There is not enough information here to give you a definite answer. Your lender should be able to tell you if this will be an issue. Your lender should have given you a preapproval based on the information you gave him/her, and therefore if the situation has not changed, you should not have much of an issue with underwriting, but I guess I don't know your full situation.... more
When a property is quit -claimed to someone, the rights to it are deeded away. If the person who quit-claimed it away remains on the loan, they are still liable for the debt. Also the property will remain as collateral for any outstanding loans. However, if you assume the loan with the bank's or lending institution's ok, then your father will not be liable for the loan. You, however, will be liable for the debt and loan payments. The debt will be added to your liabilities, and the loan payments will be added to your expenses. This will affect your debt-to-income ratio which could affect your ability to qualify for any other loans--including an FHA loan -- depending on your cash flow after the assumption of the loan. Give me a call and i can further explain this. I also can put you in touch with a few mortgage providers who can answer this type of question in more detail.... more
This is a very popular question. As you can see we all say you can fight it and ask for a reduction. However they will not use your sales price as an evaluation - as this is called shopping and they will not shop your SEV. I do want you to think of something - if this home is a starter home and you plan to move with in the next 5 years - what do you want your SEV to show? Many buyers will look at the SEV to give them "value". We as agents will show comps ( recent sales) which is the best way, but as much as I do this I still have buyers bringing me the SEV. I have had many sellers sorry they reduced as it i did not make that much difference in what they were paying annually and then had a hard time selling for the price they wanted because of the SEV, so be careful for what you ask for.
Your zip code shows 49548 which would suggest Wyoming area. Here is a paste and copy form their website:
Review of Sales
Annually, our appraisers review all Sales in a "study year" that spans from April 1st of one year through March 31st of the following year. Sales are divided into various categories:
Good Sales are considered sales that reflect usual "arms length transactions" and reflect "market value".
Bad Sales are considered sales that do not reflect usual "arms length transactions" and do not reflect "market value".
Once the "good sales" have been established they are grouped and used to review the various neighborhoods and their relationship to our assessments.
We have many (70+) Economic Areas or neighborhoods to allow the appraisers to focus on smaller segments of the 25,000+ properties in the City of Wyoming. These smaller Economic Areas generally reflect uniform property type groupings. Many of these areas have been created around certain historical years of development, plats, physical geography, school districts, use types or a consideration of all of these elements and other similar items. These EA's allow the appraisers to review the assessment level in each area and decide if that area needs immediate reappraisal work.
Occasionally the number of "good sales" available for any one EA is insufficient for analysis. When this occurs the appraiser may blend in the sales from a nearby EA of similar type properties, thereby creating a statistically significant sample for a study.
Periodically, reappraisals of existing neighborhoods are done to maintain uniformity of assessments at 50% of value. Appraisals are completed using a computerized 'Cost Approach' to value. The values provided by this approach embody the market level of each neighborhood, as measured by its Economic Condition Factor (ECF). The ECF is calculated from good sales in the neighborhood being appraised. When a property's assessment is appealed we review our appraisals with the 'Market Approach' to value. This approach involves direct comparison of the property under review to several of the most similar properties which have sold recently. Whatever approach is used, half of the resulting appraised value is used for the assessment. The amount of the taxable value (which can never exceed the assessed value) will be dependent on the Consumers Price Index (CPI) since the last sale of a property.
Good luck in your decision.... more
Go to your City offices and speak to the Asessor's clerk. Ask to see your "field sheet" for your property. There you will find the local Assessors calculation of the square footage of your home. Be sure to ask the clerk for any assistance in interpretation of field sheet data. Good luck.... more
You have gotten excellent advice from several of the agents who have responded to your question and I know many of them personally and professionally and I believe they are well above average in their service and success.
I agree with several of them who suggested doing a little comparison shopping. Who has the strongest marketing program? Who will get my home maximum exposure in the shortest period of time. Who has the negotiating skill to work with offers and the experience to guide you through the whole process?
It may also be helpful to you to read some articles on improving your home's marketability. As a contributing real estate consultant on www.factoidz.com, you can find several of my articles on marketing homes. Click on http://factoidz.com/expert/profile/donphelan... more