From the developers of the real estate appraiser directory, Appraiser Help, the FHA Appraiser Directory and the Tax Grievance and Appeal Directory, and the creators of Appraiser News.
While most appraisers have had some unpleasant experiences with Appraisal Management Companies (AMCs), it is clear that consideration must be given as to what role AMCs will play in their overall appraisal practice.
While the usage of AMCs is not mandated by Fannie Mae, Freddie Mac or the FHA, the percentage of mortgage appraisal business handled by AMCs has grown substantially during the past year. While appraisers know that diversification of their appraisal practice into non-mortgage appraisal areas (i.e. legal, divorce, estate, tax grievance and appeal, etc.) is important, they also understand that consideration must be given as to the role of AMCs in their practice. We have seen some appraisal practices that have adapted successfully to working with AMCs and now count such appraisal work as the largest part of their business. In other cases, appraisers have limited their work to a handful of AMCs along with accepting assignments, for example, in a limited geographical area near their office.
Whatever your business model is, we are pleased to announce that the first “Directory of Appraisal Management Companies for FHA Appraisers” is now available for immediate download! We have worked hard to gather the most information regarding AMCs for FHA Appraisers in a climate where contact information is constantly changing.
The FHA, in Mortgagee Letter 2009-28, announced a series of changes that have changed the playing field and will be fully implemented on January 1st, 2010. While some of these changes have made the business climate difficult for appraisers who have not proactively faced the challenges, parts of the FHA’s Mortgagee Letter bode well for FHA Appraisers as it states that:
~FHA-approved lenders have new responsibilities to ensure that FHA appraisers are “…compensated at a rate that is customary and reasonable for appraisal services in the market area…” and
“The fee for the actual completion of an FHA appraisal may not include a fee for management of the appraisal process or any activity other than the performance of the appraisal.” “AMC and other third party fees must not exceed what is customary and reasonable for such services provided in the market area of the property being appraised”.
Our “Directory of Appraisal Management Companies for FHA Appraisers” is designed to help appraisers in contacting and evaluating which AMCs they will work with in a climate that appears more favorable to appraisers than at times in the past.