Profile picture for caribbeangirl1

Home appraisal result

I have a house that was appraised in 2003 for $82000.  We just got an appraisal for refinance and they said its worth $87000.  We've put close to $30,000 into this house, new fence, new kitchen, new furnace, central air.  I can't believe they are saying my home value went up only $5000 in 7 years.  Now to get the refinance interest that we want, we have to pay an additional $27/month mortage insurance.  What is that?  Should I get a second opinin on this?  This appraiser alone cost $385 and he was here for 2 minutes.  Looked at the land survey and took pics from the backyard.
  • August 10 2010 - Cheektowaga
  • 0
    0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

 
 

Answers (4)

Unfortunately cost is not the same as market value.  There is a tendency on the part of all of us to think that the current value of an item is the cost we initially paid plus any amounts we paid to improve or enhance the item.  But one of the first things that appraisers are taught is that cost is not value. Yes, there are some items that give a greater return (kitchen and bath upgrades, for example) but even these many times don't return a dollar-for-dollar return on investment.

  • August 12 2010
  • 1Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

During the time between 2003 and 2010 your home probably increased in value - and then decreased again. Look at the comps that the appraiser used - are they in the same condition with the same upgrades as your home? If not, argue the valuation. If the comp homes have fenced yards, working furnaces and updated kitchens you will not have much luck arguing for a higher value.

Many homes have lost value over the purchase price - gaining $5k is not a bad thing!
  • August 12 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for owner of this house

Talk to the appraiser, and give him an itemized sheet of your upgrades and cost.  2 minutes, that is not enough time to make an accurate appraisal.  If he wont work with you, pay for another appraiser.  My friend had same situation for a refi, he talked the bank into hiring another appraiser and his value came back 45k higher, about 10%. its really an art not a science.

  • August 12 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Read other posts on Zillow. You'll consider yourself as one of the fortunate ones. .... Happy funding, Rudi
  • August 10 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.