Texas A&M Reveals Results of AMC Fee Survey
A Texas A&M University Real Estate Center study revealed Nov. 5 that 3 out of 5 appraisers in Texas received at least half of their assignments from appraisal management companies. Thirty percent of appraisers said they did not complete any assignments for AMCs while 6 percent said they exclusively worked for AMCs. The Real Estate Center polled 1,584 appraisers on their dealings with 55 appraisal management companies conducting business within Texas. The survey captured information on fees paid to appraisers by AMCs and by other clients to evaluate differences in fees paid based on property factors, market area and appraiser qualifications.
A majority of surveyed appraisers reported that AMC fees ranged from $300 to $450 per report, with non-AMC clients paying anywhere from $350 to $450 per assignment. Almost all AMCs (98 percent) said that the complexity of the property would cause them to increase an appraisers’ fee, as would location. About 85 percent noted that a rural location or a large property also would increase the fee.
The survey found that AMCs based their appraiser selection process primarily on level of experience, prior work for the AMC and a reputation for quality work.
The survey was required by House Bill 1146, which passed in the 82nd legislative session. It was produced with the assistance of the University of Houston’s Hobby Center for Public Policy and the National Opinion Research Center at the University of Chicago.
See the complete survey results.