CoesterVMS Implements FlatFee Model for Residential Appraisals

first_img January 8, 2013 430 Views Agents & Brokers Appraisals Attorneys & Title Companies Company News Investors Lenders & Servicers Processing Service Providers 2013-01-08 Esther Cho “”CoesterVMS””:http://www.coestervms.com/ announced that as of January 1, it has implemented the first flat fee model for residential appraisals. [IMAGE]Through the new model, all conventional appraisals are priced at $450 while appraisals are $475. [COLUMN_BREAK] The Rockville, Maryland-based appraisal management company (AMC) explained a tiered fee structure is generally utilized, which determines prices based on the property type or location. However, CoesterVMS’ flat fee structure provides for a flat fee regardless of the type or location of a property. In addition, the nationwide AMC says the flat fee model allows lenders to maintain guidelines under the Real Estate Settlement Procedures Act (RESPA) concerning disclosures on loan costs. “”RESPA guidelines mandate new disclosures to be sent to borrowers when the difference between quoted fees and actual fees is 10 percent or more,”” said Brian Coester, CEO of CoesterVMS. “”With tiered appraisal fee structures, there tends to be a lot of add-on fees, which can easily put the lender at risk of a RESPA violation. On the other hand, there’s nothing safer than a fixed fee.””CoesterVMS says that after several months of successful testing, it decided to implement the flat fee structure. Before the change, clients had to submit a certain number of orders to qualify for a flat fee. in Data, Government, Origination, Secondary Market, Servicingcenter_img CoesterVMS Implements Flat-Fee Model for Residential Appraisals Sharelast_img

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