An after affect of the great recession was that Appraisal Management Companies (AMCs) attracted attention from the government. As a result, many states now require AMC’s to post Appraisal Management Company Surety Bonds. There have been drastic changes to regulations for home valuations across the country. These regulations are aimed at boosting consumer safety and stabilizing the housing market. Most of the new AMC legislation requires companies to ensure their appraisals are in comply with the Uniform Standards of Professional Appraisal Practice. The management companies are responsible for only using certified and licensed appraisers.
In the past, AMCs were not regulated institutions; the consumer was exposed to the potential for low quality appraisals. This lead to the public’s lack of trust in the appraisal profession. For this reason, state governments are starting to require appraisal management companies to be bonded. The bond guarantees the AMC will abide by all applicable laws and regulations in the state they place appraisers in.
An appraisal management company (AMC) is a business that manages a network of certified and licensed appraisers. A mortgage or lending institution would hire an AMC to find qualified appraisers. The AMC recruits, qualifies, verifies licenses, and negotiates fees a network of third-party appraisers. It also involves ongoing quality control of the appraisal process. In short, an AMC is an outsourcing option for the mortgage lenders.
Unlike insurance, the bond is in place to protect the public from you. If there is a claim placed on your bond and you are found at fault the surety company will pay out. However, you will have to pay them back.
How to obtain a Appraisal Management Company Surety Bonds?
At surety1.com we make it easy to obtain this surety bond. Our simple, 3 step process is:
- Complete the easy to navigate and secure online application. 1
- Review the free, no obligation quote from one of Surety1’s professional surety bond agents, usually within one business day.
- Sign some paperwork and pay the bond premium.
Once these steps have been completed, the Appraisal Management Company Surety Bonds will be shipped via traceable mail.
1 – The name of the applicant on the surety bond application must match exactly the full legal business name of applicant for the license.
Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003 and it maintains an A+ rating by the Better Business Bureau.