After the HVCC implemented new rules in the middle of 2009, many appraisers realized they had to work with appraisal management companies they had ignored or avoided before that. Before the rules changed in 2009, appraisers tended to stay away from companies providing Appraisal Management Dallas Texas, or AMCs, and the bad reputations they had. However, with the change of rules, AMC's quickly became the major source of income for many appraisers.
Since the change, appraisers have seen the rise and fall of a good number of AMCs. However, larger companies that have outlasted their competition have the entire process mapped out so that they have the legal documents, such as contracts and the software that helps to keep track of the hundreds of appraisers across the nation.
This has, in turn, led to many assignments being done poorly. Consequently, is has led to increased lender requirements for each assignment, to compensate for sending assignments to less-experienced appraisers that may not, as a matter of course, include as much supporting material and commentary as an experienced professional.
Quality Assurance/ Quality Control- Many of these firms also market themselves as a quality assurance and control layer, to scrutinize assessments for errors before being delivered to the lender. Some AMCs have automated QA/QC systems that require the appraiser to answer an additional set of questions before submitting an appraisal into the system.
If an appraiser were to get a job from an AMC, the contract is already signed. The appraiser can get the job done in time, providing a professional job, with no mistakes and turn the appraisal in for payment. Once the assessment is in the hands of the AMC, the appraiser has no control over what happens from there. The review can get lost, or the numbers transferred wrong, and the final value changed, and the appraiser is still considered liable.
That is when the appraisal management contract comes in. Your E&O insurance is still in place, so you are covered for anything you did. However, now because of the "hold harmless clause, " you now have to cover all legal costs of the AMC as well.
The best form of protection an appraiser has is knowledge. Since word of the indemnity clause has circulated, a great number of AMCs have changed the contract to make it fairer for the appraiser. If an appraiser is careful, he or she can work with the AMC to utilize their services for a very comfortable income.
When deciding on a pay scale, AMCs will look at the number of appraisers they have on their "approved list." If it is a larger company, employing thousands of appraisers, the assessment company will not pay much more than about $250 per evaluation. This stems from them knowing if one appraisal does not take a job another one will, for the expected fee.
Since the change, appraisers have seen the rise and fall of a good number of AMCs. However, larger companies that have outlasted their competition have the entire process mapped out so that they have the legal documents, such as contracts and the software that helps to keep track of the hundreds of appraisers across the nation.
This has, in turn, led to many assignments being done poorly. Consequently, is has led to increased lender requirements for each assignment, to compensate for sending assignments to less-experienced appraisers that may not, as a matter of course, include as much supporting material and commentary as an experienced professional.
Quality Assurance/ Quality Control- Many of these firms also market themselves as a quality assurance and control layer, to scrutinize assessments for errors before being delivered to the lender. Some AMCs have automated QA/QC systems that require the appraiser to answer an additional set of questions before submitting an appraisal into the system.
If an appraiser were to get a job from an AMC, the contract is already signed. The appraiser can get the job done in time, providing a professional job, with no mistakes and turn the appraisal in for payment. Once the assessment is in the hands of the AMC, the appraiser has no control over what happens from there. The review can get lost, or the numbers transferred wrong, and the final value changed, and the appraiser is still considered liable.
That is when the appraisal management contract comes in. Your E&O insurance is still in place, so you are covered for anything you did. However, now because of the "hold harmless clause, " you now have to cover all legal costs of the AMC as well.
The best form of protection an appraiser has is knowledge. Since word of the indemnity clause has circulated, a great number of AMCs have changed the contract to make it fairer for the appraiser. If an appraiser is careful, he or she can work with the AMC to utilize their services for a very comfortable income.
When deciding on a pay scale, AMCs will look at the number of appraisers they have on their "approved list." If it is a larger company, employing thousands of appraisers, the assessment company will not pay much more than about $250 per evaluation. This stems from them knowing if one appraisal does not take a job another one will, for the expected fee.
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