This may be copied for training purposes. Courtesy of ZipAppraisers.com

Invaluable Tips for Loan Officers and Processors

How to cut down on appraiser turn around and avoid appraisal reviews.

Most of the appraisers you have called are out one to two weeks and you need one by Monday.

How can you get yours quicker. Most appraisers have only so many hours in a day, and when it is near the time to go home they don’t feel like spending two hours to go and see property that is a half hour or so away from their office. However, an appraiser rarely feels bad squeezing an inspection in front of others that is located only 5 minutes from the office. Appraisal orders that are located nearby are frequently accepted even though they just told someone else to call an other appraiser because they are “too far” out. This is the reason appraisals of properties located just minutes away are often done in just days while others sometimes take weeks.

Local appraisers also know the area best and don’t get reviewed near as much as appraisers who are going outside their local area. They are frequently copying over other appraisals they just did in the neighborhood. They know lot values for the local neighborhoods without having to research these anew because they are constantly on top of local lot sales. They know the local news and municipal plans of which appraisers from another town may not be aware. Overall, using appraisers as close to home as possible is almost always a good idea that will save you a lot of time, both in turn around time and by not having many appraisal reviews.

How to avoid wasting time on over-mortgaged properties!

Most loan officers are on commission. You don’t make any money if you don’t make a loan. Experienced loan officers seem to spend most of their time assisting borrowers with purchases or refinancing those who still have equity to borrow from their home. Less experienced loan officers spend a significant amount of time trying to assist those who have borrowed everything, and a little bit more. Many of these can be screened out quickly by changing one question. Do not ask a homeowner “How much do you think your home will appraise for?” We all know there have been untold numbers of appraisers “giving” unbelievable values. When Joe Borrower is asked how much his home will “appraise” for, or how much his home is “worth,” he often thinks of the neighbors appraisal on a similar home for $180,000, and thinks his should appraise for as much as theirs. Then more time is wasted contacting appraisers for nothing.

Avoid this scenario by asking him “How much do you believe your home would realistically “sell” for at this point in time? Not surprisingly to the experienced loan officer, this will often bring a completely different answer from the same borrower. When asking the question this way, the borrower thinks about the home accross the street that is similar to his that just “sold” for $150,000. With this more accurate reflection or opinion of value from the home owner, the loan officer can screen out those he may not be able to help, who did not mention that three other loan officers and appraisers, have wasted numerous hours attempting to assist them, but they are all borrowed out. Knowing this, you can move on by asking them for a check for $350 to have it appraised, and spend the rest of your morning with the borrowers who still have equity and have been waiting for you to call them back, before they call someone else, who has time to help them.

Published by ZipAppraisers.com Certified Appraisers by Zip Code