Overvalued Appraisal

[snowchild]

Here is an image .. why would I have any reason to believe it was not worth what the appraiser said it was worth?

 

[snowchild]

Here is an image .. why would I have any reason to believe it was not worth what the appraiser said it was worth?View attachment 32619

Nobody twisted your arm to take ALL of the money. You should have taken what you could AFFORD.

I could qualify for three to four times what my current house is worth (on paper) but I know dedicating one paycheck per week is realistic, safe and logical.

You walked away, credit smeared for a few years......I hope you learned a valuable lesson.....

I took 400 of 650 ... thats not ALL

 

[snowchild]

Here is an image .. why would I have any reason to believe it was not worth what the appraiser said it was worth?View attachment 32619

Nobody twisted your arm to take ALL of the money. You should have taken what you could AFFORD.

I could qualify for three to four times what my current house is worth (on paper) but I know dedicating one paycheck per week is realistic, safe and logical.

You walked away, credit smeared for a few years......I hope you learned a valuable lesson.....

I took 400 of 650 ... thats not ALL and at the time my company was doing almost a million in sales .. I took what I could afford !

 

[Mike Kennedy]

OP "Last week I paid for a reappraisal from the same appraiser that did the appraisal for the bank in 2011 and she said to me that based on the location, she does not understand where his number came in at $650K. She didn't think it will come in at 450K. Still waiting for the result. The Tax assessed value is $385K.

So... what now? Can I sue someone for getting me in over my head or am I just on my own?"

Was the Quicken appraisal based on Rural Residential Use or Mixed-Use?

Consult an Experienced Real Estate and Bankruptcy Attorney via County or State Bar Association.

 

[Elliott]

I suggest you find a neighbor who will tell you what your property is worth and tell them what its worth before hand. Frankly, you have so many axes to grind its hard to understand what your driving at. A million in sales from a residential property means nothing to a mortgage lender and the federal residential loan program is designed so individuals and families can purchase homes, not to finance commercial uses. Some HO just like to be mad about an appraisal. If I were a lender and I saw that monstrosity of a metal skinned special use building I would be asking lots of questions about its value contribution and if its presence is detrimental to the residential value of the property.

 

[snowchild]

Here is an image .. why would I have any reason to believe it was not worth what the appraiser said it was worth?View attachment 32619

Nobody twisted your arm to take ALL of the money. You should have taken what you could AFFORD.

I could qualify for three to four times what my current house is worth (on paper) but I know dedicating one paycheck per week is realistic, safe and logical.

You walked away, credit smeared for a few years......I hope you learned a valuable lesson.....

I took 400 of 650 ... thats not ALL and at the time my company was doing almost a million in sales .. I took what I could afford !

OP "Last week I paid for a reappraisal from the same appraiser that did the appraisal for the bank in 2011 and she said to me that based on the location, she does not understand where his number came in at $650K. She didn't think it will come in at 450K. Still waiting for the result. The Tax assessed value is $385K.

So... what now? Can I sue someone for getting me in over my head or am I just on my own?"

Was the Quicken appraisal based on Rural Residential Use or Mixed-Use?

Consult an Experienced Real Estate and Bankruptcy Attorney via County or State Bar Association.

I do not have that information Mike but Quicken and the appraiser knew where it was, the location, the available comps and that we were running a business on the property. None of that information was withheld in fact Quicken used my income from the business to determine credit. Out here there are no commercial/residential rules .. we are not even required to get building permits. We are 50 miles to the nearest town.

 

[snowchild]

I suggest you find a neighbor who will tell you what your property is worth and tell them what its worth before hand. Frankly, you have so many axes to grind its hard to understand what your driving at. A million in sales from a residential property means nothing to a mortgage lender. Some HO just like to be mad about an appraisal.

From where I stand it looks like you are the one doing the grinding. I came here to get advice from professionals not get abused and told that I acted out of greed. As I have stated before, if an appraisal is only someone's opinion and that opinion is not accountable to anyone, then what is the point of the appraisal? Essentially your industry is getting paid to do something that has wide ranging consequences to lenders and borrowers and your saying ..oops .. sorry but it was only my opinion. Nice business your in.

 

[Meandering]

None of that information was withheld in fact Quicken used my income from the business to determine credit. Out here there are no commercial/residential rules .. we are not even required to get building permits. We are 50 miles to the nearest town.

The plot thickens.
Quicken used your business income to qualify you for a residential loan?
and Quicken KNEW your business income was being generated from your residential property, without local zoning and building permits?
And, Quicken talked you into a Residential Mortgage?

If you can prove all of that, sue Quicken.

There are rules for Residential Mortgages, which are not hinged to local laws and zoning.

You still need an attorney.

You could call the cfpb, make a complaint that Quicken gave you a residential mortgage on a mixed use property containing a manufacturing facility, which, now, you can't afford the loan.

Here's their website:
https://www.consumerfinance.gov/

Bottom left, file a complaint.



.

 

[JTip]

then what is the point of the appraisal?

To let the lender decide if the risk is worth the loan. $1M in sales a year, you obviously made good money, probably had good credit, and have a nice house. The appraisal is only one portion of the deciding factor. Obviously income and credit are the major factors. Without a house, if you have such a thriving business, one could get an unsecured business loan at a low rate.

It is not the appraisers fault or the banks fault as to what happened in your personal/business life. One day you are making tons of cash, next day you are broke and can't afford the mortgage that YOU agreed to. That's life, and luckily in America you can get a second chance.

 

[snowchild]

The plot thickens.
Quicken used your business income to qualify you for a residential loan?
and Quicken KNEW your business income was being generated from your residential property, without local zoning and building permits?
And, Quicken talked you into a Residential Mortgage?

If you can prove all of that, sue Quicken.

There are rules for Residential Mortgages, which are not hinged to local laws and zoning.

You still need an attorney.

You could call the cfpb, make a complaint that Quicken gave you a residential mortgage on a mixed use property containing a manufacturing facility, which, now, you can't afford the loan.

Here's their website:
https://www.consumerfinance.gov/

Bottom left, file a complaint.



.

Quicken used my PERSONAL income from the business(an S-Corp). They did not use the business income itself but they did know that we were running a business from here and that it was my sole form of income. There are no zoning or permits required out here, in fact we built the house ourselves with oversight from a licensed contractor, but essentially there are no rules to comply with like in towns and cities. The loan is Fannie Mae.