Lender wants new appraisal day before closing.

Guest

So, We started a process for a short sale in Wellington, FL in July. There was a contract in place but the buyer dropped out midway through the process. We immediately put in an offer and after a counter offer, the sellers bank accepted it (10k above asking price). We were set to close on 9/22 as long as funding was approved which ultimately was. The first appraisal was at 146k but the appraiser was found by our agent. now, a day before closing the lender decided that they did not agree with the appraisal and wanted to send out their appraiser for a second opinion which has ultimately pushed us back on closing (REAL HEADACHE).

My question is this normal? And what should we expect from this?

We are first time home buyers and are very unfamiliar with this process.

I appreciate your feedback.

gmakerley · Posted: Tue Sep 22, 2009 9:44 am Post subject:

nothing in the mortgage industry in this country is "normal" any longer. it's not surprising to find out that a lender is not impressed with an appraisal report and that another is required. i don't think it's a given that most lenders would wait until the eleventh hour to ask for a new appraisal, though.

i don't know what you should expect. it's funny that your agent found the appraiser - that's abnormal (huh? abnormal? that presupposes normality, which i just denied...oh well). lenders need to use appraisers that are acceptable to them, not chosen by a real estate agent. i don't get that.
that might be why they're asking for a new one, but it doesn't explain the timing.

what to expect? who knows, really...if the value judgment is the same or similar, you'll probably have to deal with a delayed closing is all...hopefully that's the case.

All times are GMT - 7 Hours

Page 1 of 1