Buying & Selling Real Estate
Market News & Data
General Info
Real Estate Strategies
Short-Term & Vacation Rental Discussions
presented by
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Tax, SDIRAs & Cost Segregation
presented by
1031 Exchanges
presented by
Real Estate Classifieds
Reviews & Feedback
Updated over 3 years ago, 09/07/2021
If appraisals are based on comps, how do prices rise over time?
This is a technical question that arises from the painful experience of having an appraisal come in low. It happened two years ago when a VA appraiser, citing comps, said that the price my buyer had agreed to pay for my single family house was too high by $10,000. Today, two years later, that house is worth about $40,000 more than the price my buyer was allowed to pay. So can someone please explain how prices in general can rise over time if appraisals are based upon comps?