PAM appraisal platform targets AMC fees, seeks to give lenders more control

A new appraisal management platform is aiming to upend the traditional role of appraisal management companies (AMCs) by allowing mortgage lenders to oversee the process internally while maintaining regulatory compliance.

The platform, known as PAM, or Private Asset & Management Group LLC, is designed as a web-based system that enables lenders to manage appraisal workflows without relying on third-party AMCs.

David Cedar, president of PAM and a licensed appraiser, claims that the platform restores lender control over a process that he says has long been outsourced at the expense of both borrowers and appraisers.

Under the PAM system, lenders build and manage their own networks of vetted appraisers based on geographic competency and professional qualifications. The platform then automates the rotation of assignments to ensure independence and compliance with appraisal regulations, including Appraiser Independence Requirements (AIR).

“The platform … assigns the appraisals, it rotates the appraisers. It gives the lender control over using appraisers they want to use, not who the AMC is choosing for them,” Cedar said in a conversation with HousingWire.

Each transaction is tracked and documented within the system, providing what the company describes as full transparency and auditability. The platform also integrates with popular loan origination systems like Encompass to streamline workflows.

Cedar said that PAM, which launched at the end of 2025, can reduce costs for borrowers by eliminating AMC-related markups. The estimated savings range from 25% to 40% on appraisal fees, allowing appraisers to receive more equitable compensation while giving lenders greater oversight of appraisal quality and compliance.

“AMCs are charging ridiculous prices. … It’s overkill. It’s gouging. And there’s no regulation and there’s no transparency,” Cedar said.

PAM operates under a lender-managed, direct-engagement structure that the company says is compliant in all 50 states. It is offered at no cost to lenders or appraisers, according to its developers.

“Our flat fee is transparent and one time per order of $99 instead of an AMC charging $300, $400, $500 or even more,” Cedar confirmed. “We absorb the cost of the software, so the lender pays nothing. We also absorb the cost for the appraiser.”

The platform enters a market where some lenders have raised concerns about the traditional AMC model, citing issues related to cost, transparency and control over the appraisal process. Proponents of lender-managed alternatives say such platforms could offer a more efficient and transparent approach, though broader adoption and industry response remain to be seen.