Can someone please shed some light on why land safe appraisers are killing sales with their values? A few years ago aren't these the same group of appraisers countrywide was using to do there loans? I have now had 2 deals go sideways because of values from appraisers (of which both have not been from the local area).
As many experienced REO agents know the banks, our clients have an appraisal on file prior to ever listing the property. On one particular home my BPO price was conservative and below both the appraisal and 2nd agent's BPO. However after 4 days on the market this 4400 sq ft home, in what I would consider good condition, located near a golf course community had 3 offers. So we go to escrow with high offer and guess what the lender's appraisal came in 17K below purchase price and 30K below the banks appraisal on file. (If we had these same appraisers’ 2-3years ago we probably wouldn't be in such a mess now RIGHT!!!) At this rate our market will never recover...
Looking at the appraisal the appraiser noted this home in average condition.. I'd beg to differ but, I'm not an appraiser. The most alarming thing is the adjustment for a property same age and style in good/superior condition. A $40,000 adjustment seems extreme to me for a home in which no repairs are noted, and was built within the last 5 years. Keep in mind, in the report the appraiser notes no needed repair or deferred maint; however subject property is in average condition. (I will upload pics in a few.) Any comments to help shed some light on this would be great. Has anyone else had similar experiences? I'm sure this deal will be as good as dead and countrywide now B of A can forget about ever writing the loan in this one because the bank is not going to take that hit, In fact they will lend on it before they allow that to happen.
Here's my question. Are these the same appraisers countrywide have been using to price their REO's? If so this would explain why countywide is listing their REO's below everyone else and getting multiple offers. Well if this is the case why are they accepting offers over appraised value, better yet why are they lending on them since most countrywide REO are requiring one to be pre-approved with Countrywide? Comments Please..