I always thought “The Appraiser” was a good name for a reality tv show. Unfortunately, the reality is real and the appraisal process is one of those accidents waiting to happen.

There is a tongue in cheek style article by Sheree Curry in the recently ramped up HousingWatch page on AOL

Are Appraisals the New Organized Crime?

that essentially takes some of the burden off of other parties in the real estate transaction such as mortgage brokers, and places it on the shoulders of appraisers. In many cases, rightfully so.

Of course this doesn’t apply to all appraisers and in fact many appraisers aren’t really…appraisers. More like form fillers.

And some are appraisers are going to have their day in court – but not enough of them.

Here’s a related article I authored for American Banker last summer called:

Then Don’t Call It An Appraisal.

Hey, you got a problem with that?


2 Responses to “[Mob Mentality] Appraisers Aren’t THAT Organized”

  1. I love this line “in fact many appraisers aren’t really…appraisers. More like form fillers.” You are exactly right! Thanks for the great article.

  2. Edd Gillespie says:

    Well organized it may not be, but cooperative it is. There is just no doubt that appraisers are in good spot to enable the corruption, so long as they do it fast and cheap.

    The “too big to fail” banks seem reluctant to do the right thing for any reason, including help and pressure from the President.

    So watch out for the loans headed into the secondary market. That whole segment is being resurrected, and it is pretty likely going to be the only place enough money can be raised to satisfy the mortgage market and its demands, including shifting risk. The bundlers sort of blew their cover, but they will come up with something to encourage investors once again.

    And appraisers have given ample evidence that the industry is willing to enable whatever the banks want.

    Bummer the AMCs now get a bite out of the meager fee.