What is Appraisal Management Company – AMC
An Appraisal Management Company is a self-governed entity within which mortgage lenders require domestic real estate appraisal services for properties on which they are considering the grant of loans to homebuyers. AMCs fulfill an administrative function in the appraisal process, including selecting an appraiser and delivering the appraisal report to the lender.
Individual appraisers who work for AMCs provide the actual property valuation services.
Appraisal Management Companies manage a pool of state-licensed or state-qualified appraisers and gather applications from lending organizations. An appraiser is then selected to provide an appraisal report for the property. AMC appraisers are not supplied with any previous information concerning the property or put in contact with the lending organization. The work of the appraiser is simply that of a hired professional. The appraiser’s evaluation must meet the Uniform Standards of Professional Appraisal Practice (USPAP) guidelines. If there are any problems, the AMC can lawfully assist as appropriate.