Hud asking price 115,000
Purchased at 100K with closing cost assistance
Appraisal today came back at 100K. Honestly I was expecting around 115K. I have read its common for the appraiser to come in at or right around your contract price.
They appraised at a 3 bed 2 bath home. It has a half bath on the main level that has nothing in it so they didnt count that square footage or even note the halfbath. They also appraised with no appliances in the kitchen.
I'm a bit concerned over the appraisal price as I plan to refi and get cash out within 6-12 months. Not to mention that I feel like I didnt get a good deal soley on the appraisal number.
Hopefully after we add the bath and finish off the kitchen It will appraise for the amount I wanted 135-145 in 6 months. There have been sales in the 140 range lately. Is it true that once 6 months is up the banks will not look at old appraisals?
Am I putting too much thought into the appraisal I just got back?
Ask yourself what is your End Game?
To add improvements? will this increase value to what you want? If not what is your long term goal?
Right now your are buying a property with no equity
Also, your will need to get another appraisal.
- If this is an investment property and it does appraise at 135k i believe you are only able to refinance up to a certain amount , see what that amount is? 80% 90??????
You may be holding the property longer than expected.
I am buying and holding. The property will still cashflow.
I am putting 20% down.
Bank will do 75% cash out after 6 month seasoning.
"Buying a property with no equity" , no one likes to hear that!
You are correct
Just make sure going into this that you know your numbers and you understand your End Game. This property has to fit your criteria and put money in your pocket not someone elses
Good Luck to you
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