Problem with appraiser

[cgjerdetu]

Castcore

I'm an appraiser in Contra Costa County and not familiar with your neighborhood. A $100,000 difference between homes on the same street can seem like a big difference. However, if you happen to be in a million dollar neighborhood, then a $100,000 is equivalent to a 10% difference in value. It is quite common to see at least a 10% difference within a neighborhood due to normal variations. This is often true even in a neighborhood of tract homes.

Carolyn Gjerde-Tu
San Fran East Bay

 

[bradellis]

Castcore,

First, you can have this appraisal reviewed by another appraiser- one who has absolutely no bias- YES, you can find them easily. IF the appraiser used inappropriate sales for comparison and the review shows this, perhaps your lender will refund all or part of the fee. If the review reveals something amiss, you can turn in this appraiser to the OREA. And yes, the review will cost you a fee- but perhaps not as much as the original appraisal. You said you paid something in the $300s for the appraisal. Frankly, that seems cheap considering the area you are in and the size of the home, but I do not quote fees for others.

HOWEVER, you should be aware that since the "recession" hit, values of homes in some areas have declined dramatically. So, sales that are from early in 2001 may not accurately reflect value as of your effective appraisal date.

I had dinner with friends from Pleasanton last Feb (2001). She runs a brokerage firm. Told me they thought their home was worth $2 Million. Spoke with her a few months ago and it seems similar models are now selling for $1.6 million.

This does not necessarily reflect your specific market, but it is indicative of the chage that happens- especially in the East Bay and Silicon Valley.

Brad Ellis, IFA, RAA

 

[Dee Dee]

Brad,
Good points. It seems that when the economy slows the higher end homes tend to take the biggest hit. I know that's what is happening in my area.