House appraised low

General Real Estate Investing
1

I just got my appraisel and the comps they used were houses that sold before the RE price hike hit my neighborhood. Houses are selling for were bought at 90-100 and sold flipped (not much of a flip but those are the numbers) 120-140k. They are comping mu house at the pre-flip prices. Why would they do that?

2

There could be a few reasons

  1. The appraiser field now a days is under investigation do to high appraised values a few years ago (At least in CO,AZ,NV and AL)

  2. You hired a very conservative appraiser.

  3. You hired a ROOKIE…

  4. Values fell in the area.

  5. That is what the house was worth.

  6. The comps had high dollar finishes.

The list could keep going and going.

3

Thanks.

4

If you are sure of your values, hire yourself a second appraiser and make sure the individual has local knowledge when you call.

5

I had 4 people explian why they did it. It reallt is worth 20k more than appraisal.