Accuracy of appraisal

graywings123April 12, 2009

I will be closing on the purchase of a house tomorrow. Yesterday in the mail, I received the appraisal performed for the mortgage company. It has some errors in it, notably that the wood frame house has vinyl siding.

By some strange coincidence, the house appraised at the exact sum that I am paying for it. That amount is lower than I thought it would have.

Now that I have my loan, does this appraisal matter for any purpose?

Thank you for reporting this comment. Undo
linda117117

Nope, doesnt matter at all. I asked an appraiser once why the appraisals always seem to come in at "just the exact number needed for the loan". He told me that if it is more than 5% difference than what is needed they have to do a lot more paperwork. They are less concerned about giving you an exact appraisal and more concerned with just giving you what you need.

    Bookmark   April 12, 2009 at 10:39AM
Thank you for reporting this comment. Undo
logic

Appraisers have had a petition before congress for years, imploring them to crack down on lending institutions that blackball appraisers who don't come in at a predetermined price...to no avail.

Consequently, the appraiser either plays ball or closes up shop...as he/she will receive very little if any business otherwise.

One more mystery solved regarding how so many homes were sold and mortgages issued for such inflated values.

    Bookmark   April 12, 2009 at 11:41AM
Sign Up to comment
More Discussions
1031 Reverse question
We already purchased an investment property and are...
Patience Spina
Home Buyers Please Vote: Would you rather ...
1. A $2,000 kitchen appliance allowance or any stainless...
belfastbound
Off market for 6 days, why? ncrealestateguy?
Hello, long time lurker, first time poster. I hope...
heather483
Would you buy a home near fire station??
We're considering an offer on a single-family home...
1232
Help, quick! VA Loan Problems?
My friend is selling her home. She's received two...
jewelisfabulous
Sponsored Products
Customizable Lancaster Standard Lawn Plaque
$129.50 | FRONTGATE
Capitol Monogrammed Mailbox
$329.00 | FRONTGATE
Crosley Cambridge Stainless Steel Top Kitchen Island - KF30002DBK
$399.00 | Hayneedle
Crosley Alexandria 48 in. Corner TV Stand - Black - KF10006ABK
$399.00 | Hayneedle
Ethan Address Plaque Large - Black/Antique
$149.00 | FRONTGATE
Crosley 5-Piece Pub Dining Set with Turned Leg and Upholstered Saddle Stools - K
$329.00 | Hayneedle
Crosley Cambridge Buffet Server with Wine Storage - KF42001DCH
$399.00 | Hayneedle
Veritas Set of Two Pinot Noir/Rose Champagne Glasses
$59.95 | FRONTGATE
People viewed this after searching for:
© 2015 Houzz Inc. Houzz® The new way to design your home™