The pressure on appraisers right now must be unbearable

Choice A: Do the right thing, appraise the property at the correct price, and never work again

Choice B: Do the wrong thing, appraise the property at the wildly overinflated price the corrupt realtor, mortgage broker and seller want/need, get the job and future jobs from the corrupt cabal, but know that you're contributing to mortgage fraud and could go to jail if the government ever wakes up.

Hmmm....

The system got gamed folks. It was allowed to spin out of control. The conflicts of interest and quid-pro-quos make the NASDAQ bubble seem like child's play. And it ain't over yet.

The dubious value-add of appraisers - As housing market slumps, price-target pressure mounts

ORINDA, Calif. (MarketWatch) -- The solicitation that Texas real-estate appraiser Jim Amorin fielded came with a quid pro quo. If he'd appraise a mixed-use Austin subdivision for $25 million, the mortgage broker promised to steer 15 more major deals his way.

"After I asked a few questions, it became clear the real value was closer to $15 million," says Amorin, vice president of Atrium Real Estate Services. "I told him I'd accept the assignment but not with a predetermined value, so he kept looking for someone who would."

The pressure on appraisers to "make loans work" -- the industry parlance for hitting the number that a lender wants on a closing contract -- has been ratcheted up as U.S. home sales and mortgage refinancing have tumbled. By law, appraisers are required to render impartial judgments.

Federal and state authorities are now pushing for tighter regulation, licensing standards and criminal penalties to keep all players in the real-estate transaction process on the level.

"Mortgage and real estate brokers are paid on commission, so they have a vested interest in seeing that loans get funded," says Ted Faravelli, manager of the California Association of Real Estate Appraisers and an appraiser for 23 years who testifies as an expert witness in mortgage-fraud cases.

"If an appraiser speaks to the facts and indicates a market is declining and in oversupply, there's a good chance deals won't be consummated and referrals will dry up."