I remember a time in the world, pre HVCC, when I would drive around to mortgage offices. I would stop in, introduce myself to every loan officer and staff member, hand out my business cards, and ask them to give me a try. I would repeat this pattern every week after that until they decided to give me a try. That was then and this is now...
Things have changed dramatically in just a short amount of time. Nowadays when we get approved by an Appraisal Management Company or direct lender, a background check, driver’s license, car insurance, E & O insurance, general liability, and the like are required. When did all this happen? I agree that a background check is a good idea. However, a background check costs $100+/- per appraiser. If I get approved with four new clients and they all require a background that’s $400 per year. Not to mention the fact that I have other appraisers in my office so keep multiplying that number. All four of these background checks came back the same but each lender/AMC says you have to get a background from their specific contractor or company. I know what impact this has on my appraisal shop. I can only imagine the impact on the many one person appraiser shops.
It would be beneficial and a seemingly good solution to have one centralized background check that all lenders and AMCs use. This would save everyone time, money, and a lot of headaches.
Why do some clients require general liability insurance? This type of request still boggles me and I forget if we are appraisers or contractors since we are being asked for general liability.
Overall all I think the industry is headed in the right direction with all the fraud we experienced in recent years however some adjustments should be made. I think with time we should start moving in the right direction with this.