Well folks here we are, three years into a recession and we are now over-regulated to the point I can honestly say we can't get anything done! On April 1, 2011 the implementation of the Financial Reform Act written by the genius's Senators Dodd and Frank went into effect and guess what? Home loans are frozen again!!!
As I spend most of my days researching comparable sales and fighting low-ball appraisers who have labeled the appraisal process as "low and go", that's right. We are now in a situation where banks or consumers pay for an appraisal that isn't worth the paper its written on.
Since we have been forced to pick an appraiser out of a hat, the quality and integrity of the appraisal process is finally at an all time low. Literally every appraisal I see from a bank ordered AMC is such a waste of time, they should be ashamed to sign their names to these reports. It isn't even a value issue anymore, its quality!
Dear appraisers,
I know you have taken a pay cut but honestly, you are still putting your name on these things. Have some integrity in your work! I spoke with an appraiser today that told me flat out, he doesn't get paid to do a good job anymore so essentially the good appraisers took a pay cut and the incompetent ones got a raise. I have seen appraisals from appraisers that shouldn't have a license yet they continue to have control over your refinance or purchase transaction. Thank you Cuomo, Dodd and Frank. In your efforts to help the consumer, you have created grid-lock, higher prices, lack of quality and incompetent appraisals on the collateral in which banks lend. Bravo! Thank you so much for looking out for us!
What's next? Should we have cancer patients pick a doctor out of a hat or a corporation being audited pick a CPA out of a hat? That's essentially what's happened.
To my loyal customers, I will continue to fight and work hard for you to get your loans through. Times will change and history will repeat itself, we need to have patience and tenacity because in the end we are still "American" and we are strong and we need to resume to the Freedom we have fought for. Free enterprise has been compromised and its costing you money and home ownership. It is also eroding your wealth and the ability to live a prosperous life.
We are seeing a tilt with some of our portfolio lenders who are opting to have approved appraisal panels so we can again have the property valued before we submit the loan, the value of this process is that appraisers are held accountable for the work he or she is performing. At CFAM we strive to protect our consumers as well as our lenders from this bad behavior. These practices and procedures conjured up politico simply do not work. We are here to help you protect your investment and build wealth. We will say no to these bad, inefficient practices and procedures and when one of these bad appraisals cross our desks, we will fight for what's right! Your family is just as important as my family and your homes are as important as our.
