Oakland appraisal dispute settlement

[timd354]

I didn't follow it to close but selling the subject soon after for $300k more than the appraisal in question may have had something to do with the settlement. And his wife/co-plaintiff is now an appraiser. What a twist. Think Clear Capital sends her work?

Without seeing a copy of the aprpaisal report and knowing the market or the property involved, it is silly to speculate on any of this. Maybe the appraised was unreasonably low or maybe there were improvements made to the proeprty between the appraisal effective date and the later sale, who knows.

 

[shrubberyvaluation]

Any appraiser who does not take that into account the risk of appraising in certain areas, especially in states run by leftists is a fool. If I was a CA appraiser, I would never appraise any refinances in most of Oakland and would turn down any purchase-related appriasal if it was not obvious from the start that the appraised value was going to come in at or over the contract price.

Curious what about the risk of appraising for clients that specialize in low credit borrowers.

 

[shrubberyvaluation]

As somebody who works in the risk department of a major secondary market participant, I can tell you that it would be almost impossible for a lender to continue to utilize an appraiser after they found out he was being sued for alleged racial discrmination as the potential liability risk to the lender is just too great for them to keep using him until and unless the litigation against that appraiser is resolved in his favor. It really stinks, but it is in the lender's interest to limit, not expand their potential laibility and doing so would require them to no longer use that appraiser.

Yep, its unfortunate we have to weigh the risk of a frivolous complaint chance when accepting an order.

 

[shrubberyvaluation]

Without seeing a copy of the aprpaisal report and knowing the market or the property involved, it is silly to speculate on any of this. Maybe the appraised was unreasonably low or maybe there were improvements made to the proeprty between the appraisal effective date and the later sale, who knows.

Correct who knows, I will say it probably helped in court that they actually sold the property way above what it was appraised for regardless.

 

[John Hassler]

Does anyone else find it interesting that, so far, none of these known cases ever go to trial, and that they all settle for what amounts to nuisance money?

 

[Fritz in NY]

I think the term "Estimated Market Value", would be tough to prove, my estimate is different from someone else's.

 

[The Bob]

On re-fi's I always pulled up the Zestimate. If it didn't jive with the sales data, I just declined. Once people see that number, they get imprinted like a baby duck.

 

[alebrewer]

Careful Fritz - you're gonna get J worked up using terms like 'estimate'...

 

[Fernando]

https://www.bloomberg.com/news/articles/2025-04-21/new-book-quantifies-the-cost-to-black-lives-of-a-quality-of-life-gap?utm_campaign=bn&utm_medium=distro&utm_source=yahooUS

The Racial Wealth Gap Is Not Just About Money​

A new book measures Black wealth through quality-of-life metrics to show that property ownership is connected to longer life expectancy.

“One of the bottom lines of my book is that certain wealth factors are absolutely critical for life expectancy – that if we don't get property ownership, homeownership, commercial real estate ownership, business ownership, then you're going to live fewer years,” Perry explained in an interview with Bloomberg CityLab.

Perry found in research leading up to the book with Jonathan Rothwell and Tracy Hadden Loh that only 3% of Black households own non-residential commercial real estate compared to 8% of white households. Of those white households, the average value of their properties is $34,000 compared to just $3,600 for Black households.

Homeownership disparities are worse, with African American rates lagging that of white households by 30 percentage points as of 2023. Meanwhile, metros and counties with high Black ownership rates are associated with longer life expectancy – for every standard increase in those rates, life is extended by 0.61 years on average.

Perry calls for more robust interventions from every level of government as well as the philanthropic and private sectors to create more opportunities for African Americans to increase their abilities to purchase businesses, homes and properties. His book profiles several such interventions in cities that have worked with some success.

 

[glenn walker]

Careful Fritz - you're gonna get J worked up using terms like 'estimate'...

Opinion is the only word J approves of or what the form print says..if Fannie Printed My best guess that would be okay.