All Forum Posts by: Ruthie Hopkins
Ruthie Hopkins has started 1 posts and replied 5 times.
Post: Appraisal comes in at exactly the purchase price
- Katy, TX
- Posts 5
- Votes 0
Originally posted by @Arianne L.:
@Ruthie Hopkins Sounds like you don't want to buy the condo because you think it is priced too high.
I don't know where the condo you're purchasing is located.
What are the three comps they used? Addresses and price? Pictures? What adjustments did the appraiser use? If you really want us to give an opinion on the appraisal it would help if you uploaded it here.
From what you said, it looks like the subject property was someone else's flip/rehab. If the market is at 330k for renovated similar properties, then it really doesn't matter what the seller bought it for.
What matters here is what you want to do. It sounds like you entered into a contract but now want to back out. That is your choice.
I personally would not buy a 674 sqft condo for 330k as a personal residence unless I know there is significant upside enough to warrant my living expenses. But that's just me.
Post: Appraisal comes in at exactly the purchase price
- Katy, TX
- Posts 5
- Votes 0
Originally posted by @Mike McCarthy:
I assume you're talking about the appraisal ordered by the mortgage company (and not a tax appraisal, in which case I'd have a MUCH different response).
I agree, I think the reasoning is questionable at best, but he's giving you the appraisal you need to close. I don't understand what the issue is? Once the bank's underwriter signs off on the appraisal, it will never be seen or heard from again. You're setting a comp in the neighborhood with a supposedly reasonable valuation of the property (since that's what you're paying for it).
I'm still confused as to what your question is.
I am thinking long term so to speak. I will only be stationed here for let's say for 2-3 years, after which I plan to sell the property. I am wondering if it is a smart move to invest 330k into a condo that I would have to sell at the exact same price when it comes time for me to PCS again ?
Post: Appraisal comes in at exactly the purchase price
- Katy, TX
- Posts 5
- Votes 0
Originally posted by @Mike McCarthy:
Are you disagreeing with the appraisal? Or the fact that it 'conveniently' came in at the purchase price?
This used to happen all the time. Less so these days, but the appraiser knows that everyone (bank, buyer, seller) all want it to appraise correctly. So unless he can't justify it, it should come in pretty close to the purchase price.
I am concerned with the appraisal vs. the estimate property value of the surrounding properties.
I mentioned the appraise justification in the above post. It seems to me that the appraiser is basing his decision solely off of the renovations not the actual property value with the project.
Post: Appraisal comes in at exactly the purchase price
- Katy, TX
- Posts 5
- Votes 0
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Post: Appraisal comes in at exactly the purchase price
- Katy, TX
- Posts 5
- Votes 0
I am currently in the process of buying a condo for 330K. The appraisal came in at the same price as the purchase price. Here's the kicker, the condo (674 sqft) was renovated however the property was sold to the buyer on 5/09/2017 for 230K.
"Appraisal Analysis : The subject was previously purchased for 230K, recorded May 9,2017. The difference between the subjects May 2017 sale price and it's current market value is likely due to recent, expensive renovations and a stronger real estate market in July ( the prior sale was conducted in March and the unit was mostly original with some needed repairs). A commissioner's deed was previously filed for Comp 1 on November 29, 2016 for 185K. This was not an open market transaction. A quitclaim deed was previously filed for comp 1 on December 18, 2015, for$1. Comp 3's leased fee interest fee interest was previously purchased on March 2, 2017, 105,00. Note: According to Hawaii Information service, there is a four to six week delay before posting."