Who establishes value?
A consumer asks this question: Who does that appraiser think he is, anyway–God? I had my house for sale, on my own, no agent, and many buyers looked at it. It is a very desirable home in a country setting and very well maintained. I had some offers and finally accepted one. The buyer and I were both pleased with the price. Then, the buyer had to get a loan (of course) and the lender sent an appraiser out. What a jerk! He came in almost $7000 below the price we had agreed on. I thought that value was determined by the market–after all, the buyer and I both agreed that the price was fair. Now the buyer is backing out and I’m stuck trying to sell my house–again!” Answer: Well, the appraiser could be wrong, the appraiser could be right, you could be wrong, you could be right, and you could be right and the appraiser just can’t prove it. How’s that for a complicated answer? Let’s start with the job description the appraiser has. First of all, his client is the lender, not you, and not th
