United States Real Estate Appraisal Market Report 2023, Featuring Profiles of Key Players Real Matters, Wells Fargo, Voxtur Analytics, Newmark, JPMorgan, Clear Capital, ServiceLink and More

News provided by

Nov 20, 2023, 14:00 ET

DUBLIN, Nov. 20, 2023 /PRNewswire/ -- The "US Real Estate Appraisal Market: Insights and Forecast (2023-2028)" report has been added to ResearchAndMarkets.com's offering.

The US real estate evaluation market has seen significant changes in recent years, as technology has become increasingly important in the appraisal process. Today, many appraisers obtain and assess property information using digital techniques such as aerial imagery, 3D modelling, and data analytics, allowing them to complete values more quickly and precisely.

The US real estate appraisal market is expected to be worth US$9.27 billion in 2023, witnessing growth at a CAGR of 4.24%, over the projected period.

Top Impacting Factors

Driver: Technology Penetration in the Appraisal Industry

The Digital AMC platform has the ability to leverage technology to automate processes and manage the network of field agents to improve quality. The technology (Solidifi) platform uses automated quality scoring technology, in addition to manual reviews, to reduce the number of touchpoints relative to traditional AMCs. Moreover, Solidifi has a unique appraiser scoring system which ranks appraisers on performance and quality metrics. This scoring becomes important to provide unbiased feedback to appraisers and to provide a transparent performance-based system for assigning future appraisal assignments. Better performance is rewarded with more work. Thus, such platform motivates the appraisers to deliver high standard and authenticated appraisals.

Challenge: Restricted Demand for Appraisers Based on the Region

Appraisers works in a very defined location and geography mainly due to types of logistics involved in the essential part of appraisal report generation process (usually due to difference in state licensing requirements and requires a good level of knowledge with respect to the regional dynamics of a specific real estate market). Thus, the demand for appraisal is very regional by nature. Now, the part of the US which is having shortage of appraisers effects significantly on the appraiser's fees compared to part where there is oversupply. Mostly, appraisals cost US$400-600 and take about three-seven days for inspection of the house, though this may vary with different location and landscape. Also, appraiser supply can often be an issue in rural markets and in very active real estate markets. In a nutshell, demand of appraiser is directly proportional to the region.

Trend: Improvement in Logistical Management of Appraisers

Logistical management of appraisers is mainly handled by AMCs in the appraisal process, but certainly some are better than others and have invested heavily in solutions that improve the order management, appraisal scheduling, and route efficiency solutions. For example, Solidifi (The US Real Matters brand) has invested significantly to build out its capabilities in network management. Specifically, the company is able to monitor the efficiency of appraisers in real time (turnaround time and defect rates) and routes more work to highly rated appraisers depending on their current capacity. Besides Solidifi, LRES in this area (automatic assignment technology that identifies the best appraiser for a certain job) and ServiceLink's Exos business (has a comprehensive scheduling solution that connects appraisers with other parties involved in scheduling, including the homeowner). Thus, the improvement in logistical management of appraisers overall improve the appraisal process which in turn positively affect the industry.

Market Dynamics

Growth Drivers

Technology Penetration in the Appraisal Industry
Growth In Housing Market
Growing Addressable Mortgage Origination
Improvement in Communication between Parties
Automation of Data-Gathering
Increasing Adoption of Remote Online Notarization and Digital Real Estate Transactions

Challenges

Less Appealing Mortgage Appraisal Business
Restricted Demand for Appraisers Based on the Region
Availability of Alternative Processes
Quality Control Issues
Regulatory and Audit Compliance
Shrinking Supply of Appraisers

Market Trends

Growing Senior Housing Momentum
Fragmented Mortgage Lenders Market
Improvement in Logistical Management of Appraisers
Changes to Licensing Requirements
Availability of On-Site and Report Creation Workflows

Analysis of Key Players

The US real estate appraisal market is is very fragmented. The market is likely to be led by large national firms, but there are also many smaller regional and local firms, as well as independent appraisers, that compete within specific markets or regions. Companies and appraisers need to have a strong reputation for accurate and reliable valuations, as well as a good understanding of the local real estate market and the ability to adapt to changing market conditions. Additionally, companies that can offer additional services, such as technology solutions or data and analytics, may have an advantage over competitors who only offer traditional appraisal services.

The key players covered in the report include:

Real Matters Inc.
Wells Fargo & Company
CBRE Group, Inc.
Voxtur Analytics Corp.
Newmark Group, Inc.
JPMorgan Chase & Co.
CoreLogic Inc.
Accurate Group
Clear Capital
ServiceLink
LRES Corporation

For more information about this report visit https://www.researchandmarkets.com/r/3p0we8

About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Media Contact:

Research and Markets
Laura Wood, Senior Manager
[email protected]

For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg

SOURCE Research and Markets