I listened to this pod cast on my PC.
Just want you to know that in CO there also is no change in the appraiser/lending relationship, or so I hear since I quit loan work when I heard that mark-to-market fell from grace. Until I heard that, I never dreamed that a bank would value assets any other way. Silly me.
But of course to understand it’s deja vu one must cut through the spin or require verified documentation. Maybe you could ask the lender who is soliciting your firm to provide assurance they are marking their assets to market and lending accordingly.
Sincerely Jonathan, thanks for continuing the fight.
On Friday last I received an invitation from a regional bank to join their appraisal panel.
In my response I said I will accept only assignments that do not involve the secondary market. Maybe that discloses my lack of optimism that HAVOC will bring about any substantive change in lender/appraisal dealings. Lenders and not appraisers will control those AMCs
Reason: A lender’s business is about making money, period. At least to some extent that still requires a loan, and FIRREA requires the appraisal only as a sort of tax after the deal is done.
I am convinced we will see no real change until this industry stands up and absolutely refuses to do this shoddy loan appraisal work as an after-the-fact exercise. As a part of that, the industry must mete out meaningful discipline to the number hitters and production shops.
Until then my personal solution is to do mortgage appraisals as a very rare exception to the rule.