Let's act now & get this climate killer off the road!!
2nd ammendment: (December 17, 2009 5:26am)
NT and TAC, you have it way all wrong. Straight commision LO's are the ones that are driving this industry to a better standard. I'm looking forward to the new GFE and HUD as it will hold the morons at the banks working for a salary to give an accurate GFE instead of the junk they put forth. The auto industry should start piece work, that would straighted up too.
Get a grip.
Anonymous: (December 17, 2009 5:25am)
great HVCC story here--local appr. gets order w/ZERO contact info-no Realtor, no way to schedule
the appraisal. He asks the AMC to get him SOMETHING and they finally come thru with info on the buyer from USAA that is several years old--a phone number that someone else now owns. He calls the number several times, reaching some guy in Colorado who has no connection whatsoever to the Buyer or any of this. He recontacts the AMC asking for more/better contact info on this case and sets the appraisal aside until he can figure out what to do. Finally they send him an email address, one that the buyer still uses.He emails the Buyer, who contacts me (her broker) concerned because she had not given this email address to anyone involved with this house purchase. She thinks something fishy is going on.
I called the appraiser and got the story above.
fortunately the closing is still 2 weeks away and he is going in today and should get it turned around in time. The something fishy? HVCC
common cents: (December 17, 2009 5:25am)
I'm pretty sicken by the recent news that came out that global warming stats were fudged to make the theory convincing.. Obviously all government is very concerned about the climate & belief in man made weather as they continue to drive in limos and fly in private jets..
Could you imagine if we were in a warming trend right now.. Politics & media would be driving fear into everyone..
NCLO: (December 17, 2009 5:24am)
NT you are smoking something too. I have been in the industry 25 years... always commissioned based. You are wrong. We have MORE training and MORE regs to deal with now moreso that ever. My average loan application takes 2.5 hours due to the education I provide my clients. No every LO is a money grabbing sleaze.
Nuke 'em 'til they Glow: (December 17, 2009 5:23am)
Make everyone who is in an elected official DC take the NMLS test. If they fail they have to resign from their office. I just passed the exam first shot and if you fail it you either didn't prepare at all or you are an idiot. Most of congress is the latter... barney frank and Hussein Obama are morons so they will fail the test. I'm sorry if I am insulting the members of MAA (Moron Association or America). :-) Oh and if they happen to pass have them Explain the New GFE and tell the consumer how it's going to save them the "average" of $700 on an "average" transaction. Talk about a snow job! Oh and Zillow... always worthless and everything about Zillow is worthless so what is new :-)
NCLO: (December 17, 2009 5:21am)
TAC you must be smokin' something! Remove incentive basd compensation and no one will do the difficult loan cases. Unserved and underserved markets will get even less professional help. Experience matters and I don't want anyone telling me how much [little] I can earn.
NT: (December 17, 2009 5:15am)
Hey Mortgage Man, when I started in the mtg business (back with the dinosaurs in 1982) LO's were not commissioned but employees. They actually took time to explain the loan options. No junk fees or bumped up interest rates just to line the LO's pocket. Fewer foreclosures even with 10-16% interest rate. Good LO's did get a per loan bonus based on units so the good ones made the bucks. Training was also better so the all the LO's were more knowledgeable.
Joseph: (December 17, 2009 4:47am)
Actually it would be nice to charge by the hour like a lawyer. May be than I would be able to make a decent living in this industry without working myself to death.
Jk: (December 17, 2009 4:45am)
I want to see tha HVCC go away as much as anyone, but if it stays around the AMC should be regulated by each the appraisal board in every state they are doing business. They should also be bonded/insured. I have often wonder what happens if you do 10 appraisals for a amc one month, and the next month they go under? There is so much of this that is currently a JOKE!!!!
Mortgage Man: (December 17, 2009 4:39am)
Tac, when you remove commissions you remove competition which will result in higher costs for the consumer, guaranteed. It would be like charging everyone the same cost for a cheeseburger. Cost will go up and quality will come down. The abusers in our industry are long gone with sub-prime so when used properly rebates benefit the borrower with no point and no cost loans. I can go on and on, but hopefully you get the point. Rebates are capped as it is and I don't believe you know the value of using a experienced Mortgage Broker especially in this market. I am also a banker so either way this will not affect everyone. Brokers will just align themselves with banks and could even charge more. Could you imagine the cost of a Big Mac if McDonalds was the only game in town?
JK: (December 17, 2009 4:35am)
As usual all that needs to be done is inforce the guidelines that are already in place. No more precomping and etc... Other tools that will help the process, train the LOs to precomp themselves in other way than Zillow (which is a joke). Many areas have pubic record and sights to assit in this process. Last but not least, Hold the Broker responsible for the actions of the LOs by utilizing more audits!!! Have every LO sign a statement that they will not influence the appriaser's opinion. One more idea, make it more doable for an in house person to order appraisal for the LOs. Processor's make the most sense, but they are currently excluded for being considered on the production side. Also, make it manditory to randomly audit LOs files including an appraisal review. (I am an appraiser, and have no problem with that).
With out a doubt it we have to get the appraiser's fees back into the appraiser's pockets!
TAC: (December 17, 2009 4:09am)
The ONLY thing that needs to be done is to REMOVE COMMISSIONS. With the advent of the internet and data being able to reach into these tiny towns across america, the mortgage industry can push loans ANYWHERE. Any profession involved in real property transfer needs to be motivated be a FLAT RATE SERVICE and NOT a percentage. IT IS THAT SIMPLE.
ameriworks: (December 17, 2009 2:14am)
Correction to my last post. My question is an act of Congress needed to end the HVCC when it didn't take one to start it?
ameriworks: (December 17, 2009 2:12am)
Why does HVCC need an act of Congress when it wasn't enacted by Congress? King Andrew, with assistance from Fannie and Freddie, did this all by themselves. Let's face it, the banks are making a killing with the HVCC considering they own the majority of the AMCs!
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