Why Appraisers Say 'We Have Targets on Our Backs'

Abstract

Many appraisers express dissatisfaction with the impact industry regulations and appraisal management companies are having on their business, saying these issues are delaying their work, according to NAR's 2022 Appraisal Survey. "We are being called racists left and right in an attempt to destroy the appraiser." The survey of more than 600 appraisers and 2,500 residential real estate pros was conducted in May. Only 3% of real estate professionals report witnessing or experiencing discrimination in the appraisal process, the NAR survey shows. The number one concern for appraisers, the survey shows, is appraisal management companies that are disrupting the industry. AMCs work with lenders and appraisers to order, track and deliver appraisal reports. Survey respondents complain that AMCs can delay appraisals for days or even weeks as lenders shop for appraisers with the lowest fees or quickest turnaround times. The majority of appraisals continue to be conducted in person, but desktop and drive-by appraisals-which don't require an appraiser to enter the home-are becoming more frequent options, the survey shows. 63% of appraisers surveyed admit they are "Very uncomfortable" with desktop appraisals and many other alternative valuation methods that are completed remotely.