As our Benchmark Report indicates, there are some regions where the real estate appraisal marketplace is tough. Difficult markets like Hawaii, Pennsylvania, and West Virginia coupled with a 22% appraiser shortage can place lenders between a rock and a hard place. In these tough regions, appraisal fees soar and turn-times are less than stellar. How do you combat staggering fees all while landing the best real estate appraiser for your job? We’re here to help you find quality appraisers where you need them and when you need them.
What makes it difficult to find a real estate appraiser?
Rural or specialized areas can make for a difficult appraisal from the get-go. Washington, Oregon, North Dakota, and other states mentioned in our Benchmark Report might give you a run for your money, literally and figuratively. Typically, appraisers charge for travel time as well as property complexity which includes anything from property values to comparables for research to appraiser availability. As such, appraisal accuracy and appraiser availability become incredibly valuable. Think about it like this: an appraiser who lives in the neighborhood is familiar with the market area, the trends, and the ins and outs of fluctuating prices. Therefore, they’re going to have the knowledge needed for the appraisal. Whereas someone who lives in the next state over and just does one appraisal in the neighborhood each year more than likely won’t. He or she will have to conduct a lot more research which could potentially drive-up the price and turn-time of an appraisal. An appraiser who knows the market area and is comfortable with it is invaluable. At MountainSeed, we have appraisers in all 50 states which means we’re able to provide lenders with quality appraisers time and time again.
So you’ve been dealt a tough region and need an appraisal — how do you find the best appraiser?
Since the real estate market is endless, you never know exactly where your next appraisal might be. We provide appraisers who are equipped to appraise a variety of regions and specialities. While these appraisers might not be directly located in your particular market, they are usually nearby or highly qualified to serve that specific region. We are able to quickly identify the most qualified appraisers for the job because we have established relationships with our appraisers. For this reason, finding the right relationship for you is the first and most important step in our process. Next, we take a look at market turn-times. We want to make sure we’re giving each lender the best appraiser for the job every time you make a request. One way we ensure we’re finding the best appraisers is through bid vetting. Once we find an appraiser that we know will be the perfect fit for a job, we’ll send his or her name to our senior reviewers, and they’ll take a look at his or her resume and samples. From here, we’ll make a decision to determine if it’s a quality appraiser for an order. Bid vetting sets us apart and ensures that we’re able to give you the most qualified appraiser possible.
As you locate appraisers for your appraisal needs (or ask us to do so for you), keep in mind that residential and commercial appraisals are like apples and oranges; the two can’t easily be compared. For one, there’s a clear standard for residential appraisals. There are usually comparables within the area, MLS sales to choose from, and specific expectations. With commercial appraisals, there is no across-the-board standard. From potential red flags to environmental factors, every single property is different. Commercial real estate appraisers usually work across multiple states and take the time to travel to each location which inherently increases turn-times. While commercial appraisals might take longer than residential ones, a quality appraiser will build travel into a reasonable turn time window and still produce a timely report.
Are you ready to let MountainSeed, your top appraisal management company, help you find the best appraisers for your region and beyond? Let’s talk more. We’d love to help.