I just wanted to vent. One of my 4 bedroom houses in san diego located in a nice neighborhood was appraised at $710,000 last year when I bought it. This year I had it reappraised again to obtain an equity line and the same bank appraised it at $705,000.
So my house in San Diego depreciated in 1 year?!? That is a load of crap.
It is highly unlikely that you can get any three appraisers to agree on a single value. Even if you have them all do the appraisal at the same time. $5000.00 difference isn’t really that much of a difference.
Appraising is basically a guessing game. Since no buyer is present (buyer makes the price) it is an educated guess by looking at what other homes have sold for. Maybe there was a down trend lately? Also sometimes some banks are more “conservative” than others.
it could be right. from what i’ve seen, many areas of southern calif. are now flat to slightly down compared to last year. some areas are slightly up.
you have 3 appraisers appraise your property and don’t tell them any anticipated value, you’ll get 3 opinions of market value, just like if you have 3 agents give you their opinions of anticipated sales price.
How about this as an option to consider:
Maybe the first appraiser was “full of crap” at $710k…??? We don’t call him full of crap because he gave you an appraisal that you liked. The second is “full of crap” because YOU were disappointed with the number. I would say that there is just as great a likelihood that the first appraiser was high than th second was low…or amybe some of each.
My two cents.
Keith
Right on Keith could not have said it better myself!
Did you purchase it last year for $710,000? When an appraiser is working on a sale, they sometimes get/feel pressure to “hit the number”. When they are doing them for other reasons (re-fi, equity, etc.) they may not feel that same pressure.
Did someone forget to tip the appraiser? Just kidding thought I would throw out a really bad idea!