There is an old adage that says knowledge is power. Never have I found another industry this holds more true. The more we, as appraisers, understand about a specific area, neighborhood, or subdivision the more accurate and credible report is able to be produced. Let’s face it, that’s why we are here… To provide accurate estimates of value. I want to encourage all of us to reach out to our fellow colleagues to discuss current industry changes, with questions, with that tough one you worked on last week.
Collateral Risk Network
We sat down with Ed Pinto of the American Enterprise Institute to talk about this upcoming webinar, The Devolution of Appraisal Theory and Process. This will be a three part series. We wanted to discuss it with him and find out why appraisers should attend. Find out what he had to say in this in depth interview.
Buzz: Thank you for taking the time to speak with us about your live webinar on the Devolution of Appraisal Theory and Process. Can you tell our readers a little bit about your history in the industry?
For anyone who has spent any time around the water cooler at any number of the continuing education classes or conventions of late, it seems the hot topic of discussion has been the out of date forms in use. Many of us may have to take a glance down to the corner of the page to realize the last time the forms were changed was in 2005 and before that it was in 1996. We’re coming up on the 10 year mark so we should all be expecting an overhaul of the forms soon, or at least we hope so...
At the core of the US financial collapse was the lack of an objective standard of safety and soundness in mortgage underwriting and collateral risk assessment. Opaque information regarding these risks meant that homebuyers, lenders, investors, insurers, regulators, and policymakers had neither incentives nor information to moderate the bubble.
Appraisers are wondering what all the fuss is over Third Party Oversight and what it means to them. Appraisers are just now beginning to feel the impact of the demands of fee panel management. I know this will date me but I do recall the days when it was a challenge to get placed on an approved appraiser list. The process was onerous. I likely didn't appreciate it much then but surely I reminisced about the good ole days after that process fell apart and the only vetting process involved inquiries as to my fees and turn times. Now we have come full circle.
When the average appraiser thinks about what has happened in the appraisal industry and what is on the horizon, it is so easy to limit our thinking to what has happened in our own backyards. But there are other nations who suffered their own financial crisis. Other countries have high foreclosure rates as well. Hopefully, we can learn from our own mistakes. But can we learn from the mistakes of others? Do other nations struggle with similar issues in the valuation space? How do other countries manage the appraisal process?
We are getting ourselves ready for the Third Party Oversight Summit next week, April 16, in New Orleans at the Hotel Monteleone. If you are a lender or an AMC this is a must do event. It is not too late to sign up. Register here.
Every year the Collateral Risk Network joins together to nominate and vote on the most influential mind in the appraisal industry for the year. The winner is presented with the prestigious Valuation Visionary Award. We are pleased to announce the winner of this year's award is Jeff Bradford, founder of Bradford Technologies.
Post No. 38 - If you are a Canadian residential appraiser, hopefully you will comment on this post and explain how appraisals are done 50% cheaper and in half the time of American appraisals.
"Average turnaround time of appraisals in Canada is 2.5 days, while in the US it is double that. And an appraisal in the US is also twice the price as in Canada."
While surfing the web I came across that quote from the article with the link below: