Jeff Hicks, MAI President  Dohring Group RealWired!

When my wife and I had pre-marriage counseling with the Catholic Church 20+ years ago, the priest told me a surprising conclusion.  He said, "You guys are great and should have a long life together except Jeff's testing indicated that he's cheap."  I was a little surprised but not totally shocked it runs in my family similar to the fictitious character on Seinfeld, George Costanza. 

My uncle Charlie used to say, "It's amazing how much money you can spend saving money."  At first I didn't understand what he meant, but later I realized how many hoops I would jump through to save money on this or that. I also realized that I tended to buy cheap products and not realizing that I was replacing those only a short time later. 

Many commercial appraisers I speak to are fairly pessimistic about the long-term viability of our livelihood.  Some lament about an assembly line production of reports with many clients just checking off the appraisal box.  Some appraisers go further and feel that the commercial appraisal industry is on a trajectory like Detroit.  Maybe they have Charlie Leduff's new book Detroit - an American Autopsy  on their nightstand.  I don't know and I don't care since I don't share their pessimism.  Our industry needs to look up, become innovative, take risks and plan for the future.

Part of that plan is not to be cheap.  Yes, you can cut your expenses to the bone, but the real deal is to grow your revenue.  You should invest in everything that makes you a better and more productive appraiser whether you own the firm or not.  Sources of this information and knowledge are varied, formal and informal.  It can come from mastermind groups, consultants, sales training, software solution firms or entrepreneurial sources.  Seek out best practices with progressive appraisers and professionals in different fields. 

Most appraisers are content with just state-certification.  That's sad.  Persuade and provide incentives for your appraisers to get designated or as a fee appraiser, pay for it yourself.  Education in the US has just started a grass-roots revolution to break the entrenched old-school teaching model.  The new goal of teaching is to unleash people's innate curiosity that often leads to passion.  Let's be part of that movement. 

My Jewish friends always laugh and say the only true sin in life is paying retail.  That said, I don't recommend spending money fool-heartedly but invest in yourself and your firm.  You don't have to buy my software (though recommended), but spend time and money on software solutions, systems, general business education and appraisal education that truly impacts your bottom line.  You don't wait 10,000 miles to change the oil in your car, so why are you driving your "appraisal car" that way?  Don't be cheap.  Don't be a Costanza.