Appraisal turned down due to no recient comps

[Marc Lyman]

I was supposed to close on a triplex tomorrow but just found out that the secondary review of the appraisal by the bank was turned down. They didn’t like the appraisal because there were no mulit-family comps in the area this year, only last year. Not sure how to get them more comps if none exist. Anyone ever run into this before and have a creative way to convince the bank the appraisal is accurate?

[Wayne Qualls]

Marc,

I know banks like to look back only 6 months for comps, but if your area is like here, triplexes don't sell every day. If they have comps that are up to 1 year old, and will only go back 6 months, then it sounds like you have a very conservative bank. Which is not saying a lot these day's about banks.

Is this a local bank, or a mortgage company? If a local bank I would suggest you call a local mortgage company. If it's a local mortgage company, call another one.

Are you can ask the bank could they use comps in a competing neiborhood if there is one.

Hope this helps.

Wayne