How to handle this appraisal?

[Ryan Zaninovich]

Hello everyone,

We are doing a refi on 4 identical triplexes. The company hired two appraisers to do the valuations, two triplexes for each appraiser. The triplexes are located in a small, sort of, isolated community so the first appraiser could find no comps. In fact, the only comps he could find were the other two triplexes we own. So he went back 4 years ago to our purchase transaction and simply used that value which was $165,000. 

Is this okay to use 4 year old comps and the same (sister) properties that he is appraising? Also, these were verified REO purchases but he didn't even mention that in his report. So he didn't provide for them being purchased as REOs and he didn't provide any appreciation for the 4 years since we purchased the properties (and there has been A LOT of appreciation in this County the last 4 years).

Before we set about doing a refi  we had listed these properties at $240,000 and had interest at $215,000 which we declined. We lowered them to $225,000 and had more interest at $210,000. At this point we realized we weren't going to get what we wanted so after two months we pulled the listing to refinance. We asked for $210,000 thinking it would be a fairly easy target...and then this appraisal comes in at $165,000. 

So I'm super frustrated here. I told the refi company that the appraisal should straight up be stricken from the record and it should be reappraised. We are currently in dispute. I made the case that instead of going back 4 years because of no comps the appraiser should increase the geographical area to include a very similar nearby community with plenty of multi family comps (which also happens to show that I am correct and at the lowest they should be valued at $210,000.) They put the other two units appraisals on hold because they are worried the other appraiser will make a similar mistake and we will be stuck with all 4 being appraised way under value because these appraisers can't seem to value a property without comps. They all seem to agree with us and are pushing this up the chain of command to try and get someone with more authority to make a decision.

Has anyone else dealt with something like this? Any advice on how I should proceed? Are we simply screwed because of one bad appraiser who doesn't know how to do his job?