Interesting. I thought that the mortgage company/bank chooses the appraiser. Course, as a LO, no RE agent will use You if you kill their deals and use a tough appraiser. That means while he was inflating your house value, you were making debt go away and income magically appear. LOL <:-)
The reality is, is that one hand washes the other. The buyers, sellers, RE agents, appraisers, settlement lawyers, bankers, et al are all in on it. Oh, I left out the biggest culprit who should be named, Government.
I do have one suggestion I gave to Barry Ritholtz on his blog. Regulate the apprasiers at either the state or Fed level and let the BUYER choose one from a list who is expert in a given zip code or neighborhood. The buyer pays for these anyway, for the most part, but the whole system is so out of the buyer's control, that it's a travesty that he has to pay for it. At least that way, the RE agent has to meet the apprasier with not just comps, but a wad of cash. LOL |
