Appraisal packet

3 Replies

I currently have a contract to sell a property I rehabbed. It will be the highest sale in the neighborhood. I've been told to deliver a "packet" to the appriser so that he knows what comps we're using and how much work and money went into the renovation, to justify our agreed upon amount. Does anyone have explained of this packet that they could share?

@Bill Katsaros - we do this everytime we refinance out of hard-money into 30-year FNMA loans.  It should be the same in your case for a sale.  Here is what we do:

- Meet the appraiser at the house.

- Make sure to call out all of the improvements made, physically point them out.

- At the end when he is finishing up, I give the appraiser a packet that includes three things:

1.  The hard-money appraisal if there is one (some HM lenders require an appraisal).

2.  A set of the comps that I want the new appraiser to use. Ask a realtor to help you with this if you don't have access to the MLS. If I expect the new appraisal to come in higher than the HM appraisal, since typically a month or so has passed, I make sure to point out the new, "better" comps. Some of the comps may be the same.

3.  All rehab that we did;  I usually create a summary rehab sheet with upper level numbers and descriptions, but also include the detail behind that.  The guy will take pictures, but he is also looking at a number of houses that day, so I want him to easily remember mine.

I guess since you are actually selling the house, he already knows what your target appraisal is.  Since we are refi-ing, I always make sure to mention the amount (usually a range, where my target amount is at the bottom) that I am hoping for.

These guys are pretty busy in my area, so I try to be succinct when meeting with them, and be sure your packet is easy to follow/in good order.

Andy

Andy W. I listed the property in mls, my realtor is planning to meet the appraiser. Would you still recommend that I attend or will it be off putting to the appriser. My realtor is sharp but I was also the GC so I could be present from that standpoint.

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