How to contest an appraisal and win...Your Choice of Realtor Matters

Real Estate Agent with HomeSmart

How to contest an appraisal and win...Your Choice of Realtor Matters

I am by no means an expert at contesting appraisals, but here's what I did in the instance when an Arizona appraisal came in below contract for a buyers FHA loan:

1. I read the entire appraisal and noted that all comps appraiser chose were "closed" sales...upon digging deeper,

         I realized the last comp used has not "closed" and in fact is still "active". 

 2. I researched each comp the appraiser used and found the appraiser went over 1 mile to get a comp 

        and argued that there is sufficient comps within 1 mile of subject property that are similar in size, age 

        and have closed escrow within last 90 days.

3. I looked at all adjustments very closelyI pointed out that the a $5000 adjustment was given to subject property

         when the comp was nearly all original with the exception of newer flooring...subject property has new windows, 

        flooring, custom cabinetry, new a/c, new bathrooms, granite countertops, water heater etc...the cost alone on these

        upgrades is far greater than the $5000 adjustment...I flat out thought the appraiser choosing this comp was a bad choice.

4. I wrote a detailed message to lender as to why I was contesting the appraisal, justification for each specific comp I questioned 

        and provided comps that I had used to determine a marketing price for the subject home for sale.The timeframe for this was 

        very quick, in fact, I was not expecting a response for several days at minimum, but I had made notice that I was contesting the value on 

        Friday at end of business and Tuesday morning I am writing this post telling you that the appraisal value was reconsidered and changed to

          meet at least the sales price.Who you choose to represent you in purchase or sale of residential real estate makes all the difference...I promise you the same service when you buy or sell confidently with me! 


        Andrew Texidor  Solutions Real Estate  Realtor 602-909-9414


Comments (6)

Fred Griffin Tallahassee Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

Fight for it! 

    I have challenged two, both times I got the number up. 


Apr 19, 2016 10:25 AM
Susan Laxson CRS
Palm Properties - La Quinta, CA
Local Knowledge & Global Network

Hi Andrew! Good for you and I have successfully challenged several of them. I find that often lenders will send non-local appraisers to properties and they sometimes don't have a clue on the values in the area. Always good to read the appraisal, if it is low. Thanks for sharing your post.

Apr 19, 2016 10:30 AM
David Alan Baker Laveen & South Phoenix Realtor
Keller Williams Realty Phoenix - Laveen, AZ
Your local Expert

The real key point is what you did, the home work.  Well done.

Apr 19, 2016 10:37 AM
Sheila Anderson
Referral Group Incorporated - East Brunswick, NJ
The Real Estate Whisperer Who Listens 732-715-1133

Good morning Andrew. This is a daunting task but can happen with the right information and surely the right agent.

Apr 19, 2016 11:02 PM
Mel Ahrens, MBA, Kelly Right Real Estate
Kelly Right Real Estate - Hood River, OR
Customized Choices for your Real Estate Needs

Congratulations on getting the appraisal re-evaluated.                




Jul 27, 2017 11:14 AM

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