Contract Price

[2020]

Sorry for partially duplicate post. I need to clarify. I have a 1004 conventional purchase. The contract states the buyer agrees to purchase based on appraised value and does not provide a contract price. Can I do this? Fannie Mae states I must enter a contract price?

 

[Terrel L. Shields]

Make life easier. Decline the assignment. Granny died in Tierra del Fuego and I must leave immediately for the funeral by boat as there is no airport.

 

[CGinMN]

I would notify the client that they need to agree on purchase price and send a contract addendum before you can complete the assignment. Then after the appraisal is delivered the parties can do whatever they want, including amending the price and terms.

 

[Dublin ohio]

I would notify the client that they need to agree on purchase price and send a contract addendum before you can complete the assignment. Then after the appraisal is delivered the parties can do whatever they want, including amending the price and terms.

You might not like the possible comments in a contract made under those conditions

 

[Joe Flacco]

You might not like the possible comments in a contract made under those conditions

Why? It's just an appraisal contingency.

I would just do the appraisal and analyze the contract provided.

 

[Joe Flacco]

Just because you get a warning on the form filling software doesn't mean you can't just turn it in anyway.

Just appraise the property and state that the contract price is not determined in the section where you explain the results of the analysis of the contract.

 

[Surf Cat]

Based on the other thread of the same subject, this is a for sale by owner, interfamily transaction to a relative....non-arms length....

 

[Dublin ohio]

Why? It's just an appraisal contingency.

I would just do the appraisal and analyze the contract provided.

At the insistence of the appraiser, seller and buyer were required to create a fictitious sale price, even though both seller and buyer have agreed that the actual sale price will be based on the appraised value of the property

 

[Mike Ault]

Do the appraisal with the price indicated as "TBD" (to be determined). Submit it and wait for the revision request once the contract has been negotiated and properly executed. Describe what you're doing & why in the contract analysis section. Not all loans are going to be sold on the secondary market, by the way. They could be holding the loan in-house and simply want the appraisal reported on forms that they are familiar with.

 

[ZZGAMAZZ]

I would notify the client that they need to agree on purchase price and send a contract addendum before you can complete the assignment. Then after the appraisal is delivered the parties can do whatever they want, including amending the price and terms.

But you know that the appraiser will be conditioned to revise the OV because the contract price changed !!! Lol