Questions about appraisal disputes

[sputnam]

So we are in the process of buying a house that was recently appraised. The appraisal came in way under the asking price but the appraiser compared the home to other homes in a different neighborhood than the actual neighborhood it is in. If we dispute the appraisal, would using the correct neighborhood make a huge difference because the houses in both neighborhoods have very different price ranges.

No way for any of us to answer definitively. We don't know which property you are talking about, the neigborhood, the city, or even the state. I can tell you that your lender almost certainly has an established procedure for value reconsiderations. Most require that you provide information to support your dispute. For example, just pointing out that the appraiser used comparables outside your neighborhood won't be enough. You will need to provide information regarding the sales you think should have been considered.

 

[Evincere]

Another appraiser brought this up: Valuing a house by price per sf is like buying a car by the pound. A Prius and Ferrari weigh about the same. Even REALTORS can understand this.

You would be surprised how many do not. Met a zealous Realtor last week - at a house with approx 1700 sq ft. Handed me comps between 1100- 1400 because he was calculating the differential by per sq ft. - therefore an 1100 sq ft would be adjusted by $200 per sq ft higher. There's lots of Realtors out there still doing this - thinking they’re selling a Prius as if it were a Ferrari.

 

[glenn walker]

For years...when a REALTOR tells me something is more expensive due to a golf course I say most of the following (take it with a grain of salt you people with NO sense of humor):

Since the property is on a golf course I subtracted value since they cannot have solar.
Since the property is on a golf course I subtracted value since their insurance premiums will be higher.
Since the property is on a golf course I subtracted value due to their decreased privacy.
Mr. or Ms. REALTOR I subtracted value since only about 8% of the US population plays golf and the other 92% could care less about it.

This is especially fun when you can tell these to a salesperson at a subdivision selling golf course lots. Those people are more often than not....brainwashed.

Theres a lot of truth regarding golf courses-I did one last year and the lad sits on the green belt and there are golfers walking by her patio all day long, no privacy, nets hanging over the rear to stop golf balls. Anyway not even a private course, bit HOA at $500.00 a month for what ? And now-there is talk about tearing the course out because the golfers fees dont cover the maintenance and water--O'Well a $500K Condo -With a dead golf course : ) LOL

 

[Tim The Enchanter]

O'Well a $500K Condo -With a dead golf course

Canyon view.