Can appraisal values be disputed in regard to second mortgages?
Posted in Renting & Real Estate on 05/30/2009 12:33 am by admin
thechicagoloop asked:
I bought an older house in a poor neighborhood for about 75 K. Since then, the real estate market has ballooned (New Orleans area), and the neighborhood has improved a great deal.
I recently asked a lender to see how much I could get a home equity loan, and they said not much, as they appraised the house at about 80K.
Funny thing is, the house behind mine, which is a carbon copy of the house I live in, sold a year after mine for 150K!
Can I argue this point to the lender, or do I need to do another kind of appraisal?
FEDERICO
I bought an older house in a poor neighborhood for about 75 K. Since then, the real estate market has ballooned (New Orleans area), and the neighborhood has improved a great deal.
I recently asked a lender to see how much I could get a home equity loan, and they said not much, as they appraised the house at about 80K.
Funny thing is, the house behind mine, which is a carbon copy of the house I live in, sold a year after mine for 150K!
Can I argue this point to the lender, or do I need to do another kind of appraisal?
FEDERICO
05/31/2009 at 6:04 am
JOEY
You can dispute it, but there probably isn’t going to change unless you get another appraisal. Lenders typically have a pool of appraisers they will use. You may want to try a different lender.
06/01/2009 at 3:03 am
HERIBERTO
More than likely, you need to find a new lender. Most lenders won’t just take a 2nd appraisal, especially not one coming in at almost double the original one.
And you should be cautious about financing so much, in case the $80K is really more accurate.