I think appraisers are to blame for the most part. I just read an article published by a Certified Appraiser who is also a Licensed Broker and Realtor, he laid out the exact issues very well which goes along with this article. www.facebook.com/justinsREP
Davidof CA6:27PM March 20, 2013
I am amazed to see anyone covering this story. This is the crime of the century yet the media refuses to cover it for fear of alienating the lender that keeps them afloat.
Watch for the upcoming documentary on : BankRape.com
Retired Appraiserof KY1:14AM April 05, 2012
Good. Maybe if the housing market remains in the dumps for another decade consumers will wake up to the fact that APPRAISERS ARE BEING EXTORTED with the blessing of the U.S. government.
Do you honestly believe that consumers are going to get a fair (hence intelligent) valuation on their property when banks are allowed to bid the jobs out to the lowest bidding (least intelligent) appraiser? Make no mistake that is what's taking place. Other than Ken Harney of the Washington Post, the media refuses to cover this story.
I say let the housing slaughter continue until the media wakes up and does their job.
Ex Appraiser
Ex Appraiserof KY2:50PM February 22, 2012
How will business relationships be mended in time?
On May 1, 2009 appraisers were told that their existing clientele was worthless; regardless of whether they spent 1 year building their firm or 40 years building it.
On May 1, 2009 appraisers were told to sit by the phone and pray that an AMC would call them out of the blue with new business.
On May 1, 2009 they were told they must surrender 40-60% of all future income to bank owned appraisal management companies. In most cases the phones never rang.
Homeowners were equally impacted by receiving the worst home appraisals in the history of the housing industry. Imagine if your attorney or physician were hired FOR YOU in a reverse auction with the job going to the lowest bidder & the least experience while your banks rakes in 1/2 of the fee that your HUD-1 states went to the appraiser. THAT my friends is the new system. THAT my friends is why housing continues to spiral downward. The most valuable U.S. asset (collectively) is now being valued during the most complex market seen since 1930 by raw untrained appraisers. The experienced guys left the business long ago.
HVCC was conviently set to expire at roughly the same time as Andrew Cuomo's election to the governors office. Who did you say contributed those millions to your election fund Andrew?
You guessed it. Banks are making billions and Andrew received millions for blackmailing FNMA & Freddie Mac into participating in this travesty.
If you're fed up with it or would like to learn more visit www.BankRape.com for the full story.
David Featherof KY10:39AM January 01, 2012
the problem is that appraisers over-valued homes before the crisis which is why people are underwater on their homes. They were interested in keeping the banks and real estate companies happy so they inflated the value of homes leading up to late 2008! Now we the home owners have to pay again for their mistake as they over-cAleahompensate!
A. Vaughnof NY9:21AM November 16, 2011
What if you don't have any comps in the area. How would the appraiser come up with a correct number?
GFBof NH11:22AM November 14, 2011
The same agents that cry wolf, are the same agents who sold the comparable as a great deal to a buyer. The comparable prices come from their negotiations and these are the tools that the appraisers have to work with. Appriasers also cannot "create value" so if the subject is in better shape than all of the comparables sold, what proof from the market does an appraiser have to go on? Exceeding the highest indicated value, over a closed sales price without market proof, is unsupportable. Lastly agents are not accountable, they can say anything to make the deal, their commission, which is their inherent bias and clouds objectivity. The appraiser views the closed sales as black and white. I have both licenses and see the big issue is that lack of schooling of realtors into the true nuances of the market. In NY you can sleep through a 45 hour class and get a license to sell. On the appriasier side you need 128 hours and lots of supervision. The real estate license requirements need to be increased and accountability needs to be brought into the transaction.
Broker & Appraiserof NY6:28AM October 13, 2011
Right. Because so many Realtors drive Porsches.
Mikeof IL5:13PM October 04, 2011
Given that rubber stamp appraisal is a part of what caused the housing bubble. Maybe banks and realitors need to act more responsibly, instead of trying to distort the system again. So they can have a new Porche.
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David of CA 6:27PM March 20, 2013
Retired Appraiser of KY 1:14AM April 05, 2012
Ex Appraiser of KY 2:50PM February 22, 2012
David Feather of KY 10:39AM January 01, 2012
A. Vaughn of NY 9:21AM November 16, 2011
GFB of NH 11:22AM November 14, 2011
Broker & Appraiser of NY 6:28AM October 13, 2011
Mike of IL 5:13PM October 04, 2011
Lee of MS 3:33PM October 04, 2011