I want to welcome you to Dart Appraisal's new Dart Board
newsletter, a forum in which we will share issues we're seeing in
the appraisal industry that may have an impact on our lender
partners. I'll also be sharing my observations on these topics,
and explaining what we are seeing here at Dart Appraisal.
Turn Times. For this first issue, I wanted to
get right into appraisal turn times since they have been a hot
topic of conversation for much of 2016. For the most part,
we're seeing turn times "normalize" to 2015 averages. There are
still certain areas of the country, including the Northwest,
Colorado, Maine and rural Texas, where turn times remain above what
we've come to expect over the past two years. We expect this
normalization trend to continue as we head into what is
typically the seasonally-slower lending season.
We know that appraisal turn times have a direct effect on your
loan closing timeline, and that behind every appraisal report is an
individual borrower. Our operations team puts forth the utmost
effort to ensure our reports are delivered as timely as possible,
and with the quality you've come to expect from Dart Appraisal.
We've spent more than two decades building relationships with our
appraiser panel. We continue to develop that loyalty we've built
with our appraisers through a variety of channels, including
hosting in-person networking events across the country, to ensure
Dart's orders receive priority attention.
Appraisal Fees. Another topic of contention
this year has been rapid appraiser fee acceleration. While the rate
at which fees increased seemed extreme, in many markets the
increases were also extremely warranted. Generally speaking, most
appraisers haven't seen increases for their work in some time.
Markets change, and it should be expected that fees for appraisers'
expertise and hard work would change along with the market.
Dart sets our fees using the rates paid to appraisers in the
past 12 months, and we review those fees on a quarterly basis to
ensure our C&R range is appropriate. We recognize that fees do
increase due to complexity, location, etc., and we understand the
effect fee increases can have on the loan origination process under
TRID. To mitigate the delays, Dart offers a guaranteed fee schedule
as well as a complexity fee that can be added at time of order. To
learn more about those pricing solutions, contact your Account
Executive or email@example.com
Appraiser Shortage? "What is going to
happen to the industry with the appraiser shortage?" This is a
question that we hear a lot. For most counties there is not an
appraiser shortage right now, but it's true that there could be one
coming in the future. Becoming an appraiser is no easy feat -
applicants need 2,000 hours of trainee experience, an additional
150 hours of education, and must take a state-issued exam. To
become a certified appraiser, which is required to complete FHA
assignments, you also need a 4-year degree. These requirements are
a huge barrier to entry, and the Appraisal Qualifications Board is
looking into changing those requirements to allow more people into
the profession. Dart Appraisal is also active in conversations with
the MBA, the Collateral Risk Network and the Association of
Appraisal Regulatory Officials about the potential shortage, and we
welcome any feedback from lenders regarding these issues.
This year we've certainly seen higher volumes of mortgage
lending activity than any of us predicted at this time in 2015. We
at Dart Appraisal want to extend our thanks to all of our valued
clients and brokers for their continued partnership, and for
allowing us to provide your appraisal management services. We look
forward to another great year in 2017. If there is anything we can
do to assist you, please don't hesitate to contact us at firstname.lastname@example.org.
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