When you stop to think about the benefits, an appraisal review is truly worth its weight in gold. The main objective of ensuring accuracy in the estimation of a property's value is a no-brainer for community banks and credit unions alike. A comprehensive appraisal review locks down a clear assessment of the property, going over every detail to protect the financial institution's investment. A real estate appraisal reports accuracy is just one key benefit, though, and appraisal reviews offer numerous advantages to support their required usage.
Not too long ago, the process of appraising houses was a bit like the Wild West. In the years leading up to the housing crisis and recession, loan officers lenders had more of a hand in the appraisal process. In some cases, that led to lenders trying to influence appraisers to increase the perceived value of a home. In 2007, 90 percent of appraisers reported feeling pressure from someone — such as a lender, borrower or real estate agent — to inflate the appraised value of a home. In 2003 that number was 55 percent and I would like to know the current percentage now after more than 10 years have passed since the beginning of the housing crisis.
Good relationships serve as the cornerstone in just about every line of business. Tasks become easier and company goals are more attainable when everyone works together. A company's plans run more smoothly with respect, honesty, and consideration at the helm of the partnership. As with any industry, the success of the appraisal process depends on a solid relationship between the appraiser, the appraisal management company, and the bank or credit union.
At SAMCO, we strive to ensure our relationships with appraisers and financial institutions are second to none. Here are a few of the key reasons why we believe good relationships are so vital in our line of work.
St. Patrick's Day has been a popular holiday for hundreds of years, but many aspects of it remain shrouded in mist as thick as pea soup. From leprechauns to shamrocks and shillelaghs, there's more to the symbols of St. Patrick's Day than meets the eye. Here's your chance to impress your friends with your knowledge of St. Patrick's Day's most colorful symbols and traditions.
SAMCO works with an extremely talented group of appraisers in multiple states. The appraisers that we work with have an exceptional skill set for their markets. Our clients (Community Banks & Credit Unions) offer services in some pretty unique areas. From a farm in the Midwest to the Upper Peninsula of Michigan (SNOW Country). Our appraisers know their markets.
If you are a mortgage lender, appraisal management fees are a necessary part of your business. Before you choose an appraisal management company, you want to make sure you are getting a fair price. It's important to know how to tell if an AMC fee is accurate. What is an average AMC fee? How much do AMCs typically charge? Here are five ways to tell if an appraisal management fee is accurate.
In the wake of the 2008 financial crisis, home sale activity plunged and foreclosures increased dramatically. As a result, the pool of recent sales appraisers could use as comparable sales shrank. At the same time, REO sales (“Real Estate Owned” by banks) became an increasing percentage of sales. In many cases, appraisers used REO sales in their appraisals – with complaints subsequently levied by brokers and buyers who argued that the use of REO sales resulted in appraisals that understated market value. So what exactly is an appraiser supposed to do in such a situation and is the use of foreclosure or REO sales acceptable practice?
New Year offers the chance of a fresh start, and one of the most positive changes you can make is to get your finances into shape. When your money's under control, life's less stressful in most other ways as well. Here are seven New Year's resolutions which will help smooth your financial path through 2018.
Stop One Bad Habit
The path to a better budget is easier when you take it one step at a time. This New Year, think of one bad financial habit you have and aim to eliminate it as soon as you can. Whether this is online impulse shopping you later regret or a weakness for eating out when you can't really afford it, making one single change is more achievable than trying to change your whole financial life around.
Details about the Tax Cuts and Jobs Act were released on November 2, 2017, and though it was promised that mortgage deductions would not be affected, there have been several noticeable changes. The bill is still in its early stages, but it is important to know how it could affect your home buying decisions in the future.
The times have certainly changed! Just a few short years ago no one would even have thought of applying online for a mortgage. A recent study by the American Bankers Association showed that 60% of real estate borrowers today prefer to apply in person for their mortgage instead of applying online. I’m not surprised that it’s 60%, I’m surprised that 40% of today’s borrowers would choose NOT to be face to face with their banker. That same survey revealed that 66% of today’s borrowers are not confident with their knowledge of the mortgage process. Could be a fairly strong correlation and the reason the borrower would want a ‘real’ person helping them.