A.D. Cantelmo Property Management
Our Business is Property Management in Orange County California
Is an appraisal like throwing the
dice
When buying a home, the appraisal is the life blood to the
lender. Once a lender decides that the borrower may be worthy of a home loan,
they need to be sure that the home they are lending money on, is worth what is being
paid. They do this by having the property appraised, at the borrowers expense
most of the time.
If the borrower is paying for the appraisal, you would think
that they would have some say in who appraises the property, but that is not
the case. In fact, with the market crash of a few years ago, it is more
difficult then ever to even talk to an appraiser. There are rules that banks
must follow.
When having a home appraised for a re-finance, a lender is
not even allowed to tell the appraiser the loan amount. Now the Home owner can
let it slip when the appraiser comes to the home. When a property is being
appraised for sale the appraiser does know the loan amount.
If you do get the appraisal you need, one thing you must not
do is change the lender. The new lender will need to get another appraisal and
not only will you be charged for another appraisal fee, but the appraisal may
not come to the same conclusion as the previous one.
Appraisals are much more difficult in areas where sales are
not existing or homes are custom and have very different amenities. In my business of Property Management In Anaheim Ca. Appraisals have a definite impact on the sale of many homes. When a home
is in an area where most of the homes are similar and there have been several
sales in the area, an appraisal is much easier and uniform.
It seems strange to have a home sale so often hinge on one
persons opinion about the price.
An appraisal is not a perfect science, and it
only looks at the price the property is worth today, it does not take in
consideration what the property may be worth in the future. To me, it does seem
as though getting an appraisal can be very much a crap shoot, if you get an
appraiser that is more aggressive, you get the price you want, but if you get
an appraiser who is much more conservative, you may not get the price you need.
A.D. Cantelmo Property Management Specializes in Property
Management on Orange County Ca.