What I gathered from the call: They will provide comps of the properties in the neighborhood to support the purchase price, they check in monthly, and return earnest money if in anyway you are uncomfortable with the appraisal coming in low. 

Then if it gets to the appraisal part, both because they have overpriced the property, and because they dont have experience with working with appraisers, the home often doesnt appraise.I stopped dealing with FSBOs as a matter of practice, because you invest a whole bunch of time into the process, and they end up not closing.

And if they require an inspection and appraisal prior to funding, then that also may make funding a won auction difficult. 

The MLS or an area appraiser is your best bet.Good Luck

Hello Matthew I have been appraising in Lexington for over 20 years and I can tell from experience of not only doing alot of appraisals but also having had 100's of appraisals performed on my own properties over the years not only do appraisers vary from state to state, but also from appraiser to appraiser in the same area.

The reports are 40-90 pages long and go through the entire house in great detail.Get an appraisal.

Warsaw is known to decline the zoning.If you do rent it get it appraised and take out a LOC against the equity.Remember if you turn it into a rental and hold it you eventually lose the cap gains exclusion. 

My wife and I would like to find something that will pass a va appraisal but is a good deal that needs updates that we can do over time, that way we can have equity and cash flow.

Prior to closing the house appraised for $470,000 through a third-party which the bank is now using as their valuation on their website.

It is why assessors and appraisers and banks are always checking "arms length transaction".