How to deal with a bad appraiser

Question

So my appraiser came and did my appraisal but from the jump he was letting me know we are not cool he didn’t like i did accent walls, he didn’t like i had a mini split in each room he said i should just get a furnace. He told me he was going to not comp my house for my area but the city i stay in so many words. I just stop talking and just followed and spoke when spoken to

And he low balled me

Mind you i have a new kitchen new bathroom room all new plumbing and electrical i gutted this house to the studs and my house is almost $40k lower if sold at this price cheaper then lowest house over here that sold

Chris Barrett · Answer

This is what I do ^^ every time. I've had 50% bad appraisers vs competent ones. I dispute every time up to ordering a new appraisal. I'm also not afraid to tell the lender that the appraiser is wrong and that I'm not interested in working with them again.

Bruce Woodruff · Answer

I used to work with great Realtors who would show up on appraisal day and greet the Appraiser with a folder full of comps that were very flattering, plus paperwork describing in glowing detail all of the improvements to the house and their value.

I would insist on a new appraisal, and either have your Realtor do the above, or do it yourself. It really does have some impact IMO.

Bailey Coleman · Answer

I 100% agree with that statement. I do this everything and I can say it has tremendously impact my value.

Mark Munson · Answer

Hi @Damein White

You can dispute the appraisal, you'll just need additional comps to do so. Every lender on BiggerPockets has probably disputed hundreds of appraisals, I know we have and usually with great success, assuming there was an error or a failure to use clear, similarly spec'd comps. If a dispute doesn't work, ask the lender to order a new one. It will likely cost you more money, but you probably won't have another alternative. If the lender refuses, use a different lender.

AJ Exner · Answer

Man, unfortunately its a tale as old as time. My gut says you would be best served ordering another appraisal and staying far away from that appraiser. You could provide comps nearby and try to dispute but it can also be a losing battle. I've had clients that we've disputed, got low balled again, and just ordered a new appraisal and got what we expected. Hate that it happens, but it definitely can.

Might need to calculate what your time is worth and deciding next steps from there.

Good luck!

Chris Barrett · Answer

Yeah absolutely, I'm always extremely friendly with, well everyone generally, but every appraiser. But when I have an appraiser come back with comps from a year ago from when I purchased the building and then they refuse to recalculate based off of recent comps, I'm not going to be interested in working with that person again. In this business you need to be assertive in protecting your interests and your business's interests.

Damein White · Answer

I just connected so can send you address

Damein White · Answer

Thank you

How to deal with a bad appraiser

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