I am purchasing a split level duplex. Its a bank owned foreclosure. My good faith estimate (GFE) appraisal fee was $450. I just got my settlement statement (HUD-1) today and the appraisal fee is listed at $635! But it gets worse. I checked the credit card that I gave the lender to pay for the appraisal and I've been charged $685!
The appraisal fee seems like something that should be well known when doing the GFE so I am very surprised to see it go up and by such a large amount. I'm curious what others think about this and also whether the appraisal fee is high in general. I am in New Hampshire for reference in case there are regional differences in appraisal fees.
I have questions into the lender about this as well. But I'm curious what others think and how much I should push back on this. A 40-50% fee increase doesn't feel right.
And one more thing that just adds to my annoyance about this is that the appraisal is a joke in my opinion. The selling price for the house is $133k. The appraised value came in at $133k. Seems pretty obvious that the appraiser was working backwards from the number that they wanted to come in at. I have a slightly jaded view about appraisals in general and this just adds to my low opinion of them.
I have also had an appraisal come in at EXACTLY what the sale price was. That made me doubt the appraisal.
How can you not doubt the appraisal when they don't even bother to make it look legitimate. On another past appraisal they came in at the exact dollar amount of the towns tax assessment....again a little bit fishy and that one really annoyed me because I felt it was too low and we were refinancing for a better interest rate and it caused us to lose enough equity to require PMI.
So apparently the lender is willing to give me a $200 refund at closing to cover most of the appraisal cost. They apparently requested a "rent schedule" as part of the appraisal after the GFE which resulted in the extra cost.
So I guess I jumped the gun on the thread, but hopefully it will be beneficial to others searching for a similar issue in the future. The lesson as always, study and compare the GFE and HUD statements carefully and question anything that doesn't feel right.
I'm also waiting for an explanation from them on a $24.99 "cure fee".
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