Well apparently it's not "the market value is determined by what a seller is willing to sell for and a buyer is willing to pay for a home" like I learned in real estate school in 1994 and what I just recently learned they are still teaching while in class to get my instructors license. No, in the real world a buyer can be willing to pay a price, the seller willing to accept, the listing broker can have comps to back it up, but the OUT OF TOWN appraiser got the final say in the market value.
And apparently I can't do anything about it. Even the buyer's agent was totally shocked by the low value the appraiser came in with on our mutual contract. Of course I did the formal "Appraisal Dispute" allowed, but to no avail. The appraiser in the end didn't budge. Sad part is, he also did not use comps (any of them) I provided, gave totally WRONG numbers (compared to other appraisals I have seen, not my personal opinion) amounts of value on boathouses and out buildings. He also had two lease lots listed as "fee simple" with no adjustment.
You see, said appraiser, is not local and NOT an affiliate with access to the local MLS or its data. In fact it's MY opinion (and yes I know everyone has an opinion) that he should have turned down this appraisal because he didn't have access to the data and was unfamiliar with Lane Sinclair and its values.
In the end the buyer is paying more than the appraised value on this house, because he WANTS it, but also my seller lost money that the buyer was willing to pay because the buyer didn't have that much additional cash. But not only is it MY opinion the appraised value was too low, but it's also the opinion of two local appraisers that I spoke with about this property also.
So here we sit five years after the fact and HVCC is still hurting the process more than it helps. I'm not sure how anyone ever thought that a third party vendor who isn't going to MAKE SURE that the appraisers were working in areas they are familiar with and have access to data for was going to help. Back in the day... when the lender ordered the appraisal they used appraisers local to the property. Sad for my seller and sad that his sale will now become another low comparable when it should have been $12,000. higher.
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