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I have two nearly identical offers on my home right now. One is a VA loan and the other is a RD loan. Which is easier to get a home appraised with? Both are nearly paying my asking price and I'm now in the worried stage of this that my house won't appraise.
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Home values haven't really dropped to much here. I wouldn't worry too much about it. -
it's not that the home values have dropped, it's that home appraisers are extremely conservative, these days...a lot of times, way too conservative. it's gone from one end of the spectrum (appraising for way too much) to the opposite end of the spectrum, where they use bad (low) comps (foreclosures, for instance), undervalue additional items/upgrades, etc.Originally posted by sc281 View PostComment
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From a seller's perspective, VA is PITA. They want the seller to pay for everything. Even when you have signed contract, VA keeps coming back wanting more money from the seller, even 3 days prior to closing. I toss a contract as soon as I see VA.Comment
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I don't know how accurate zillow is but that site has m property fluctuating 30k just about every month....Originally posted by Cmarsh93zComment
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Zillow is not a good source. Check MLS listings in your area that match your home or go online and pay for an AVM.Originally posted by 347Mike View PostComment
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The only sure-fire way to know is have a realtor check to see what homes have actually sold for in your area.Originally posted by 2011GT View PostComment
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My wife and I just went through the appraisal process for a refi. Here's my suggestion PRIOR to getting it appraised. Walk around your home and document EVERYTHING that you've done to improve it. Provide before/after pictures if possible. Include things as simple as "installed child safety outlets" and provide the cost and what it WOULD have cost to have done it professionally. Here's an example. My wife and I put in several trees and then added landscaping brick around the trees and made some flower beds out of them. This, done by a subcontractor would have been $1500 per tree. It cost us about $300 per. However, even though we did the labor, the VALUE is still what is the end result. Be sure to include rooms that were painted, external modifications to the house, floors, carpeting, ceiling fans, light fixtures, etc etc. Put all the items in a spreadsheet, then get quotes for each that you did yourselves, or the cost that you paid to have them done. The value adds up quickly and COULD be added to the value of the home when you purchased it. Worse case the appraiser dismisses SOME of the updates. Still, IMHO, a worth while effort. Good luck!
Oh, the lady we had come by was very nice, honest, and easy to work with, let me know if you need her number.Originally posted by Taya Kyle, American GunComment
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Appraisals have really varied depending on the area lately. I've seen some parts of the Metroplex come in 10% low, and others 25% higher. Way too many variables for a blanket statement. Did your agent run a BPO?
The appraisers do have very strict guidelines to follow, but ultimately the comparable properties determine the value. If a neighborhood is riddled with foreclosures, you can bet on at least 1 or 2 making it into the report.
VA is more of a pain strictly on the appraisal side because those appraisals are ordered through their portal and they have 10 business days to complete the request (and they typically take all 10 regardless of how busy they are).
RD (assuming USDA Rural Development) is a conventional appraisal so it follows the new HVCC guidelines. That means it goes to the next in line on a round robin list of appraisers chosen by the lender. These are typically people they work with often and have a good relationship, so the results are usually better.
However, VA loans can be underwritten in house (if they have a VA underwriter) and RD loans must be sent off to USDA for underwriting and depending on the field office that can take up to 3 weeks.Comment
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Most of the items you listed do not add value according to FNMA/VA/HUD. Even for the ones that do, your improvements must be above and beyond comparable properties in the area. If all the houses have granite countertops, you do not have added value for having granite, you just do not lose value for not having it (make sense?). I agree that's a good idea, I just want to be sure that everyone is aware that most cosmetic upgrades do not add value.Originally posted by Darren M View Post
While they can have their house appraised on their own, the buyer would not be able to use the report. The lender has to choose the appraiser.Comment
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That does make a lot of sense. Good point and thanks. I am obviously NOT in my forte'. Thanks for being civil.Originally posted by SVT Lurch View Post
Originally posted by Taya Kyle, American GunComment
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Trey (SVT Lurch) is a badass! Pretty much the guy to go to on notes...Comment
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Hes' also one of the baddest Mutha Effers when it comes to Lending. Real Estate Nate and Trey, the duo for buying/selling.
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Thanks guys, we definitely try to do right by the people who come to us for help.
No worries. I ninja edited to try and make it more civil. Those are common questions/ideas on refinances. If you spend money on the house it's logical to think that there would be more value to go along with it, but unfortunately that's not always the case given the strict guidelines that have to be followed.Originally posted by Darren M View PostThat does make a lot of sense. Good point and thanks. I am obviously NOT in my forte'. Thanks for being civil.
It's technically not even my specialty since I'm not an appraiser. I just deal with them often enough that I pick up tips/tricks here and there.Comment
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Thanks for all the help guys. We ended up going with the VA loan. Only because they didn't want the washer, dryer and refrigerator. So at least we wont have to buy them. I just can't believe they paid my asking price and the house was only on the market for a week.
So SVT Lurch would it be a waste of my time to make a list of all the upgrades I did?Comment
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