BRRRR refi need help

[Kevin McCann]

Hello all

I am having trouble with the appraisal on the refi out of the hard money loan. I purchased a sfr 3/2 for $69900 and put $14000 in repairs and added a legal bedroom in the basement to make it a 4 bed 2 bath using a hard money lender 100% purchase and rehab and a loan amount of $92000 total. Had it appraised before purchasing at $129900 in September!! Now I am refinancing out two months later and  with the new bank I am refinancing with also says it's worth 130k but the appraiser that was hired appraised it at 76000!!!! The lender says it's a crap appraisal but by federal law they have to stay with it. I could walk to another bank but this bank I have a good relationship with and he is will to fight the appraisal.  What do I do!! 

[Bill Gulley]

No they don't, they can order another appraisal and you'll pay for it. Better to go to another lender, IMO, the loan officer will usually try to stay on your good side when giving you bad news ;)

Also, see this

https://www.biggerpockets.com/forums/49/topics/375...