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What's Up With Two Contracts

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deturner

Senior Member
Joined
Apr 2, 2003
Professional Status
Certified Residential Appraiser
State
Kansas
What do you folks think???

I received an order to do an appriasal and it had a sale price of 100K. I attempted to get a copy of the contract prior to completing the appraisal and ended up getting one from the builder (although he was reluctant to provide it to me). The contract price was 93K. I completed the appraisal based on this contract and now I have a different contract sent to me with $105,900 as the sale price.

So now they want me to change my appraisal to reflect this contract that appeared today (after they received the appraisal). I now have three different sales prices: 1) on the order $100K, 2) from the builder $93K, and 3) from out of thin air $105,900. The builder even called me and told me that he provided the incorrect contract.

Both contracts are dated the same day.

The lender just called and stated that the 93K contract was just for the house (modular) and the 105,900 was for land and house. She doesn't know where the 100K came from (blames it on the processor).

Question: Should I spend time to change my report to reflect the new and improved price (and charge them of course)?

NOTE: Oddly enough it is worth 106K.

I don't have time for this mess just because someone somewhere is trying to play with the numbers.

Thanks,
Dave in NC
 
Joined
Jan 13, 2002
Professional Status
Retired Appraiser
State
Florida
Just what did that $93K contract say it was for?

If I did anything, I would move the sales comparison comments onto an addendum page and use that space to refer to the addendum for those comments. Then fill the rest of that space in with just the facts regarding the sale prices and contracts with their dates that you have been provided, including the dates you were given them and who provided them.

Then, resign the report with the signed date including both dates, such as:

July 25, 2003 (Original 07/18/2003)

State the FACTS and let the UW decide what they want to do about it.

BTW, make sure you get paid!!!!!!! Good that you're in NC for that!

--------------------------------------------

How many of you are getting and READING - and understanding - the contract?!?!!!!
 

deturner

Senior Member
Joined
Apr 2, 2003
Professional Status
Certified Residential Appraiser
State
Kansas
Pamela,

The 93K contract stated the specs of the home and included the lot # so it appears to be for the home and land also. It also had the finance contingency listed as well as the statement that the builder will pave the drive and the buyer will plant the shrubs.

This is what threw the lender a loop when she called because she said that the 93K contract was just the house. So, I asked her "Why does the 93K contract state the lot #?" She told me she would have to look into it further.

Dave in NC
 
Joined
Jan 13, 2002
Professional Status
Retired Appraiser
State
Florida
I would still do exactly what I said in my previous post. Let the UW know all!!!

Addition: Let anyone that wants to squeal go ahead and squeal. Personally, I'd put em on hold and leave em there if they call to squeal to me.

:twisted: Yeah, I'm mean!
 

Caterina Platt

Senior Member
Joined
Jan 17, 2002
Professional Status
Certified Residential Appraiser
State
New Mexico
I would do exactly what Pamela said as well. Basically, 'Folks, I've been provided with not one, but 3 contracts and here's what they said.' Let them sort it out and appease the underwriter.

Have you been provided with a detailed list of just what reality items were changed to increase the contract sales price? (doubts!) Sounds fishy to me. Just my cynical mind at work perhaps, but......
 

Bill_FL

Senior Member
Joined
Aug 23, 2002
Professional Status
Certified General Appraiser
State
Florida
I would also add that the appraisal was made prior to receiving the 93K and the 105,900 contracts. Otherwise, appraisal looks like you just went to the highest one.
 

Tim The Enchanter

Elite Member
Joined
Jan 24, 2002
Professional Status
Certified Residential Appraiser
State
California
Maybe there's a reasonable explanation, but it smells kinda funny. <_<
 

Walter Kirk

Senior Member
Joined
Jun 24, 2003
Professional Status
Licensed Appraiser
State
New Jersey
Under sales price put "See Addendum" then tell the story to the underwriter, include copies of each agreement of sale. Let the underwriter determine ehether it is a fraud. Collect your fee and move on, you have done your job well
 

Rich Hahn

Senior Member
Joined
May 2, 2003
Professional Status
General Public
State
Colorado
Next week it will be $110,000
Buyer now wants 2 ceiling fans, three trees, 2 dimmer switches, upgraded vinyl flooring(upgrade from level 1 to level 3 ), 2 x 2 concrete pad, carpet pad upgrade(upgrade from level 1 to level 2), upgrade cabinets(3 will have raised panels) and washer dryer.
Just wait till next week the builder will sell them a double sink!
 

Mountain Man

Elite Member
Joined
Jan 15, 2002
Professional Status
Certified General Appraiser
State
Georgia
:lol: Rich, I have met that builder before. Does not make me miss the days of working in "that subdivision".
 
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