Surprisingly thats not why I'm unhappy. We got our appraisal back and it was $22,000 less than what we expected. At first I thought this was just to get the house to appraise to the loan. But after speaking with the appraiser he considers the amount he listed to be "fair market value" if I were to sell that house today. Funny thing is we received $22,000 in incentives to buy that lot and finance with Ryan's in-house lender NVR.
They took off $ for living on a busy street and I paid a premium for the lot. At this point I feel I was forced to use their lender to obtain a home loan on an inflated value for the house to get incentives that have no value. I would check with your SR to make sure homes in your area are appraising for what they are being sold for. I just feel like we've already lost money before we've signed the papers.
Ask ask ask questions! Very unhappy soon to be homeowner!
Glad to hear that you will be getting your island counter replaced! As for the appraisal, I understand your frustration and can see why you feel taken.
ReplyDeleteWhen we spoke with our realtor before listing our current home, she explained that appraisals are all over the place right now. She said that she used to be able to accurately predict what a house would appraise at but that now it seems to be even more subjective. For example, a house she had listed had a finished basement, but when the appraisal came back, there was no credit for the fully finished basement. When asked about it, the appraiser said it had no value because it was a basement. Talk about crazy!
So, as upsetting as your appraisal was, it could have just been that appraiser having a bad day. Also, you are paying for the labor to have the house built. The next person that buys the house does not pay for that. That may have factored into the appraisal. Either way, I'm sorry that you had to go through this :(
I'm sorry to hear this...I often wonder if our home will appraise for what we are paying. We are also using NVR, and receiving about the same in incentives (finished basement+1/2 bath and third car garage) plus the premium on the lot waived...
ReplyDeleteI thought I had recalled our NVR mortgage rep saying that if the appraisal is less than the cost of the home, we are not forced to pay the original sale price, and likely will drop the price we will actually pay --- I'm thinking this is not the case in reality???
GOOD LUCK to you! I'll be interested in hearing the next steps.
One of the other things that makes the home more valuable is the ability to choose your options, and get it made just the way you want. Of course, if it were put on the market right now, that wouldn't be the case for the next person. Some options that may have had a lot of value to you and added to cost might not necessarily have added a lot in value in terms of resale, but that's ok! You are the one living in it. :)
ReplyDeleteI would agree. But the problem I have is the appraiser took in to account the upgrades we did inside the home and noted it on his sheet. We were also told our house would appraise for the full amount.
ReplyDeleteThat is surprising. I am a realtor & a two time Ryan buyer. I have never seen new construction not appraise at the sales price in Maryland.
ReplyDelete