Received Complaint From State Board

[oliver the cat]

hello fellow appraisers,
i conducted appraisal few months back (purchase)
listed on MLS - 1 previous expired, current pending sale
list price $379,900 sold as per contract $391,000 dom 49
appraised value $370,000= AMC came back reconsideration of value , 4 comparables supplied by realtor, given to AMC- I answered all, ( fyi) all were superior in condition, location, and sq ft..........

just received complaint from seller, stating i spoke to her attorney and said i cant help her, ( i have never spoken to sellers attorney , nor do i want to here any nonsense from realtors, let alone an attorney.. )
she made things up , stating i did not mention she has attic,,
i spent to long in house.....
i didnt mention about .. her backsplash
i called her bathroom floor tile, not stone.............
anyway, thoughts? i spoke to board, said not to worry...
is this realtor egging her on>> i am not going to call anyone or homeowner
but i am ONE PISSED APPRAISER......................

 

[Overimprovement]

Complaint in what format? Did your state Board contact you about it? If its just the seller calling you giving you grief, I would let it ride. If the Board pursues a case, then you have hoops to jump through whether your report is rock solid or not. Not sure how NJ treats its appraisers. Some states treat them like crap to be honest.

 

[oliver the cat]

yes. went to board, appraisal good-went thru AMC- DURING PROCESS, came back ROV , 4 comparables supplied by realtor
all superior (of course) answered all , kept my value. posted on addendum principle of sub.. explanation in OAR
c4 condition 1600 sq ft home, deal is closed . i just checked, and she closed it at my appraised value.
she is pissed she lost 21k

 

[Tim The Enchanter]

She didnt lose $21k, she never got it. How could she lose it?
So, the board dismissed the complaint?

 

[Renee Healion]

She should sue her listing agent for grievously underpricing it. Let me guess she was the agent and the seller. Or, it attracted an offer which was then inflated to suit someone's financing needs or dreams. Or, it attracted multiple offers and the auction mentality set in. There are quite a few reasonable explanations for her pretend missing money that do not involve the humble appraiser. Good luck.

 

[Addie]

.

 

[glenn walker]

She should sue her listing agent for grievously underpricing it. Let me guess she was the agent and the seller. Or, it attracted an offer which was then inflated to suit someone's financing needs or dreams. Or, it attracted multiple offers and the auction mentality set in. There are quite a few reasonable explanations for her pretend missing money that do not involve the humble appraiser. Good luck.

She never lost $21,000 and under pricing or overpricing a listing is done all the time--in fact some agents use under-pricing as a strategy to get bidding wars going and often get the sellers a higher price. Sounds like this person is just another wack-job. And no she is not suing anyone because she has not suffered any damages and the attorney fee's would eat her up real fast.

 

[KHS445]

Evidently $370,000 is the market value of the property because that is the price that a willing and knowledgeable seller and a willing and knowledgeable buyer agreed upon. If either the seller or her real estate agent felt the property was worth more money they could have declined to amend the contract and continued to market the property. Unless something about amending the sale price should the property not appraise was written into the purchase agreement, there was no requirement that the seller agree to close.

It will be a little difficult for the seller to argue the property is worth more than the $370,000 when that is what she agreed to accept. It isn't like 49 DOM is a longtime and the property is becoming market worn.

 

[Elliott]

Oliver,
Do you have E&O? If you have E&O you should contact them and they will provide you with some advice. The merits of the case aren't as important as your reports relationship with USPAP.

Some E&O insurers will provide you an attorney if it goes beyond the preliminary. Good luck.

 

[norapp]

I agree. Call

Oliver,
Do you have E&O? If you have E&O you should contact them and they will provide you with some advice. The merits of the case aren't as important as your reports relationship with USPAP.

Some E&O insurers will provide you an attorney if it goes beyond the preliminary. Good luck.

I agree. Call your E&O now. This may go nowhere but I believe one of the first instructions in the policy's is to notify them immediately of any possible problem.