Steps to Dispute a Low HomeÂ Appraisal!
After months on the market you have finally found that perfect buyer only to be hit with a Low Home Appraisal.Â Can you dispute the low home appraisal?Â Â Actually, it is okay to contest a low home appraisal.
- Â Get with your real estate agent/broker and do some research; request a copy of the appraisal report; check the report for errors in vital information; make sure that the description of your property is accurate; that all improvements to the property are noted and that all comparable local properties are true comps.
- The appraiser may not know the circumstances behind
those sales, i.e., divorce, death, quick sell to relocation company,
etc.Â Gather as much information as possible from the neighborhood about these sales. The key to a successful dispute is data.
- Ask your listing agent and the selling agent to put together a list of recent comparable sales in your area.Â Submit that list, along with any information you have gathered from the community and anything the appraiser failed to correctly identify or omitted, to the underwriter and ask for a review.
- Make sure that the appraiser has a license, experience and knowledge of the neighborhood.Â If the appraisal was performed by an out-of-town appraiser, request a new appraisal by a local appraiser with experience in your neighborhood.
There is always the possibility that the appraiser will take into consideration new or overlooked information, depending on how convincing your argument is.
I hope these Steps to Dispute a Low Home Appraisal helped.Â Have you had a low home appraisal?