I'm a third-generation appraiser, David. In 1984 Santa didn't bring many presents at Christmas... sucked... but in 1986 he really delivered! That's when mortgage rates went back down to 9% (single digits!) I never saw my dad that year, but he made the cash. That's just real estate. Hang in there. All will be good. The average age of your competition is 76 years old, so you have time on your side! LOL!
Hey David, i appreciated yyour rant. It was very real abd informative, and it did not detur me from looking into the career path. Thanks for your videos, they help keep it up and i pray God's favor upon u inbthis next season of your life!
I’m a RE broker transitioning into appraisals, the best advise I’ve ever been given in RE is to invest in rental property as an agent/appraiser/lender precisely because you’ll have years of bounty and of famine. Those rents will hold you over and help build a retirement. Great videos keep up the good work!
Thank you for your honesty. I live in Los Angeles. I'm in school to be trained as a real estate appraiser trainee. Keep being honesty! Stay Strong. I enjoyed your video 😃
@kaycee5618 I’m also in LA and want to get started - can u tell me what school u are attending? I’d like to explore and get going. Are u a trainee also at this point? Thx u!
Good morning. Rio Hondo College in Whittier has a FREE online Appraiser Assistant Program. You must complete 60 college units including 4 appraisal courses to receive a certificate. This certificate qualifies you to apply to work for the Los Angeles County Tax Assessors Office. I just enrolled this Fall semester. The Professors are great. So far, it's a great program and opportunity. @@mcarroll78
I forgot to mention. If you already have a degree or units from another college or university, you can transfer those units towards the 60 units. I just received an AA degree in Real Estate, so I transferred my units to Rio Hondo College to qualify to only take just 2 courses. I should received my certificate at the end of this semester -around December 2023.
A larger, more diversified firm is going to come ahead during these down markets. We have shifted from lots of lender work to lots of right of way work. But we had these clients before all this. I just got my CG yesterday and I was grinding for 2 years and o my got bumped to a 32.5% split. There’s pros and cons in this industry. Most everyone says the money comes once you’re an MAI and can delegate work to support staff. It’s just so hard to get there.
Hi Erin, thank you for the feedback. I’m glad this type of unfiltered format resonated well with the viewers. It’s a tough market out there but hopefully you’ll be able to find an employer. I wish you the best of luck in your journey!
I appreciate this! I didn’t even know you could make money as a trainee so it was pretty informative. I’m taking the courses now for PA. But I appreciate you giving some inside info
Making 50k+ right now sounds great with the amount of flexibility you get during a down time. This is all fields across the board. Still motivated to be an appraiser. Everything always bounces back. Please make more videos.
Is there an update coming soon? I Was doing real estate up until about the time you posted this. I’m looking into becoming an appraiser now… and this video came up. I like the insight
You'll be alright just hang in there. At least your actually doing assignments and making money to support your family. I can't even find a supervisor willing to mentor me. Really wish there was more structure and support for trainees. Anyways enjoy your trip!
Agreed! I’m at least done with all the hours, training, and at the least there’s still assignments coming in. Overall it’s better than having no income at all. There are many trainees who have it much worse than I do. Hopefully trainees will have it easier in the future with PAREA, and more willing supervisors appraisers. Thanks for your support and appreciate the comment.
Thank you for the video. This content is rare but necessary for people trying to get into this field like myself. Please do a video about the fee split and application process you mentioned.
Appreciate the feedback. I can certainly do a video regarding fee split. It varies per company, office, and position. However I’d be more than happy to share my own experience. Just to better understand your entire question, would you mind elaborating what you meant by application process? Thank you for watching!
You said you’ve been waiting for the state to get back to you to take your test after applying for your license. I’m curious is it normal for it to take that long or was it just your area? I’m trying to understand realistically how long the process is from starting the assistant coursework up to getting licensed
@@rochelle2244 Got it! I believe it’s just for Oregon. It typically shouldn’t take this long but I’m just unlucky at this point. I can definitely make a video going more in depth. Thanks for clarifying!
Did you get your license bro? I had to wait 9 months for my Real estate license. It will eventually come i promise 🤞 looking to expand my real estate career. I resoect your hustle 🤙
Hey David, just found your channel through the discord group. Great video! I feel the same about everything you mentioned. I’ve been a trainee at a national firm for the past 2.5 years and just got my CG last week. My pay as a trainee, for a lack of better words, sucked. I think I grossed $50k when on salary, went to fee split right when all the work slowed down and fees dropped so that year grossed like $38k. This year, if you can believe it, is on track to be lower than that. My situation is to the point where I’m basically working for free and am in the process of leaving my national firm and going out on my own doing commercial and residential. It got so bad in our region that my supervisor, who has his MAI, had to get a part time job to make ends meet. Tough all around time to be an appraiser or in the real estate industry all together. Hopeful and confident things will be better in 2025!
Thanks for checking out my channel! Congratulations on getting your certified general license. I absolutely understand what you’re going through. Market is tough. Hopefully it gets better for us all soon!
Yikes! I’m relived to hear I’m not alone but I am also very sorry to hear that you’re in the similar situation. Would you mind sharing additional details leading to the delay?
As a trainee, I don't source any leads. For the MAIs and seasoned appraisers, the answer is both. The appraiser is responsible for getting on panels with AMCs and that should bring in at least 70% - 80% of their work. Occasionally the company, or a different appraiser from another state but still within the company, will refer our office to appraise a property within our area. The referrals from within the company make up roughly 20% of the appraiser's work. However, these percentages can vary from month to month, and sometimes large portfolios can make up a huge chunk of work for that month.
David, have you thought of venturing out on your own once you are licensed? You could use your connections you have already made and then you can set your price and nobody gets a cut.
Ton of AMC would not take on an appraiser with less than two years of being licensed. Plus there’s tons of administrative and technical support the larger firms provide.
Hey I'm trying to become a appraiser i aiming for the license appraiser but my family is the appraisers in my area and there not enough hours or work to get the hours to qualify this has been helpful to see
Glad you got this off your chest. Hey, every industry and market has its downturns. Unfortunately, not everyone has the opportunity or platform to vent their frustrations. You’re younger than I, probably. You have time. I’m in my early 40s getting into the career, so my challenge is financing the courses. I have hope because I know this is what I want to do, and I’m enjoying the research and networking so far. Thanks for your insights, hope got and are, better. Peace. ✌🏾
Hi, I know is being tough right now in the market but I also think is the best time to learn and study. Market will get better. Could you recommend the best online courses or institutes to become an appraiser trainee?
Well said! I would check out our Discord for free study materials. I’ve uploaded several online courses I’ve taken over the years and some exam prep pdfs. Hope that helps!
I’m a trainee in Raleigh nc. From what I’ve noticed it really depends on the location. All markets are different. We have slowed down to what I would say is normal. Last year was crazy
It truly does depend on market and location. In my first two years, the workload was similar this, however our firm hasn’t truly established its presence and build a consistent pipeline of work & clients. That’s why it feels so slow given the amount of work we’ve taken to build a decent pipeline yet hardly any work is coming in. Appreciate the comment and best of luck in your journey!
@@atobias2013 my advice would be to find offices and actually hand deliver resumes instead of emailing them. Also try to find appraisers that are not mom and pop shops because they might not have enough volume work wise coming in to pay you well.
I'm just finishing my residential real estate appraisal classes. I have a feeling it's going to be really difficult finding someone to train me.. if so, then what should I do?
I'm not familiar with the residential side, but from what I've heard others have utilized cold-calling and emailing residential appraisers. You could always try using job search boards like Indeed and LinkedIn. On the flip side, you can also check government positions or brokerages. It's a tough market out there, best of luck!
To better understand, trainee appraisers can appraise commercial properties? I was under the impression that commercial properties were for certified generals? Thank you in advance for your response!
Good question. It basically depends on your supervisor appraiser and your office. Trainees provides assistance to their supervisors or senior appraiser. Therefore if the senior appraiser works on commercial properties, then that’s the majority of the property type the trainee will work on and assist with. To appraise most complex commercial properties independently, then trainees will want to get their certified general.
This video for me answers some of my questions and concerns. The low expectation of possibly earning 50k thru 60k due to slow appraisal business is okay for me due to my current $46k a year state job. I currently work for a state of Texas job(nothing in the appraisal industry) that is 46k yearly. However, I have been at this same job position for nearly 10 years. I have been passed over for promotions 10x even though the internal job postings say college degree preferred. I have a bachelors and this state of TX job keeps selecting people for promotions without any college degrees.. and also they keep selecting those with less experience than me. I am ready to do something different and doing appraisals interested me!
Time to start picking a niche for independent work 😉 Kidding. HOWEVER, I will say.... slow times don't last long and are usually followed up by boom times in appraisals. If the economy gets REALLY BAD, people will rush to refi, and the carpetbaggers will scoop up the deals. I hate to use the RE agent cliche "lull".... but that's what you're in. Between each real estate cycle, there is a lull. We are going from Hyper-Supply into Recession. Appraisers that know how to make proper adjustments and change their Narratives properly, eat well during a recession.
@@davidtranpdx The initial offer was $50k salary payment amount for the first 8 months, then a fee split. I'm trying to figure out what the pay range looks like in terms of hours. You mentioned that people with MIA or state certification are making $100k-200k, but what is the breakdown in terms of hours that you and they actually put in? Is it 60-80 hours to make that? For your $95k and $110k years, what were you averaging in terms of projects completed per month and hours worked on a weekly basis? I'm trying to determine what the hourly wage would really be because I do have another offer in development so I wanted to know which route would make more sense.
@@Oregonluver Trainees commonly get overworked before they are licensed because they are dependent on their supervisor. Probably looking at 40-50 hours weekly minimum during productive seasons.
@@Oregonluver For the higher year incomes, I was delivering at approximately least 4 reports weekly. Worked probably 60 hours/weekly. Our fees were also higher than usual those years before the rate hikes.
@@davidtranpdx Oh, okay, wow, you've given me a lot to think about. That seems a bit underpaid for the amount of work, especially in the beginning years, speaking from my personal offer. On an hourly rate, would be better with just going with a good salary. They offered me 34% for the first 3 years until I'm state certified, then 40%. Everything has a 2-week turnaround time. Current associates were saying they average 4-6 projects every 2 weeks. I just came from a Big 4 firm for my last internship, where I was paid $36 hourly for cost approach appraisal auditing. So, I'm trying to make sense of this fee split, but it seems like the hours actually put in aren't equivalent to a good salary with just a 40 hour week, at least for the beginning years. Would love to hear what you have to say about this?
Sorry! I know it’s been awhile. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
It's important to note, the problem is not "recession". The previous monetary system has come to an end, and interest rates are going to stay where they are indefinitely.
What is the value range of the homes are that you are bidding appraisals on? (Or perhaps you are quoting commercial appraisal fees?) It is hard for me to imagine fees of over 5K for single family homes. Our average fee for commercial appraisals is $2,100. Thanks!
Just quoting commercial fees. Our office doesn’t appraise single family homes. Mostly multifamily/mixed-use, retail, office, industrial, self-storage, subdivision, and student housing.
Sorry! I know it’s been awhile. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
During periods of economic expansion and recessions appraisers are busy because market values are fluctuating and financial institutions need to know the value of their assets when things go up or down. However, if the markets are stable/supply and demand is more or less not changing/.... then the demand for appraisals slows down.
I have been waiting for 5 months now for my state to get back with me about my application. Really hurts since I have been a trainee for five years now and going through similar mid set as you.
I understand what you are going through! All we can do is focus on what’s within our control. For me, it’s taking additional courses needed for MAI and study for the state exam. Hope your state gets back to you soon!
Good point! However, keep in mind appraising isn't limited to just residential home mortgage rates. Appraisal is still necessary, especially in commercial loans, and portfolio valuations which are most of our work during the end of the year.
Lots of people are in over the heads with limited reserves. So people are still borrowing, just not like before when it made more financial sense. Lots of pressure from realtors & LO to make deals work
You made $100,000 as a trainee?! I’ve been a trainee for the last year and making much less than that. Any suggestions for getting more business and/or higher pay? Great video by the way, nice to know I’m not the only one out there struggling in this field.
Thanks! Depends on your market. Honestly a lot of factors are out of your control. But if you can negotiate a higher split, write more reports, work faster, then that may help!
20 year appraiser here. It's very cyclical. I did well in 2004-2008 . Mid 2008 nothing for 4 months. It gradually came back. It is feast or famine. You need to save 9 months of salary for times like these. I bailed as an independent fee appraiser and went to a local assessor office and never looked back. Im making more than I was as a fee appraiser and I get medical and pension. My only regret is I didn't do it sooner. You may want to consider the commercial side.
Hi Tony. Unfortunately not. I’ll have to do some additional research but at the moment I have no experience or knowledge to confidently share regarding the Canadian Real Estate Market. Sorry!
Sorry! I know it’s been awhile. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
Appraisal is seasonal and cyclical. It is highly sensitive to economic cycles. I am a Certified General, IFA, ASA and court recognized expert. I have been an appraiser for 43 years. My wife works for a firm that is a user of appraisals. I advised my son against the profession. Yes, it is not stable. Staff appraisers get laid off on every down cycle. A lot of appraisers are former agents who have rental property income. Thats how they became experts and how they get through slow periods. It's great if you have additional income streams or a spouse with a significant income and health benefits. I had a 30 emplpyee firm that I sold. Now I am semi-retired I work from a home office and make my own hours and pick my assignments. It was great years ago but that time has passed. Let your wife get into it. She can take care of the kids and work during their school hours.
Not important at all if you're doing only residential but several states require a bachelor's degree to obtain a Certified General license which allows appraisals on commercial properties.
My opinion has mostly stayed the same but at least I hit some major milestones recently. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
This is for any business. This is why when business is up you don't spend the money you made you invest it. Always have a large reserve and invest the rest.
I'm loving the video and your honesty. This profession is awesome if you are trained properly. The problem is that virtually no one is trained properly these days. I wasn't. There are massive shortcuts available out there. I'm not talking software and tech BS. I just figured it out last year at 40. It's the only thing I've ever done since undergrad (finance/real estate) and a Master's Degree in Real Estate. The problem is the training and lack of independence. That is the secret no one is talking about. It is not about designations.
100% fact! The industry revolves around subjective opinions often leading to supervisors to believe their training methods are superior, culminating in the pursuit of the highest designation, make as instructed, where appraiser opinions are sidelined in favor of adhering strictly to the directives of financial institutions. lol connecting the dots will set us free.
I'm on southern oregon coast, past to be trainee. Can't find anyone to get any hours* Any suggestions? Also stressed - working other jobs to try to pay bills why looking And forced to put money in stock, for tax reasons?
Sorry to hear about what you’re going through. Reach out to your state board and ask them about practice appraisals or demonstration of knowledge to get additional hours. Best of luck.
Nope, still working for the same employer! I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
That’s fair. However not everyone puts the ability to purchase a yacht as an end goal but I get the point you’re making. I can’t speak for others but for myself, I would be content if my income provided additional stability and the comfort I see the MAI’s in our office currently enjoy. It also comes down to avoiding lifestyle inflation and proper budgeting but that’s a different story.
I enjoyed your vent very much… thank you. I’m considering this direction, and your points about the honesty of the work, getting to observe how properties grow, and not having to be super social all the time are huge selling points that have strongly attracted me. Also, I’m no expert, but I suspect that your financial and license frustrations won’t last too long. I truly believe you’ll make the maximum amount sooner than many do.
Agreed. It’s quite a shocking amount especially in the beginning. However it’s common in commercial appraisals. Think of it this way, if a 50-unit apartment complex valued at 200K/unit or $10,000,000 and is at a 6% cap rate, that’s $600,000 in net operating income per year. Therefore $4,000 for an appraisal is a small amount considering the net profit.
I'm a third-generation appraiser, David. In 1984 Santa didn't bring many presents at Christmas... sucked... but in 1986 he really delivered! That's when mortgage rates went back down to 9% (single digits!) I never saw my dad that year, but he made the cash. That's just real estate. Hang in there. All will be good. The average age of your competition is 76 years old, so you have time on your side! LOL!
Thanks Phil! Appreciate the comment and hope for better times in the upcoming quarters!
Hey David, i appreciated yyour rant. It was very real abd informative, and it did not detur me from looking into the career path. Thanks for your videos, they help keep it up and i pray God's favor upon u inbthis next season of your life!
I’m a RE broker transitioning into appraisals, the best advise I’ve ever been given in RE is to invest in rental property as an agent/appraiser/lender precisely because you’ll have years of bounty and of famine. Those rents will hold you over and help build a retirement. Great videos keep up the good work!
Thank you and best of luck in your transition!
Thank you for your honesty. I live in Los Angeles. I'm in school to be trained as a real estate appraiser trainee. Keep being honesty! Stay Strong. I enjoyed your video 😃
Thank you Kaycee, it means a lot! And best of luck in your courses, I believe you will crush it! ✊
@kaycee5618 I’m also in LA and want to get started - can u tell me what school u are attending? I’d like to explore and get going. Are u a trainee also at this point? Thx u!
Good morning. Rio Hondo College in Whittier has a FREE online Appraiser Assistant Program. You must complete 60 college units including 4 appraisal courses to receive a certificate. This certificate qualifies you to apply to work for the Los Angeles County Tax Assessors Office. I just enrolled this Fall semester. The Professors are great. So far, it's a great program and opportunity. @@mcarroll78
I forgot to mention. If you already have a degree or units from another college or university, you can transfer those units towards the 60 units. I just received an AA degree in Real Estate, so I transferred my units to Rio Hondo College to qualify to only take just 2 courses. I should received my certificate at the end of this semester -around December 2023.
@@kaycee5618 does rio honda have a real estate appraisal course? Dang I need some help to figure all this out
Thank you for posting this!
A larger, more diversified firm is going to come ahead during these down markets. We have shifted from lots of lender work to lots of right of way work. But we had these clients before all this. I just got my CG yesterday and I was grinding for 2 years and o my got bumped to a 32.5% split. There’s pros and cons in this industry. Most everyone says the money comes once you’re an MAI and can delegate work to support staff. It’s just so hard to get there.
Thank you for your honesty. Definitely gives me some things to think about.
You’re welcome! Happy you got some value out of it.
Thank you for your raw honesty. I too live in LA and actively looking for a supervisor to mentor me.
Hi Erin, thank you for the feedback. I’m glad this type of unfiltered format resonated well with the viewers. It’s a tough market out there but hopefully you’ll be able to find an employer. I wish you the best of luck in your journey!
Thanks David for the insights. I've always wanted a career in real estate but this is a wild time to try to enter into the job market.
I appreciate this! I didn’t even know you could make money as a trainee so it was pretty informative. I’m taking the courses now for PA. But I appreciate you giving some inside info
Im in Pa too. how's it going so far? im interested in this field but still researching to see if its still worth it.
Making 50k+ right now sounds great with the amount of flexibility you get during a down time. This is all fields across the board. Still motivated to be an appraiser. Everything always bounces back. Please make more videos.
Couldn't agree more! Sorry for not posting in awhile, I just uploaded a new video talking about what I’ve been up to in the past ten months.
Is there an update coming soon? I Was doing real estate up until about the time you posted this. I’m looking into becoming an appraiser now… and this video came up. I like the insight
Sorry for not posting in a while. Just uploaded a new video discussing what I’ve been up to since I last uploaded.
You'll be alright just hang in there. At least your actually doing assignments and making money to support your family. I can't even find a supervisor willing to mentor me. Really wish there was more structure and support for trainees. Anyways enjoy your trip!
Agreed! I’m at least done with all the hours, training, and at the least there’s still assignments coming in. Overall it’s better than having no income at all. There are many trainees who have it much worse than I do. Hopefully trainees will have it easier in the future with PAREA, and more willing supervisors appraisers. Thanks for your support and appreciate the comment.
Are you a trainee?
A year. To look at your log? That seems fishy.
Interest rates are horrible. 100k for a trainee is not bad. Some make nothing
@@jjohn2648 I've completed all my course work for Texas. I can't apply for my trainee license until a Supervisor has agreed to train me.
Thank you for the video. This content is rare but necessary for people trying to get into this field like myself. Please do a video about the fee split and application process you mentioned.
Appreciate the feedback. I can certainly do a video regarding fee split. It varies per company, office, and position. However I’d be more than happy to share my own experience. Just to better understand your entire question, would you mind elaborating what you meant by application process? Thank you for watching!
You said you’ve been waiting for the state to get back to you to take your test after applying for your license. I’m curious is it normal for it to take that long or was it just your area? I’m trying to understand realistically how long the process is from starting the assistant coursework up to getting licensed
@@rochelle2244 Got it! I believe it’s just for Oregon. It typically shouldn’t take this long but I’m just unlucky at this point. I can definitely make a video going more in depth. Thanks for clarifying!
Did you get your license bro? I had to wait 9 months for my Real estate license. It will eventually come i promise 🤞 looking to expand my real estate career. I resoect your hustle 🤙
Hey David, just found your channel through the discord group. Great video! I feel the same about everything you mentioned. I’ve been a trainee at a national firm for the past 2.5 years and just got my CG last week. My pay as a trainee, for a lack of better words, sucked. I think I grossed $50k when on salary, went to fee split right when all the work slowed down and fees dropped so that year grossed like $38k. This year, if you can believe it, is on track to be lower than that. My situation is to the point where I’m basically working for free and am in the process of leaving my national firm and going out on my own doing commercial and residential. It got so bad in our region that my supervisor, who has his MAI, had to get a part time job to make ends meet. Tough all around time to be an appraiser or in the real estate industry all together. Hopeful and confident things will be better in 2025!
Thanks for checking out my channel! Congratulations on getting your certified general license. I absolutely understand what you’re going through. Market is tough. Hopefully it gets better for us all soon!
Yes thank you for your honesty. ❤
MAI since 1982 many ups and down - good to have another source of income to help out during droughts - however good career - hang in there -
I have been waiting for over a year to take my Certified General Appraiser test in the state of Arkansas. I feel your pain 😢
Yikes! I’m relived to hear I’m not alone but I am also very sorry to hear that you’re in the similar situation. Would you mind sharing additional details leading to the delay?
Thank you for this video. I have a question, do you need to source leads or are they handed to you by your company?
As a trainee, I don't source any leads. For the MAIs and seasoned appraisers, the answer is both. The appraiser is responsible for getting on panels with AMCs and that should bring in at least 70% - 80% of their work. Occasionally the company, or a different appraiser from another state but still within the company, will refer our office to appraise a property within our area. The referrals from within the company make up roughly 20% of the appraiser's work. However, these percentages can vary from month to month, and sometimes large portfolios can make up a huge chunk of work for that month.
Thanks for the reply man!@@davidtranpdx
David, have you thought of venturing out on your own once you are licensed? You could use your connections you have already made and then you can set your price and nobody gets a cut.
Ton of AMC would not take on an appraiser with less than two years of being licensed. Plus there’s tons of administrative and technical support the larger firms provide.
Hey I'm trying to become a appraiser i aiming for the license appraiser but my family is the appraisers in my area and there not enough hours or work to get the hours to qualify this has been helpful to see
Glad you got this off your chest. Hey, every industry and market has its downturns. Unfortunately, not everyone has the opportunity or platform to vent their frustrations. You’re younger than I, probably. You have time. I’m in my early 40s getting into the career, so my challenge is financing the courses. I have hope because I know this is what I want to do, and I’m enjoying the research and networking so far. Thanks for your insights, hope got and are, better. Peace. ✌🏾
Hi, I know is being tough right now in the market but I also think is the best time to learn and study. Market will get better. Could you recommend the best online courses or institutes to become an appraiser trainee?
great question.
Well said! I would check out our Discord for free study materials. I’ve uploaded several online courses I’ve taken over the years and some exam prep pdfs. Hope that helps!
Thanks 🙏
I’m a trainee in Raleigh nc. From what I’ve noticed it really depends on the location. All markets are different. We have slowed down to what I would say is normal. Last year was crazy
It truly does depend on market and location. In my first two years, the workload was similar this, however our firm hasn’t truly established its presence and build a consistent pipeline of work & clients. That’s why it feels so slow given the amount of work we’ve taken to build a decent pipeline yet hardly any work is coming in. Appreciate the comment and best of luck in your journey!
Hi I’m somewhat near the Raleigh area and I’m looking into networking to find a supervisor to become a trainee. What advice would you have for me?
@@atobias2013 my advice would be to find offices and actually hand deliver resumes instead of emailing them. Also try to find appraisers that are not mom and pop shops because they might not have enough volume work wise coming in to pay you well.
I'm just finishing my residential real estate appraisal classes. I have a feeling it's going to be really difficult finding someone to train me.. if so, then what should I do?
I'm not familiar with the residential side, but from what I've heard others have utilized cold-calling and emailing residential appraisers. You could always try using job search boards like Indeed and LinkedIn. On the flip side, you can also check government positions or brokerages. It's a tough market out there, best of luck!
To better understand, trainee appraisers can appraise commercial properties? I was under the impression that commercial properties were for certified generals? Thank you in advance for your response!
Good question. It basically depends on your supervisor appraiser and your office. Trainees provides assistance to their supervisors or senior appraiser. Therefore if the senior appraiser works on commercial properties, then that’s the majority of the property type the trainee will work on and assist with. To appraise most complex commercial properties independently, then trainees will want to get their certified general.
This video for me answers some of my questions and concerns.
The low expectation of possibly earning 50k thru 60k due to slow appraisal business is okay for me due to my current $46k a year state job. I currently work for a state of Texas job(nothing in the appraisal industry) that is 46k yearly. However, I have been at this same job position for nearly 10 years. I have been passed over for promotions 10x even though the internal job postings say college degree preferred. I have a bachelors and this state of TX job keeps selecting people for promotions without any college degrees.. and also they keep selecting those with less experience than me.
I am ready to do something different and doing appraisals interested me!
Glad to hear it and best of luck!
Time to start picking a niche for independent work 😉 Kidding.
HOWEVER, I will say.... slow times don't last long and are usually followed up by boom times in appraisals.
If the economy gets REALLY BAD, people will rush to refi, and the carpetbaggers will scoop up the deals.
I hate to use the RE agent cliche "lull".... but that's what you're in.
Between each real estate cycle, there is a lull.
We are going from Hyper-Supply into Recession.
Appraisers that know how to make proper adjustments and change their Narratives properly, eat well during a recession.
I just got an offer, and wanted to know what you were making as a trainee your 1st to 3rd year?
Congratulations! Mind sharing what you got? For me, it was an annual payout of 50K, 55K, 95K, 110K, then 45K in that order roughly.
@@davidtranpdx The initial offer was $50k salary payment amount for the first 8 months, then a fee split.
I'm trying to figure out what the pay range looks like in terms of hours. You mentioned that people with MIA or state certification are making $100k-200k, but what is the breakdown in terms of hours that you and they actually put in? Is it 60-80 hours to make that?
For your $95k and $110k years, what were you averaging in terms of projects completed per month and hours worked on a weekly basis? I'm trying to determine what the hourly wage would really be because I do have another offer in development so I wanted to know which route would make more sense.
@@Oregonluver Trainees commonly get overworked before they are licensed because they are dependent on their supervisor. Probably looking at 40-50 hours weekly minimum during productive seasons.
@@Oregonluver For the higher year incomes, I was delivering at approximately least 4 reports weekly. Worked probably 60 hours/weekly. Our fees were also higher than usual those years before the rate hikes.
@@davidtranpdx Oh, okay, wow, you've given me a lot to think about. That seems a bit underpaid for the amount of work, especially in the beginning years, speaking from my personal offer. On an hourly rate, would be better with just going with a good salary. They offered me 34% for the first 3 years until I'm state certified, then 40%. Everything has a 2-week turnaround time. Current associates were saying they average 4-6 projects every 2 weeks.
I just came from a Big 4 firm for my last internship, where I was paid $36 hourly for cost approach appraisal auditing. So, I'm trying to make sense of this fee split, but it seems like the hours actually put in aren't equivalent to a good salary with just a 40 hour week, at least for the beginning years.
Would love to hear what you have to say about this?
Hey David you haven't posted any videos in a while... Did you get your license yet? How has the appraisal business been going?
Sorry! I know it’s been awhile. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
Hey, commercial appraiser trainee here from NJ. I feel your pain haha!
Hey, how to I find a list of commercial appraisers in Georgia?
It's important to note, the problem is not "recession". The previous monetary system has come to an end, and interest rates are going to stay where they are indefinitely.
What is the value range of the homes are that you are bidding appraisals on? (Or perhaps you are quoting commercial appraisal fees?) It is hard for me to imagine fees of over 5K for single family homes. Our average fee for commercial appraisals is $2,100. Thanks!
Just quoting commercial fees. Our office doesn’t appraise single family homes. Mostly multifamily/mixed-use, retail, office, industrial, self-storage, subdivision, and student housing.
Hey David. How is the industry treating you now? Would love an update as I’m about to start my journey into appraising
Sorry! I know it’s been awhile. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
I live in Arizona Phoenix I have been procrastinating about becoming an appraiser it’s so tough to take my steps what do you guys recommend
You are going to need to be highly motivated to make any reasonable money as an appraiser. It may or may not be for you.
During periods of economic expansion and recessions appraisers are busy because market values are fluctuating and financial institutions need to know the value of their assets when things go up or down. However, if the markets are stable/supply and demand is more or less not changing/.... then the demand for appraisals slows down.
Interesting input. Thanks for sharing!
I have been waiting for 5 months now for my state to get back with me about my application. Really hurts since I have been a trainee for five years now and going through similar mid set as you.
I understand what you are going through! All we can do is focus on what’s within our control. For me, it’s taking additional courses needed for MAI and study for the state exam. Hope your state gets back to you soon!
Looking to enter the field, thanks for you content. Whats the discord server you are on?
It’s bit.ly/appraisaldiscord or check the description as well.
Favorite vid so far 🫡
Hi David, what is your industry updates so far in 2024?
Just uploaded a new update video!
Hello, I want to become a retail appraiser. Is the courses the first and most important step here?
Important step would be finding a commercial appraiser that appraises retail properties and would take you under their wing/train you.
What’s the typical split if you work for a firm?
Not sure what the typical or average among other firms are but my split is 45%, company takes 55%.
What appraising can be done when ppl with 3% mortagage rates arent refinancing and ppl buy less housing when the rate is 8%? Just probate??
Good point! However, keep in mind appraising isn't limited to just residential home mortgage rates. Appraisal is still necessary, especially in commercial loans, and portfolio valuations which are most of our work during the end of the year.
Lots of people are in over the heads with limited reserves. So people are still borrowing, just not like before when it made more financial sense. Lots of pressure from realtors & LO to make deals work
I'm 42 and residential appraisal been always a dream of me. Do you think is it late to start from zero?
You never know unless you try! However I will state it’s definitely difficult right now finding a supervisor in the current market.
You made $100,000 as a trainee?! I’ve been a trainee for the last year and making much less than that. Any suggestions for getting more business and/or higher pay?
Great video by the way, nice to know I’m not the only one out there struggling in this field.
Thanks! Depends on your market. Honestly a lot of factors are out of your control. But if you can negotiate a higher split, write more reports, work faster, then that may help!
20 year appraiser here. It's very cyclical. I did well in 2004-2008 . Mid 2008 nothing for 4 months. It gradually came back. It is feast or famine. You need to save 9 months of salary for times like these. I bailed as an independent fee appraiser and went to a local assessor office and never looked back. Im making more than I was as a fee appraiser and I get medical and pension. My only regret is I didn't do it sooner. You may want to consider the commercial side.
Thank you for sharing!
Any updates for 2024?
Does your channel talk about Canadian real estate appraisal?
Hi Tony. Unfortunately not. I’ll have to do some additional research but at the moment I have no experience or knowledge to confidently share regarding the Canadian Real Estate Market. Sorry!
Commercial trainee in 2024 checking in - how’s it going lately?
Sorry! I know it’s been awhile. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
how are things going six months later?
Sorry for not posting in awhile! Just uploaded a new video. Please check it out!
Oh wow, sorry that you still haven't gotten your license yet. yikes!! Still neat to hear about this industry.
Thank you! It is what it is but hopefully it’ll be done before the end of this year. Glad you enjoyed the video.
Appraisal is seasonal and cyclical. It is highly sensitive to economic cycles.
I am a Certified General, IFA, ASA and court recognized expert. I have been an appraiser for 43 years. My wife works for a firm that is a user of appraisals. I advised my son against the profession. Yes, it is not stable.
Staff appraisers get laid off on every down cycle.
A lot of appraisers are former agents who have rental property income. Thats how they became experts and how they get through slow periods.
It's great if you have additional income streams or a spouse with a significant income and health benefits.
I had a 30 emplpyee firm that I sold. Now I am semi-retired I work from a home office and make my own hours and pick my assignments.
It was great years ago but that time has passed.
Let your wife get into it. She can take care of the kids and work during their school hours.
How important is to have bachelor degree to be successful as a real estate appraiser?
Not important at all if you're doing only residential but several states require a bachelor's degree to obtain a Certified General license which allows appraisals on commercial properties.
@@davidtranpdxthank you I appreciate your answer 💪🏻
50k 60k a year would be nice where I live I guess it’s where you live
Has your opinion on anything changed since posting this video? Have things gotten a little better for you?
My opinion has mostly stayed the same but at least I hit some major milestones recently. I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
This is for any business. This is why when business is up you don't spend the money you made you invest it. Always have a large reserve and invest the rest.
Realtors complain too, but homebuilder stocks roar.
I'm loving the video and your honesty. This profession is awesome if you are trained properly. The problem is that virtually no one is trained properly these days. I wasn't. There are massive shortcuts available out there. I'm not talking software and tech BS. I just figured it out last year at 40. It's the only thing I've ever done since undergrad (finance/real estate) and a Master's Degree in Real Estate. The problem is the training and lack of independence. That is the secret no one is talking about. It is not about designations.
100% fact! The industry revolves around subjective opinions often leading to supervisors to believe their training methods are superior, culminating in the pursuit of the highest designation, make as instructed, where appraiser opinions are sidelined in favor of adhering strictly to the directives of financial institutions. lol connecting the dots will set us free.
Has the appraisal business gotten better or worse since your last video? Thanks brother
I'm on southern oregon coast, past to be trainee. Can't find anyone to get any hours* Any suggestions?
Also stressed - working other jobs to try to pay bills why looking
And forced to put money in stock, for tax reasons?
Sorry to hear about what you’re going through. Reach out to your state board and ask them about practice appraisals or demonstration of knowledge to get additional hours. Best of luck.
look up PAREA on appraisal institutions and McKissock
PAREA can be done through Mckissock?
Asuming you got a new job?
Nope, still working for the same employer!
I just posted a brand new video/update on my channel going over what I’ve been up since I’ve last posted. Check it out!
Someone who is home every night in his own bed is complaining about making $60k a year
If you are working in something connected to the Real Estate Industry its always going to be feast or famine....period.
I've never known an RE appraiser to retire with a yacht. If you are someone that likes to trade your time for money, go for it. (fee split explained)
That’s fair. However not everyone puts the ability to purchase a yacht as an end goal but I get the point you’re making. I can’t speak for others but for myself, I would be content if my income provided additional stability and the comfort I see the MAI’s in our office currently enjoy. It also comes down to avoiding lifestyle inflation and proper budgeting but that’s a different story.
Obtaining a make as instructed designation does not look like stability and comfort to me. @@davidtranpdx
I enjoyed your vent very much… thank you.
I’m considering this direction, and your points about the honesty of the work, getting to observe how properties grow, and not having to be super social all the time are huge selling points that have strongly attracted me.
Also, I’m no expert, but I suspect that your financial and license frustrations won’t last too long. I truly believe you’ll make the maximum amount sooner than many do.
Do you need a degree for this?
Depends if you’re appraising residential or commercial properties and your state requirements.
*honest
Bro just come to Texas
Maybe one day!
4k for an appraisal wtf... even in commercial that's crazy
Agreed. It’s quite a shocking amount especially in the beginning. However it’s common in commercial appraisals. Think of it this way, if a 50-unit apartment complex valued at 200K/unit or $10,000,000 and is at a 6% cap rate, that’s $600,000 in net operating income per year. Therefore $4,000 for an appraisal is a small amount considering the net profit.
$4k typical in SoCal
Geeez man you dont look like 30 lmao my jaw dropped
😅you sounds like me
promo sm
Brotha...why don't you work for yourself??? Genuinely curious
Thanks for the comment! I can’t work independently without being fully licensed. Trainee license won’t get me very far.
@@davidtranpdx how long until your Over this phase
@@Conserveusaxx Hopefully by summer of this year!