# Dutchie, MN Gardener...appraising question



## Cassie (Dec 7, 2002)

My husband was a self-employed appraiser for years, but it just wasn't for us. He loves appraising, but as you probably know, it's really tough for the honest ones when there's so many out there who will "make it work" for their client. Anyway, he has been an employed appraiser for the last 4 years. The bank he's currently working for said he could do appraisals on the side to supplement his income. Right now he's a reviewer. The catch is that he can't do any appraisals that are for lending purposes. That leaves litigations, divorce, tax appeals...? I called a few attorneys and they said they don't use appraisers, if their client needs an appraisal they contact them on their own. 
My question(s):
Am I missing something? Is there something else he can do to put his appraisal license to use? Sure he can do tax appeals and divorces but are there really that many and how does he find them? Because it would be part-time we couldn't justify spending a lot on advertising. I'd appreciate any thoughts, we really need to supplement our income.


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## Dutchie (Mar 14, 2003)

Cassie, that is a good question. I agree that it is tough for honest appraisers to make a living, but it is getting a bit better. You are lucky that your husband was able to find a position as a staff reviewer.

As you know, it can take up to 5 years for an appraisal practice to flourish. Your situation makes it harder.

I don't know where you are located and what the real estate market situation is. One of the things you could do is provide measurements for realtors (there have been some lawsuits recently due to "misrepresentation" of the sq ftg of listings) and do "pre-listing" appraisals for sellers and buyers.

One of the things your husband could do is provide your local media with OpEd pieces pertaining to the local real estate market; red flags that buyers should be aware of, etc etc.

Consistantly doing these things will pay off eventually. Good luck!


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## Cassie (Dec 7, 2002)

Thanks Dutchie, those are some ideas we hadn't thought of. We had also wondered if the state board ever hires reviewers since it would be a quality control issue and not for lending. Have to admit it would be sweet justice to play a part in the discipline of those crappy, dishonest appraisers that made self-employment so miserable. He used to have loan officers tell him he was good, but if they needed the deal to work they wouldn't use him and Realtors were just plain hateful. (sorry, had to get a little venting in) 

We are in St. Charles County, MO. Close enough to work in St. Louis, yet it would be nice not to. 

Thanks, I'll pass this on to my husband!


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## Kevingr (Mar 10, 2006)

A friend of mine is a self-employed appraiser here in MN. The recent lending changes has actually made him busier, now lenders can't call their buddy for an appraisal, they all need to work of a list of local appraisers and everybody gets their turn.

Maybe that's a local change? But I thought it was a new rule (law?) because of all the alledged predatory lending.

He did make the statement to me though, that in the early 1990's he was getting $375 for each appraisal and now it's only $275 so he needs to work more for the same amount of money. So he's actually working more for less money these days. Tough business to be in from my view, but at least he's working.


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## Cassie (Dec 7, 2002)

Yes, we found it to be a very tough business, that's why he's happy to be employed for a conservative lender who actually wants an honest appraisal.


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## Dutchie (Mar 14, 2003)

Kevingr said:


> He did make the statement to me though, that in the early 1990's he was getting $375 for each appraisal and now it's only $275 so he needs to work more for the same amount of money. So he's actually working more for less money these days. Tough business to be in from my view, but at least he's working.


That is the problem. As long as appraisers accept those fees, they will never get what they should.

My position is that _*I*_ set my fees ... not the AMC. I am not on their payroll so they have no dog in the fee hunt.

I will not accept anything lower than my fee and I stay pretty busy. Of course I do predominantly rural appraisals but still.


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## MN Gardener (Jan 23, 2008)

Dutchie said:


> That is the problem. As long as appraisers accept those fees, they will never get what they should.
> 
> My position is that _*I*_ set my fees ... not the AMC. I am not on their payroll so they have no dog in the fee hunt.
> 
> I will not accept anything lower than my fee and I stay pretty busy. Of course I do predominantly rural appraisals but still.


Well said Dutchie. I am in a rural area and do the same. 

As far as other appraisal sources besides lending, have him talk to the county's collection / probate department. He could possibly do appraisal for them. In MN an appraiser can take classes and become licensed to assess for tax purposes. Many small townships in our area hire their own. It is usually a contract position. He might want to do a small inexpensive ad in the paper saying he does appraisals for divorce, probate matters, tax matters, etc. Maybe contact appraisers to offer a review / QC services to give them input on how to make their appraisals better and pass through a reviewer without issues. 
Can he do retrospective reviews for MI companies? If so, maybe he can contact some AMC about doing those.
He might want to contact the appraisal licensing dept at the state and see if he can review there, or maybe even FHA/VA/USDA/HUD

He is really limited if he can not do lending appraisals, but hopefully some of these suggestions help.


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## Cassie (Dec 7, 2002)

Thank you, MN gardener, great ideas. I don't know what MI companies are, but I'm sure he will. I think we'll try the ideas here and see which one(s) work.

I just compiled all the ideas to present to him, between the two of you I feel like we have some great, actionable ideas! Thank you so much!!!

We've had to really cut back, he was a district appraisal manager for World Savings, which became Wachovia, which became NO job--he was laid of with thousands of others last year. The difference in pay from a manager to a reviewer has been painful, so we need to supplement the income.


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