Different Appraisal Fee

[normando]

I went to Bank of America to inquire about a mortgage loan.
BOA charges at least another $125 for appraised value over $1,000,000.
I was appalled that appraisal fee is based on value and not complexity.
Knowing this, should I quote my appraisal fee higher if anticipated value will be at least a million dollars?

 

[CANative]

They are under no obligation in this regard. Don't you read USPAP?

 

[The Warrior Monk]

Knowing this, should I quote my appraisal fee higher if anticipated value will be at least a million dollars?

When the transaction value is over $1,000,000, a CR appraiser is required. That means less appraisers are permitted to do the assignment. Why not charge more?

 

[Metamorphic]

Doing assignments of that value also makes carrying higher limit EnO a wise precaution. Recovery of the higher premium should also be factored into the fee.

 

[CANative]

No. Everyone expects to pay more on high dollar property. Complexity has nothing to do with it. It's whatever the market will bear.

 

[Delta85]

I always charge more when working in million dollar neighborhoods. More often than not these reports are more difficult for specific reasons (waterfront, larger than average GLA, specific location market value, etc.).

 

[biker4ever]

There are extra review processes that kick in too...

 

[Doug DeMars]

I always charge as much as I can.

 

[JRS at OBX]

I went to Bank of America

Good lord, why?

Seriously, why? Didn't you feel dirty afterwards? Are there no decent banks where you live?

 

[Non Sequitur]

No. Everyone expects to pay more on high dollar property. Complexity has nothing to do with it. It's whatever the market will bear.

True, and this is nothing new. In fact nearly every lender fee schedule I've seen is stacked that way.