HAMILTON MORTGAGE CORPORATION
One of the main obstacles facing loan originators today is the appraisal. Real Estate sales are down, comparable sales are hard to come by, and the new appraisal laws (HVCC) only complicate the issue further.
Because of this Hamilton feels that it is more important than ever that the appraisers we use be competent and willing to go the extra mile to insure an accurate valuation. Since HVCC went into effect in May of 2009 many Appraisal Management Companies (AMC’s) have put a premium on finding the appraiser who will work for the cheapest rate rather than someone who will work the hardest to give the lender an accurate valuation. In many instances this has resulted in appraisers doing work in areas in which they are barely familiar. We have heard of cases where the lender has traveled over 50 miles to do an appraisal.
One common misconception about HVCC is that the appraisal has to be done by some large national disinterested third party. While the law does prohibit the originator from ordering the appraisal directly or controlling the selection of the appraiser on a particular file it does not say that you should discard your local appraisers whom you have known and trusted for many years. To combat this problem we have contracted with local competent companies who will interview your branch as well as appraisers in your immediate area to insure that your appraisal is done by local competent appraisers. The companies we have chosen are also managed by an appraiser which makes the process of reviewing a tough appraisal for the lender a smoother process.
In addition we have sought out AMC’s who pay the appraiser a fair wage for the job because even though the appraiser cannot control the value of the property in a particular area he can control the timeliness of the review and the service provided to the client. Finally we feel that it is important that from a technology standpoint that the AMC have a system that allows the originator to be able to track the appraisal in real time and upload any critical information to the appraiser instantaneously. Each branch is given a username and password and can access the appraisal order form and tracking system through the Hamilton Website.
While HVCC has definitely made the appraisal process tougher for the lender it is our goal to make the process as painless as possible for our branches.