Senior personal finance correspondent Linda Stern has been delving into the housing market for a special report on home appraisals — “What’s a home worth? Pick a number, any number”
It turns out a lot of people are in home appraisal hell.
The reasons for this new form of real estate limbo include new and proposed federal rules governing appraisals along with changes in the way appraisals are conducted. Plus, the uncertain housing market is creating price instability. The end result? Borrowers are missing out on low interest rates. And lenders are leery of the appraisals they get.
According to Walt Molony of the National Association of Realtors:
…in October, one in 10 member agents said they’d had a contract canceled as a result of a low appraisal, 13 percent said they’d had a contract delayed, and 16 percent said they’d had a contract negotiated to a lower sales price as a result of a low appraisal.
If you have had a home appraised recently, did it go smoothly or did you encounter a similar form of appraisal hell?
Let us know.
Read more from Linda here.