Sounds as if this has been going on for awhile. I'm assuming an ROV
(reconsideration of value) has been issued to the appraiser along with competitive sales to the subject property, yes? Typically, you get one shot at this. What did the appraiser state replying to the alternate sales you provided to them?
You can request that the lender assign another appraiser or you may have to switch lenders all together.
All new everything is kind of vague. Every comparable sale utilize by the appraiser should be somewhat similar to yours. There may be no recent, upgraded/remodeled sales available. This may be why the appraiser utilized sales with basements as they were remodeled. The appraiser should have went further back in time or expanded the parameters of distance to find upgraded sales on slab for the report.
This makes no sense at all. The Quality rating is for the property in its entirety.
Unfortunately, this is what you get with the AMC system. They don't look for the most competent, geographically located appraiser. They look for the cheapest appraiser to maximize profits.
One more item.....
How do you and the lender know this but not the appraiser?
Yes sir. RoV was done. Sent in 4 comps. 3 with basements 1 slab. Appraiser did not use the slab as a comp. Due to being across the main road (.2 miles). (Figured I'd pull this because some of the comps from the first appraisal he included from also across the road). He's pretty hard on about the slabs being Q4 no matter what. Which I didn't get the hint from until the second appraisal coming back.
He went back in time to a year and spread out a few different blocks on the first report. The second report he used a comp, sold in the worst time of the year here (dead winter) that was a 2 bedroom vs this being a 3 bedroom. In a town of families and section 8, 3 bedrooms come at a premium (weird he'd prefer to comp 2 bedrooms vs 3 bedrooms over slab vs basement).
"This makes no sense at all. The Quality rating is for the property in its entirety."
That's what I thought too. Which is main reason I'm here, to see maybe I'm dumber than I thought and ya'll can talk some sense into me showing me I'm wrong and can go to bed on this.
"Unfortunately, this is what you get with the AMC system. They don't look for the most competent, geographically located appraiser. They look for the cheapest appraiser to maximize profits."
I'm learning about this now, seems like it's quite the issue sometimes. Never knew about AMC's, since this is fortunately/unfortunately the first time having, what I think is a jacked appraisal come back.
"How do you and the lender know this but not the appraiser?"
A mix bag of investing/flipping/rentals for 7 years. I'm within 1-5% on my valuations and I'm conservative. Never 15-20% in the wrong direction. Especially in a market that's only been trending up 5-10% the last 3 years and still growing. (Yes, I'll probably get crap for saying this on appraisal forums for quantitative work, but qualitative takes it's own experience and shouldn't be discounted).
I think the main thing I'm learning is what it seems is the improper use of the Q code. Which would bring it back into my range I first thought this house would have been valued at.
