2nd appraisal issue... do I have recourse?

[Terry B.]

Situation is below... anyone had success getting an appraisal amended or changed?

Most of my projects are purchased, rehabbed and sold within 90 days, so the need for a 2nd appraisal is not a surprise to me... however, the outcome of this second appraisal has taken me aback...

The home is under contract for $118,200 with me paying $2,000 in closing costs for the buyer. Loan is FHA. The first appraisal came back at, or over, sale price (I haven't obtained this appraisal yet). Second appraisal came in at $113,000 (I have the full appraisal)!!

The 2nd appraisal uses very accurate comps based on square footage, style (ranch) and condition of mechanicals and exterior finishes. Roof, HVAC, etc all appear to be original on all comp houses (including mine). Interiors vary from pretty worn (stained carpet, dated/mismatched appliances, etc...) to good condition (newer finishes, but not NEW). My rehab was not a total gut, but pretty much everything you see (except drywall, mechanicals, tubs and windows) is new. The average sales price of the 5 sold comps on the appraisal is $98/square foot. My home is 1216 square feet, which would put the value at $119,000.

I don't feel I am getting ANY credit for the rehab and work I've done to the property in the 2nd appraisal. I'm trying to get a copy of the 1st appraisal to compare, but am hoping someone on the site has had this experience and has had luck getting an appraisal amended or changed!!