Valuation Review Subscribers

Though everyone might not see eye-to-eye, new Dodd-Frank Act regulations, like the “customary and reasonable” fee rule that’s dissected in this special report, are opening the lines of communication between industry players. The communication is necessary for everyone to understand the other side of the argument.

Whether you’re an independent appraiser or bottom line-focused lender, everyone depends on each other to get the job done. In the case of the customary and reasonable argument, the common problem, regardless of which side you’re on, is that there was a breakdown of communication and professional appreciation between the parties. Appraisers became the hurdle to getting the loan approved, AMCs stepped in to manage a broken relationship and the lenders continued to pay the same fee, while they were obtaining a service from AMCs.

The fault cannot land on the shoulders of one group. If a good number of appraisers are taking a fee that is sub-standard, that is a problem. If AMCs are providing a service to the lender at the cost of the appraisers, that’s a problem. If lenders aren’t willing to pay more for the AMCs value-added service, that’s a problem.

This 11 page PDF special report from the Editors of Valuation Review takes an in-depth look at the current issues and conversation surrounding ‘customary and reasonable’ fees.

Paying the Customary and Reasonable Price:

• Examines the cost of customary and reasonable fees
• Looks objectively at what a ‘customary and reasonable’ fee should be
• Features results from a recent poll asking appraisers what, exactly, they believe the fees should be, in dollars
• Shows how Fifth-Third Mortgage has taken the first step by setting a fee structure
• Shares highlights and takeaways from a Las Vegas panel discussion
• Examines the debate’s most recent developments

Available FREE with Valuation Review Annual Subscription.