MY LOAN IS BEING HELD HOSTAGE
The first email I opened this morning was from an Appraisal Managment Company advising me the first panel appraiser for the appraisal I ordered yesterday requested an additional $50.00 to complete the assignment.
I EQUATE THIS TO HOLDING MY LOAN HOSTAGE.
As a mortgage broker I must quote a borrower accurate fees for their loan. I am not allowed to help this borrower out by paying the $50 for them even if I wanted to with the new loan officer compensation rules.
I've worked with this AMC for some time and I'm sure the appraiser did request additional funds, but I wonder about the real reason for the requested increase. Is it likely because the AMC is taking 90 days to pay the appraiser? The property is located in a heavily populated area, immediately off the expressway and there are multiple comps for the same style and age home.
I find it infuriating that consumers are continually being asked to ante up more money for appraisals that are ordered through AMC companies. An appraisal like this would have cost the borrower $300 prior to HVCC/AIR. The cost has been $400 for about 6 months, and now the AMC wants $450. Delivery used to be within a week, now it is weeks. When are the powers that be going to wake up and realize how detrimental this process is to the economy and housing recovery!
Appraisers cry out to have their fees returned to the norm (prior to HVCC/AIR), but the only way this is going to happen is by the borrower paying a much higher fee to keep AMC's in the process. I feel sorry for appraisers who are working harder and being paid less, but I feel equally sorry for the home owner who is paying more for less.
It is not fair, nor reasonable that every home owner is paying more and getting worse service because of those who were fixing appraisals not being prosecuted. Instead of prosecuting the wrong doers, rules were enacted affecting every appraisal. This seems to be the rule of the road these days - punish everyone.
