I am always careful when looking at comps.  You need apples for apples.  The house next door will not match with less sq. ft. for instance if it is smaller.  The price per sq. ft will not be the same that it is right next door at another selling price.

I don't know all the specifics of this case, but I don't see how anyone can be held responsible for falling prices. That is a function of the market.

I never just use 3 comps.  I give my buyers a list of 10-20 recent sold and currently active listings.  I do think the appraiser would be more to blame than the Realtor unless some sort of fraud was involved.  There are many individuals out there now trying to play the blame game for their buyer's remorse or poor judgment.

Unknown: You always need to compare apples to apples.

Wayne: Good call, this could all be due to falling prices and the market we find ourselves in at the moment.

Rob: Wow you do a lot of research for you clients. That is probably best way to do business. Give them the whole picture to look at, and let them see for themselves.

Thanks for your time and comments.

Sounds to me if the appraiser and mortgage companies made settlements, they have a case.

I would have to say they do. Why would they settle if nothing was done wrong, or fraudulent?

I don't do a lot of research.  Actually I do a little less.  I do a quick 5 minute search and give them a bigger picture of their marketplace - actives, pendings, and solds.  To me this gives them a true-er picture of what is really going on. A CMA is a much more detailed analysis, but I don't think it gives as good a picture of what is really going on.

Rob: That's what I try to do as well. CMA's are good but they could be better.

I do as a good of a search for the buyers as I do for my sellers when they list a home.  I feel that the buyers should know what the houses in the area are selling for. 

Gene: It only takes a few minutes of our time to what you mentioned. I think its the only way to do conduct our business.

I will have to check out the facts, it is hard to tell without them but we do live in a litigious society unfortunately.

Joey: The facts are important, however public perception can be destroyed even if the facts are not known. This agent may be guilty, he could be innocent. The fact that it made the news is definitely not good for his business. We will have wait and see. Thanks for you comment.

If anyone is following this story, would you please give us an update. I am interested in knowing what happens in this case.

The agent was also the lender who decided not deliver the appraisal after the sale.  Mistake one. 

But, who says the property wasn't worth what the buyer paid?  Yes it was priced higher, but it had other amenities the buyer was looking for - specifically a private lot. 

Take a look at my blog if you get a chance.  I also wrote a bit about this interesting scenario!

Susan: Interesting. I will be reading your blog to find out more about this case.