Ashton, ID · Member since 2015 · 14 posts · 0 votes
So, my first lesson is . . . DON'T TRUST and DO VERIFY. We are into our first duplex for the investment cost of 2 or maybe 3 properties in the area because we believed the wholesaler (a reputable company, they are all over the map) who said it would appraise after $25,000 in renovations. In actuality it appraised for "less" than what we paid for it. Bummer Deal. Live and Learn
Kansas City MO · Member since 2014 · 357 posts · 349 votes
9y
I'd check the MLS listings in the area or talk to a realtor before getting too upset. Sometimes these bank appraisers intentionally go low or they're just idiots. I've had them use comps that were a year old where the houses were not renovated or livable compared to mine that was fixed up and rented. I had one appraiser comp a trendy cool area using 2 properties in the ghetto. Had another house appraised by 2 different banks in a 2 month period and the appraisals were 20K difference from each other. I don't have the highest confidence in appraisals to be accurate of market value. I'd double check those numbers to be sure.
Austin, TX · Member since 2017 · 61 posts · 32 votes
9y
@Nicole Stoddard Yikes! I would take the advice of @Laura Williams on this one. Try as they might to be objective, appraisals are still subjective to a degree. Sometimes that degree is worth 20k like Laura stated.
What kind of renovations were made to the property?