Comp One Blog - Your Local Expert!

There is a lot of buzz around hybrid reports in the appraisal business these days.  This is where another person inspects the property, and then the appraiser uses that persons observations to complete the appraisal report.  Some appraisers say they would never do this type of work because of the liability, or bemoan the end of the profession because the lender can pay the appraiser less.  Personally, I'm not averse to doing this type of work, but I'm not exactly seeking it out either.  I have yet to have one of my existing clients ask me for a hybrid report based on an inspection done by someone else, but if they did I'd be okay with it. 

So who are the "Property Data Collectors" doing these inspections?  Clear Capital has a program specifically for agents and brokers.  It's all done in an app that walks you through the process including photos, observations about the property and a CubiCasa scan of the floorplan.  Here is a link for more info: 

https://www.clearcapital.com/join-us/broker-application/pdc/#learn_more 

A registered appraiser and real estate agent that I plan to take on as a trainee later this year has done this type of work and offered me some insights.  Like many things, it seems to be a mixed bag.  The assignments pay between $55 and $95.  Consistent with the appraisal business, there are times when there are many assignments available and there are times when there are 0 assignments available.  You can pick and choose what assignments to take, but the options aren't great sometimes, geographically speaking.  It sounds like there is a learning curve, but the inspections can be rather time consuming, especially at first.  

In my mind, this could be a good opportunity for new agents or agents looking to supplement their income while things are slow.  It's work in the real estate field, and it gets you in front of homeowners who might one day use your services.  On the other hand, it doesn't appear to be all upside considering the fee relative to the time, the distance you might have to travel and the inconsistent flow of work.  

My typical fee for an appraisal is $450.  I'll be interested to see what lenders will be willing to pay for a hybrid report where I'm using the data collected by someone else.  So far it hasn't come up.  

 Contact Comp One Appraisal Services today and put our local expertise to work for you.  Based in the Globe Building at Peachtree Dekalb Airport, we're the perfect resource for attorneys, agents, homeowners and lenders.  Thanks for your referrals and thanks for reading!