second appraisal without consent

[Sandro Hagenbuch]

Hi all,

My wife and I are in the process of purchasing an apartment in Jersey City downtown and are getting close to the closing date (hopefully in the next two weeks). 

Today, we have received a Loan Estimate document from J.P. Morgan Chase in NYC (our lender) and saw that they will charge us for a 2nd appraisal. However, we have never ordered a second appraisal nor have we been informed. The fees seem to be very high (460 for first and 500 for 2nd appraisal). 

Questions:

- Can we do anything against this charge since there was no consensus of getting a 2nd appraisal?

- Can we have the sellers pay for the 2nd appraisal since they most likely have profited from the 2nd (I guess higher) appraisal?

Thanks for all your help.

Sandro

[Russell Brazil]

Another reason that is common is if the property was a flip. In fact I tell my buyers if it's a flip to plan on paying for 2 appraisals.

You don't have to pay for the 2nd appraisal, but conversely they don't have to lend you any money.  Appraisals are required by lenders to protect their interest in the property. So if you want to borrow their money, you have to meet their requirements.