Written by Woody Fincham, SRA, AI-RRS, RAA
Maybe I am crazy, but I think all of us deserve a better profession as appraisers than what we have presently within the mortgage and lending world. We are in an era where the profession is changing fast. We have many players out there that want to limit or possibly eliminate real estate valuations for residential lending and to some degree on the non-residential side of things as well. The profession should be aligning itself to battle this, but we seem more fractured now than we have ever been. There is too much in-fighting and disagreement among key players in the profession. This ranges from the individuals that have appeared as leaders and with the organizations that make up the professional trade groups and professional membership organizations for real estate appraisers.
The Valuer in The Mirror
The profession is fractured. We need to take a long hard look at ourselves in the mirror. We need to do it as individuals and as part of the various organizations out there. We need to start seeing ourselves as we really are, warts and all. There is not one organization out there that is going to save the valuation profession. There is no one organization that is to blame for all the issues we deal with as a profession. Humans love to separate into groups and then immediately set upon the other groups out there as being somehow inferior to your group.
We have reached a point where we need to stop and take stock of what the profession needs. We are at a point where the fractures are weakening what we can be as a profession. When I was speaking on the leadership panel at AppraiserFest last year, that was the one thing I tried to get across. Stop with the tribalism and fracturing into groups. Stop trying to say your team is the only viable voice out there. All valuation voices matter.
I think the answer is to start by being open to all the various groups out there and seeing the positives in each rather than the negatives. Every professional group out there adds some positivity to the mix. Whether you, as a valuation professional, are a member of a group or not we must see the value in a unified front. Remember, that what we do for the US Economy is a thankless job. One of our biggest user groups, lenders, are also one of the biggest groups that see what we do as an inconvenience rather than a protection of the public trust. It seems with all the alternative valuation products that are constantly being pushed over traditional appraisals that they would rather see us replaced than to deal with us.
Within the organizations themselves the jockeying for individual position holds the organizations back from being truly great. The politics are cut throat and reward those seeking personal gain more than profession-oriented growth. Most of the long tenured organizations are a political nightmare that are more leadership driven than membership driven. I truly do not understand what one gets from hurting others in their jockeying for a position. All this type of behavior does is make individual appraisers not want to participate, thus weakening both the organizations and the individuals.
What should we be doing?
The worst thing any of us can be doing is not participating in the profession. Many, many folks are vocal on forums and social media yet have no membership or involvement with any organizations. What good does it do to complain but do nothing? There are lots of folks that want change to happen but that means you must get plugged in somewhere. Anywhere. Join a state coalition or one of the national organizations. Sitting on the fence and complaining will get the profession, and you, nowhere.
If you have the time attend the meetings and add your voice to the mix. Be opened minded when you are at these meetings and be open to changing your mind about some things. Many of us that use social media get hard-headed about somethings and forget to listen. What I notice with in-person meetings is that social graces tend to come back. People are not so myopic in person (usually) and we tend to be politer in person. On social media folks can sometimes lose their connection with manners.
Not one person reading this, or the knuckle-head writing this, knows everything. If you are not open to discourse in a professional manner, then you may want to reassess yourself. I have found myself feeling very strongly on certain things, only to find out later that I probably should have looked at it differently. This is true of being a member of an organization. No organization is perfect, and they all mess up time to time. All these organizations are run by people and people make mistakes.
Any valuation organization out there worth the cost of their membership should be doing multiple meetings with the other valuation organizations out there several times a year. While we cannot expect them all to agree on all things, they need to be exchanging information and ideas. Some sort of valuation congress. Even the largest organizations have weaknesses that another organization can help with. Some organizations are residentially focused where others are commercially focused. That’s fine. But each organization needs to accept that
What Should We Not Be Doing?
We are an opinionated lot. We get paid to tell others our opinions, and we dig in like a tick when we make up our minds. Many of us are great appraisers but we lack a true understanding of other things. We are a group of professionals that excel at market research that leads to supportable conclusions yet lack the same set of skills when it comes to the larger profession. I cannot tell you how many times I speak with colleagues that have some strong opinions about something related to the profession. Then I find out that they have never read about or researched the topic at hand but had come to their seemingly strong opinion based on conjecture. Often, they have heard another’s opinion on the topic and drawn a conclusion from hearsay. We must treat opinions from others like we do comparable sales data. Research it and find support for it, don’t just take the opinion as fact.
If we concentrate and expend energy on the negativity out there, we are taking energy away from doing something positive. Those that seek to make money off us as professionals benefit form the distraction in-fighting creates. While we spend time finding more reasons to fracture apart further, they continue making money off our work. Some also are using that advantage to try and replace us. It is okay to agree to disagree, it is not okay to try and attack someone just because they disagree with you.
Once you are involved with an organization do not put yourself before the whole. Trying to earn a position at the expense of a colleague is not a good thing. I have seen some colleagues turn into bullies and try to use politics to hurt others to gain a position or to unseat a colleague. If that is your M.O. you are better off not getting involved. Many need to ask themselves, “Are you trying to help out or is what you are doing going to hurt what the organization is doing?”
In the End
We are a small group of professionals. There are, by my account, approximately 75,000 professionals nationwide. We do not have the same lobbying power as the lenders out there. To be honest, the only reason that we have lasted this long is that some legislators see the benefit that we add to protecting the national economy. Since we are so small it is imperative that we cease the fracturing from within. Find an organization that you can support and work with them. Volunteer and stay involved. Organizations cannot work against their members if the members do not become passive. Passiveness is what has hurt the profession more than anything. Well that and bad business practices, but that is another blog post for another time.
Find an organization, or a couple of them, to work with and volunteer to do some work. Do not wait for someone else to try and solve your problems for you. Sitting back and watching what others do will not work at all. Between the different organizations out there look for ones that align with your thoughts and ones that seem open to you and your views. Not every organization for everyone, and even after you lock into one, over time, you may find that someplace else ends up being a better place for you, for that time.
If you have limited time, find an organization that you can support and join. Like anything, not everyone can always get really involved, but your support of the organization makes funds available to help the profession.
5 thoughts on “The Valuer in The Mirror”
Woody, I just read your article and couldn’t agree more with you. Truthfully, I also have said some negative things about certain organizations that I regret. I regret it because as you stated, all of us and all organizations make miatakes. But these same organizations also do some very good things to help appraisers. It’s good to focus in the positive. Thanks for a great article! (As always!)
Nice read Mr. Fincham. I agree, there is too much in-fighting and disagreement among key players in the profession. History has shown us, bitching about the day to days woes of a specific assignment keeps many opposed to doing something about it. Sadly, I feel, these types could be doing a better job. The sad sack approach to appraising should not be a thing. Since we have little participation at the local level we will remain fractured as a profession. Those of you who feel my comment is harsh, please don’t feel the need to trash me, look in the mirror.
This profession is no different than any other business paradigm. Telling appraisers that the industry is in trouble equates to walk up to a farmer and tell him that he is not making enough money in the dairy business.
Let say the farmer take your advice and join a grange. At the grange he hears the farmers discussing the milk crises.
Some farmers say higher quality coupled with higher prices solves the problems. Other farmers think government intervention is the solution. Some farmers say we need to get bigger cows. Some farmers say milk the same cows faster. Some farmers say go back to basics and get organic. Some farmers say diverse into cheese, yogurt and etc and give the pigs the remaining milk. Some farms say we need to stop working the dairy industry! Other farmers say they are too old to change and are riding it out to retirement.
The problem is not going to be solved by joining an appraisal organization. Because a paradigm shift is not created by support the thing that creates the paradigm in the first place.
Very well said Woody. Sadly this has caused most professional appraisers to retreat and not get involved with any of the existing associations. With our simple numbers we need to all be actively contributing what we can to help elevate each other and our industry.
Good read Woody. Thank you for pulling most of what is going on into a concise and realistic look at what we face going forward. Unfortunately it seems that the slow wheels of change have been greased and are moving forward with potential changes that will decimate our profession with or without the professions input. Will there still be Appraisers and appraising, I believe the answer is yes, but nothing equivalent to what we do on a daily basis now. To quote my University Freshman Business Professor, the Buggy Whip company is going out of business….