Bedroom Count?

[KStoFL]

We had an appraisal done on a 5 bedroom house .The 5th bedroom has a full window, closet BUT has a wall that was put up to create a storage section. This made the "bedroom" less than the 70 sq sq f requirement that FL requires for appraisers to deem it a bedroom. In our contract, we requested the wall removes to convert back to a full bedroom before close. Due to this, the realtor believes that room should be counted as a 5th bedroom for appraisal purposes as it's part of the contract and can be verified that it gets done .Our appraiser did not agree and noted the home as a 4 bedroom with office . This issue along with no garage on home is creating a 65k variance between appraisal and purchase price . The seller is convinced the5th bedroom needs to be recognized and wants us to change lenders and "go local". We went with Chase first but in speaking with a local lender, they were hesitant on if the 5th would count and said we'll have to see. Curious if anyone knows if , with that wall still up, you've seen this count since it's in contract that wall will come down .oh and yes we told seller why don't they just take wall down but they won't before a 2nd appraisal .

 

[J Grant]

We had an appraisal done on a 5 bedroom house .The 5th bedroom has a full window, closet BUT has a wall that was put up to create a storage section. This made the "bedroom" less than the 70 sq sq f requirement that FL requires for appraisers to deem it a bedroom. In our contract, we requested the wall removes to convert back to a full bedroom before close. Due to this, the realtor believes that room should be counted as a 5th bedroom for appraisal purposes as it's part of the contract and can be verified that it gets done .Our appraiser did not agree and noted the home as a 4 bedroom with office . This issue along with no garage on home is creating a 65k variance between appraisal and purchase price . The seller is convinced the5th bedroom needs to be recognized and wants us to change lenders and "go local". We went with Chase first but in speaking with a local lender, they were hesitant on if the 5th would count and said we'll have to see. Curious if anyone knows if , with that wall still up, you've seen this count since it's in contract that wall will come down .oh and yes we told seller why don't they just take wall down but they won't before a 2nd appraisal .

None of us can know why your appraisal is 65k below contract, and if the SC price was too high (or not) most times I find no value difference between 5 bedrooms and 4 bedrooms with an office or den, often a a fifth bedroom is a super adequacy and the assumption is a den or office can easily converted to a bedroom But one can not generalize I doubt the appraiser calling it 5 bedrooms vs 4 with an office would have much value impact, (typically). The value discrepancy could be due to any number of reasons - no garage a contributing factor..

 

[Michigan CG]

I would like to see how a fifth bedroom can add $65,000 in value. Did the appraiser make an adjustment for the lack of a 5th bedroom?

 

[Overimprovement]

Curious, what is contract price?

 

[CANative]

Adjustments for the number of bedrooms is exceeding rare. It would be considered "double dipping" where both the living area of the house along with the bedroom count is made. It's just a wall and and is not a relevant characteristics (except, perhaps, in some micro-market where everyone has a lot of children or extended family)

 

[KStoFL]

Contract price is $625K. The area is Pompano beach - a revitalization movement is in place and unfort. all comparable comps seem fair that were used. most fall within the mid to high 500's and only new construction of home with large lots are over.
The no garage hurts this homes value the most for sure and I am not sure a 2nd appraisal will close the gap that much but they are looking for anything to help get above the 560 number.

 

[KStoFL]

Contract price is $625K. The area is Pompano beach - a revitalization movement is in place and unfort. all comparable comps seem fair that were used. most fall within the mid to high 500's and only new construction of home with large lots are over.
The no garage hurts this homes value the most for sure and I am not sure a 2nd appraisal will close the gap that much but they are looking for anything to help get above the 560 number and believe the 5th room should count since the wall is coming down.

 

[KStoFL]

The appraisal gap is large and now I have to go seek out another lender "local" and see if they can come in with a better or same appraisal. We can not get a commit from seller's if we do this that they will match price (we think they need a 6 in front of the number), but all we can do is try I guess. But I was curious how much a 5th would swing it and if it will count on round #2 if they leave the wall up.

 

[jim farrelly]

Looks like you are overpaying . Thank appraiser for saving you money. Negotiate purchase price or move on.

 

[ICT RE]

You’re probably not going to get the feedback you were hoping for here. Appraisers exist to analyze and report market activity in an unbiased, conflict-free manner. Sounds like that has already been done in your case. We aren’t around to help push deals through.

Not trying to sound provocative or anything, by the way. Just factual.