Skip to main content

Selling and our first deal fell through because of a cut appraisal.

Hi, I just want to know what recourse I have here.

We were under contract with a seller, and the appraisal came back at 205k when we were listed at 229k. The sellers walked - I don’t blame them.

The problem is the appraiser didn’t account for ANY improvements we made. My realtor said in the report that they said the only improvements made were interior paint. So we gathered receipts of all the improvements we made - new front door, new windows, exterior paint, new AC unit, new water heater. Totaling to 18k.

The comps the appraiser pulled were 3bed, 1.5 bath ranches. Our house is a 5 bed, 2.5 bath two-story.

Because of this appraisal, they walked, we lost the sale. Ended up accepting an offer for 222k (previous was at asking), and having to pay another month of a mortgage I should’ve been free of.

I am upset and frustrated. Grateful we are in a new deal at all though. My realtor has been fighting the appraisal, but I didn’t know if there was anything else I could do.

Edit - thanks everyone for the replies. To answer the most common question- yes, our realtor did submit a dispute. The buyers walked anyways. The second appraisal with the second offer went fine, no issues.

My only other question is - why does interior paint count as an improvement, but all the others don’t?

I was just looking to hear from people who might know more than I do as to if I could do anything to recoup the ~10k the cut appraisal cost us. Looks like no, so I will just take a big bite of the shit sandwich life dealt me this time and move forward. Thanks again.

submitted by /u/cjp72812
[link] [comments]

source https://www.reddit.com/r/RealEstate/comments/1kabgrw/selling_and_our_first_deal_fell_through_because/

Comments

Popular posts from this blog

Aren't comps/CMAs useless with buyer credits at close happening now?

I'm looking into buying a new construction townhouse in my HCOL US city. I'm seeing builders offering interest rate buydowns worth $20k-$60k on $800k homes (rather than just lowering prices) in order to keep their comps high for their other units, now that buyer demand has been declining. I asked my agent about these, and he said these buydowns aren't even the full story: buyers can write all kinds of other credits into an offer, like their closing costs, prepaid sewer fees, etc. Apparently cash buyers can just write in a "buyer credit at close" for any amount in their offer. So a new townhouse that appeared to sell for $800k in the MLS might have actually been a cash offer with a $100k+ buyer credit at close, meaning the buyer only spent $700k or less in total, but to the rest of the world they can only see the $800k! So that made me realize I can't trust comps/CMAs for other new construction townhouses. The sales prices could be way lower than they appear...

Obtaining a real estate license as a hobby?

Hello, I am 24 years old - 2 years out of college and I have my main job. I was looking to get a real estate license (in California if location matters) as a hobby/for fun since I like real estate ever since I was in high school. In the past 2 years, I would go to open house in the weekends to look at homes for fun. I don’t plan to practice real estate full time as I have my main job but I am curious are there any benefits to this? In the future, I plan to own multiple properties and have rentals, so I was wondering if getting a real estate license can help me with it? Thanks submitted by /u/AlohVera [link] [comments] source https://www.reddit.com/r/RealEstate/comments/1f0qx9i/obtaining_a_real_estate_license_as_a_hobby/

Advice? Moved out of my primary residence and now renting

I moved out of the house I own in August 2021, I lived there for 8 years, I have been renting an apartment the past 3 years and renting out my house. My current tenant is moving out in September. I seem to have just missed the living 2 years out of 5 years rule for being exempt from capital gains tax and my house being a primary home. Any advice on what the best thing to do would be moving forward? Continue to rent out my house? I'm happy with my rental, but wouldn't mind buying another property down the road. I could sell my house down the road and try to do a 1031 exchange? Moving back in my house isn't ideal because it's an hour away from where I currently live. I could take a HELOC perhaps and try to buy another property and continue renting for the long term? I do have a 2.4% mortgage rate on the house so I don't mind keeping it for a while. Thanks for everyone's advice. submitted by /u/Ok-Top-7859 [link] [comments] source https://www.reddit.co...