Believe I Am The Victim Of Incredibly Unfair Appraisal

[George Hatch]

I am certainly going to contest again but his time it will be directed towards bank (rather than politely directed towards appraiser and simply forwarded through bank)I will include mentions of his demeanour, but I would like as much knowledge and understanding as I can acquire about what to contest on the report and what to accept, before I pick apart everything on it. They don't seem inclined to want to send another appraiser or review of appraisal other than the response clearly from the original appraiser

That quote looks to me like a reviewer's response, not the original appraiser's response to a reconsideration of value. Those responses are critiques of the property attributes of those sales. If that was the original appraiser's response they'd be explaining why they had to use those sales in first place, not making the comment:
"None of these sale would be considered good comparables for the subject as they are all superior in condition an updates, 2 are far to distant and the other does not have a busy rd location."

Or making reference to an underwriting tool and an appraisal rating the appraisers don't have access to and which usually isn't even disclosed to the appraisers:
"The FNMA CU score is 2.3 reflecting the top 3 ranked sales were used."

Or expressing the writer's opinion of the appraisal and their decision to accept it:
" The appraisal is supported and acceptable"

Those comments are all framed the way we would write them when we're reviewing someone else's work, not how we would write a rebuttal to a complaint about our own appraisal work.

 

[JTip]

Could be a marketability issue with a 'hodgepodge' (for lack of a better term) design; a home built of multiple sections over a span of decades.

IMM, participants prefer a complete design with uniform construction standards instead of pieces assembled together over time.

If the overall function/utility of the subject and comparable properties are same/nearly the same, I would veer to the end of the adjusted range to recognize a marketability issue.

 

[Elliott]

A picture is worth a thousand words. But three blind men can touch a elephant and have three different descriptions.

 

[Bonesteel]

I could be wrong, but I wouldn't expect any consumer to be turned off by the fact it was built at several times, the construction all appears quite homogenous with the only visible variation being slight differences in cmu used for foundation. The interior has been remodeled flows well and is indistinguishable from a home that was built this size from the beginning, there is certainly no feeling of hodgepodge. The siding and roof were replaced all after the final addition was added.

 

[George Hatch]

Duly noted.

In real life I come in at a value conclusion that's different than the property owners at least 30% of the time. It's a regular occurrence for a property owner and I to have a difference of opinion. My opinions don't get reversed on appeal because I know how to make my case to the satisfaction of my clients and my users.

As for brokers, a certain percentage of listings never do sell, and a much larger percentage of listings end up selling for less than the list price. Sometimes a lot less. It is not uncommon for there to be multiple listings on a property that eventually sold for much less. And the primary way that happens is because either the broker was uninformed about how much their prospective buyers would pay for the property and/or they were acting under the direction of a seller who was wrong about the value of the property. We literally see these examples every day. This is why when someone quotes a broker as an expert we generally tend consider that factoid within the context of our experience.

In fact, one thing I do is comb through the expired and withdrawn listings to see what listings didn't sell because that demonstrates what those properties were not worth in the market.

 

[Bonesteel]

I'm still unclear on a point though, if homes have "significant" differences even if they are a wash and value remains equal, do not those differences needed to be adjusted for.
Examples
One home has much larger basement valued at $5000 more but the other has much larger garage valued at $5000 more.

One home has amazing kitchen valued at $3000 more and the other has bathroom valued at $3000 more.

In either or both of these cases would adjustments be made, or would they be ignored since the total value is a wash

 

[timd354]

I'm still unclear on a point though, if homes have "significant" differences even if they are a wash and value remains equal, do not those differences needed to be adjusted for.
Examples
One home has much larger basement valued at $5000 more but the other has much larger garage valued at $5000 more.

One home has amazing kitchen valued at $3000 more and the other has bathroom valued at $3000 more.

In either or both of these cases would adjustments be made, or would they be ignored since the total value is a wash

Everything you say about the appraisal in this thread may be absolutely correct, but none of it matters unless you can convince the lender via an appeal, which it sounds like you already tried and they rejected the appeal. At this point, your only alternative is to apply with a different lender and hope to get a better appraisal. Unfortunately there is nothing that anyone here can do to change that situation.

 

[Artemis Fowl]

I'm still unclear on a point though, if homes have "significant" differences even if they are a wash and value remains equal, do not those differences needed to be adjusted for.
Examples
One home has much larger basement valued at $5000 more but the other has much larger garage valued at $5000 more.

One home has amazing kitchen valued at $3000 more and the other has bathroom valued at $3000 more.

In either or both of these cases would adjustments be made, or would they be ignored since the total value is a wash

Logically, the appraiser would not know those are a wash until he/she has made them.

 

[Bonesteel]

Thanks a ton guys, I've learned a great deal here. Incredible wealth of information. I plan on appealing again, and I figure I have good odds of getting another appraiser from the bank (don't really want to switch based on much lower locked in rate)
My last letter to them was not well crafted imho and did not adress most of my concerns, but was instead just an offering of new comps and a contest of comp 1 due to its size alone.

 

[Bonesteel]

I will post my letter to them, and eventually the results, hopefully my case can be a learning experience for both consumers who have run afoul of bad appraisers, and for good appraisers who have to deal with @!^!^!&÷;*!* consumers such as myself