Updated almost 9 years ago on . Most recent reply
Appraisal using comps with FHA price deductions ??
We just had an appraisal done against a property for a refinance and the appraisal came in lower than expected.
What struck me is the fact that the appraiser used comps which have sold as FHA and so he deducted $7500 from the price on each of these comps . The refinance is not FHA but conventional.
Question is why would he use these comps when we aren't dealing with a FHA refinance and why would the fact that those properties were bough using FHA loans impact the price on our property in any way?
The refinance will go thru but i'll have to drop an extra $500 in closing.
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#1 Foreclosures Contributor
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#1 Foreclosures Contributor
- Real Estate Professional
- West Palm Beach, FL
The only way that would make sense, and it's quite possible, is when the seller is giving $7500 in closing cost credits. They would have access to that as some MLS systems have this info entered by the listing agent after the sale, or by calling the agents involved, which appraiser's do all the time.