Buying my first property in Miami , appraisal value question

[Daniel Campana]

BP members : This is my first post on BP. I am on the process of looking to buy my first buy and hold property in Miami . While in the process , I came across a property that had a significant disconnect ( about 60k ) between the appraised value and the contract price . What does this mean? The unit has been nicely rehabbed by the seller and I'm afraid the disconnect might be caused by the over-the -top rehab. What do you guys think? Thanks for all of your help!

[Hank A.]

If you are serious about this property, get your own independent appraisal, for both sales and rents in that area. The appraisal will probably cost you a few hundred dollars, but should be worth the money in either backing you up on a deal that makes sense or saving you from pursuing a deal that does not make sense and losing more money in the long term. Perhaps you can even use it to negotiate down the asking price.