1. TEGoVA Spring Meeting May 19, 2018
1/17/2019
Impact of Appraisal Management Companies on the U.S. Valuation Profession Jefferson L. Sherman, MAI, AI-GRS Appraisal Institute Vice President
TEGoVA Spring Meeting
May 19, 2018

2. Presentation Highlights
1/17/2019
Presentation Highlights
Why appraisal users/clients use AMCs
AMC screening process
AMC ordering systems
Acceptance of work from AMCs

3. Why Appraisal Users/Clients Use AMCs
1/17/2019
Why Appraisal Users/Clients Use AMCs

4. Appraisal Independence
FIRREA
Appraisal operations
Bank examinations
HVCC and Dodd Frank
Non-mortgage uses and issues
Portals

5. Home Valuation Code of Conduct
Intent of HVCC
Unintended consequences
Review function
Increased use of AMCs

6. 1/17/2019
AMC Screening Process

7. Appraiser Knowledge and Experience
Quality control
Cheap and fast
Out-of-market

8. 1/17/2019
AMC Ordering Systems

9. Appraiser Competency “Broadcast ordering systems” Qualified appraisers
Focus on cost and turnaround time
Outsourcing of appraisal management functions

10. Acceptance of Work From AMCs
1/17/2019
Acceptance of Work From AMCs

11. Importance of Appraisers and Appraisals
Pressure to “hit the number”
Assembly line
Diversified appraisal practice

12. Importance of Appraisers and Appraisals
Commoditization
“Cost-plus” models
Fee disclosure

13. Recap Why appraisal users/clients use AMCs AMC screening process
1/17/2019
Recap
Why appraisal users/clients use AMCs
AMC screening process
AMC ordering systems
Acceptance of work from AMCs

14. TEGoVA Spring Meeting May 19, 2018
1/17/2019
Impact of Appraisal Management Companies on the U.S. Valuation Profession Jefferson L. Sherman, MAI, AI-GRS Appraisal Institute Vice President
TEGoVA Spring Meeting
May 19, 2018