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The monthly newsletter · Issue #2

Independence doesn't mean isolation

Agents can talk to us. The line is where information turns into pressure, and it runs in every direction.

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Hey friend,

I recently read an AppraisersBlogs article titled "Appraiser Independence: What Does It Mean and Who Does It Apply To?" It got me thinking about how often our own industry gets this wrong, and sometimes how often we do.

Our job is to develop a credible, unbiased opinion of value. Not the number that closes the deal, protects a commission, keeps a homeowner happy, or keeps the AMC sending orders. Simple to say. Not always simple to live.

One misconception I still see: that agents shouldn't talk to the appraiser at all. That's not true, and I don't think it helps us. Comps, improvement lists, permits, HOA details, receipts, competing listings, things about the property you'd never catch on inspection. I want that information. A good agent can be one of the best resources on a unique property.

The line is crossed when information turns into steering. "Here are three sales we think are relevant" helps the process. "We need this to appraise at contract" doesn't. Asking whether you received the info is fine. "Are we going to be okay on value?" before you've finished is something else. Regulation Z, § 1026.42 draws that same line: parties can ask us to consider more information, explain a conclusion, or correct an error. What's prohibited is coercion.

It's also worth remembering we aren't the enemy of the transaction. We don't create the market. We analyze it. Sometimes our conclusion supports the contract price and sometimes it doesn't. Neither one means we helped or hurt anybody. A good appraisal protects buyers from overpaying, helps sellers understand how the market sees their home, and gives everyone an objective look at the collateral.

And independence has to apply in every direction. Pressure doesn't only come from agents. It comes from homeowners, loan officers, lenders, AMCs, reviewers, and clients who control our next assignment. Sometimes it's wrapped in a revision request, an unrealistic turn time, or a hint that future work depends on the "right" result.

Here's the part that's on us: we have to earn that protection. Stay competent. Communicate clearly. Fix legitimate errors. Consider relevant data. Independence should never become an excuse to ignore good information or dodge reasonable questions.

A few things to sit with this week:

1. Do you make it easy for agents to send you useful information, or do they feel like they're not allowed to call?
2. Where does pressure in your business really come from? Is it the agent, or the client who controls your pipeline?
3. Have you ever used "independence" as cover for not wanting to revisit a conclusion?

The healthiest process isn't one where everyone is afraid to talk. It's one where everyone knows the difference between sharing information and applying pressure. That isn't working against the transaction. That's protecting it.

Talk soon,
Ben Longshore
Ben's Appraisal

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