Author Topic: Anyone knowledgeable on Appraisals?  (Read 204 times)


  • Stubble
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  • Posts: 189
Anyone knowledgeable on Appraisals?
« on: December 21, 2020, 10:18:02 AM »
I had an appraisal done for a cash out refi, the appraisal value came in lower than i would have expected. After looking at the comps and the adjustments that were made i was livid. the value of certain things like a finished basement or 3rd car garage were valued waaaayyy lower than i would have guessed, and above ground finished sq ft were favored vs total sf.  The Appraiser compared our home to homes with a 2 car and no basement for a few of the 6 comp's.

is there a standard format for Appraisals and the value of certain features? If so, who sets these values? it seems ridiculous to me as if we sold our house it would likely sell for $50k over the refi appraisal value. 

This whole process makes me want to become an appraiser so i understand whats going on.


  • Magnum Stache
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  • Posts: 4765
Re: Anyone knowledgeable on Appraisals?
« Reply #1 on: December 21, 2020, 10:52:03 AM »
There is a standard formula for most features (ie 2 vs 3 car garage or whatever). You can probably get that info online or from the appraiser him/her self.

If you're in an area without many recent good comps, the appraiser (if they're responsible) is going to value the house lower than what you might think it worth, because they are the ones making sure the bank has enough meat on the bone to make themselves whole. It *should* be a conservative estimate, most of the time. If there are lots of recent good comps and it came in super low, you can contest the appraisal.



  • Bristles
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  • Posts: 351
Re: Anyone knowledgeable on Appraisals?
« Reply #2 on: December 21, 2020, 12:29:12 PM »
Is the appraisal lower than your attempted cash out refi or just lower than you would have expected? Because an appraisal for financing is really only answering the question, is the house worth enough to secure this mortgage. That's all they really care about. Don't worry about it past that point. If you don't qualify for your mortgage due to the low appraisal then worry about it - otherwise it's not an issue.

A low appraisal can always come in handy at tax reassessment time. Hang on to it.