Updated over 8 years ago on . Most recent reply
Second appraisal - Help Quick please!
Hello folks,
My buyers were originally going with a VA loan and their lender had VA appraisal done to my house. The value came way under contract price. I requested a revision and included new comps but it came back at the same price. I need out of this house so I signed an addendum for the appraised value which states that the drop in price was due to the appraisal.
A bit later in the process the VA loan fell through and they switched to a Conventional loan with the same lender. The UW required a new appraisal done which came exactly at the same price (what are the chances?). I noticed a few flaws in the report, one of them being that the "Contract Price" was the one in the addendum, not the original...which of course is the same as the prior appraisal.
I requested a new review of this appraisal and I'm waiting for the official response.
In the meantime the buyer's realtor called me to ask me why I was challenging the appraisal again if we had an addendum to drop the price to what the appraisal said. My response to her is that the prior addendum was tied to the prior appraisal and ordering a new one wiped it out. If the new appraisal came higher I would sell the house at a higher price up to the original Contract price.
Of course my response was based in my "common sense" and has no legal bases but it seems fair to me.
Can anyone chime in here and tell me whether I am right or wrong and what are my rights here?
Thank you!!
Note: Buyers are saying now they will only buy at the first appraisal price. Won't a second higher appraisal order by the lender force them to buy at that price?