Three major strategic initiatives recently announced by the Appraisal Institute have the potential to fundamentally reshape the global valuation profession.
The Appraisal Institute revealed in October that it will:
There are a few things that let you know that summer is officially over every year. The leaves begin to change color, there is a slight chill in the air, pumpkins are placed on doorsteps, and the Association of Appraiser Regulatory Officials (AARO) holds their Fall Conference in Washington D.C. I was lucky enough to head to D.C. and participate in the conference again this year. It was a great chance to hear about the upcoming changes that are sure to change the appraisal industry.
In the past two years over four AMCs have closed their doors and left appraisers unpaid. Some AMCs have done this in a very deceptive manner while others closed due to legitimate cash flow issues. When an AMCs continues to order appraisals knowing that they will not be able to pay for the work completed this should be looked at as a criminal act. My firm in Chicago has experienced this misfortune multiple times. In some instances we were able to get paid by the lender that engaged the AMC and other times it was a loss for the company.
For all sorts of reasons, appraisers have fewer and fewer direct relationships with their lender clients. This is one of the reasons Allterra Group is so excited to announce their upcoming Appraiser Events. We have partnered with Union Bank and Rabobank to offer recruiting and training events for appraisers on the west coast. This is a tremendous opportunity for appraisers to get to meet and greet Ken DeFeo, Vice President, Residential Appraiser Manager at Union Bank and Robert Melfe, Vice President, Appraisal Manager at Rabobank.
This past Wednesday we sat down with Joan Trice to talk about third party oversight. In response to some of the comments we received on that interview we wanted to take some time to talk to Joan again about understanding background checks. Find out the answers to any questions you may have with this in depth interview.
BUZZ: Welcome back.
Joan: Thanks. I wanted to take some time to specifically address background checks.
Recently there have been a lot of questions being asked about Third Party Oversight and how it will affect appraisers in the future. We sat down with Joan Trice to get answers to some of the more frequently asked questions. Read this interview to find out how new regulations impact you.
BUZZ: Gee Joan, it has been a while since we have interviewed you.
"With a lot of 'buzz' around developing new forms I decided to do a little research on the history of the forms. I had the pleasure to speak with Gregg Opelka a few months ago. And more recently I had an opportunity to meet with Jack Weaver, the chief appraiser at Fannie Mae in 1970. Stay tuned for more articles on the evolution of the appraisal process. I have thus far discovered some fun facts that I don't believe you will find in texts books." ~ Joan Trice
I make this statement often enough it must be true… "U.S. residential real estate is the largest asset class in the world yet we know little about it." Think about that for a minute. Not only is it ginormous in the global financial sense, yet it is the single largest asset of most U.S. households. Then consider all of the derivative mortgage products and investment vehicles. Has your head exploded yet?
USPAP compliance is unequivocally the compliance barometer for the real estate appraisal industry. But, what does it mean to be in compliance with USPAP?
The term itself has clearly been implemented as an enforcement measure, yet because USPAP calls for so many subjective determinations and essentially the self-policing of each appraiser, it is not only difficult to verify from a compliance perspective, but difficult to enforce as well.
This article was originally posted on the FREA website and can be found by clicking HERE
