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Updated almost 9 years ago,

Account Closed
  • Kalamazoo, MI
129
Votes |
224
Posts

low appraisal? What would you do?

Account Closed
  • Kalamazoo, MI
Posted

VA appraisal came back about seven percent low. This cuts the profits down by one third. And this is not some two week flip where I called the contractor to come do the work while I sipped Starbucks. This is mostly sweat equity on a house that was a ton of work. I doubt an appeal will be worthwhile. Plus, they give you 48 hours to file. It has been 48 hours, and they still can't even get me a copy of the appraisal. Do I just take a small win and move on, or stick to my guns and hope for something better? Is it true this also affects FHA and sticks to the house for six months? I always get very nervous and am inclined to take a bird in the hand. But it irritates me that I am basically giving all these upgrades away because my house would be cheaper than all the unimproved ones.

Unrelated note--, I listed with a realtor instead of selling FSBO for the first time in a while. I wanted someone to help me negotiate. But I hate it. From now on, I am selling myself. I am paying money for extra headache and to be kept in the dark. It's like a giant game of telephone. Every communication takes several days, and I have no way of knowing what actually gets said. Realtors just get in the way. And as for having someone help me negotiate--nope. Now I have two people (realtor and buyer) trying to undercut me.

  I am always amazed how even realtors here don't understand that upgrades sell a house.  Appraisers certainly don't get it.  Lest you think I am over priced, I know my market.  My farm is small.  I've watched it daily for five years.  I go to every open house that could be a comp.  I know what these houses look like, inside and out, what they sell for, what grade materials used, etc.   We've had 15 showings in 10 days (high for here), despite six inches of snow.   I am by far the best value in this area in this price/area right now.    I now understand why filppers in Kalamazoo  seem to do the least possible.  I see people putting in vinyl floors, oak kitchens, used vanities, and getting more than I get, even though I do nice kitchens, upgraded wood floors, nice trim, trendy tile...and it's just a giant waste of money.  People who have zero upgrades with blue carpet, paneling, 70s kitchens get more per foot than I do.  Sorry for the rant.  But I feel like I just gave some stranger a free 10k remodel.