What follows is the remains of a post regarding a recently sold home. The listing agent has demanded that I take down the picture and the address as she believed it maligned her client and the house. In the interest of good business relations and honesty, I have omitted the details and left the remainder of the post.
This is [address and photo of property removed at demand of listing agent]. It just sold. It is a tudor-style 3+2, 1748 square feet, 7000+ sf. lot. It was okay. The kitchen was big but needed a lot of work. It was in average condition. It listed for $545,000 which I thought was a good price for the size/condition.
It just reported sold for $585,000. What? Why? And what happened to the appraisal? I am seriously astonished it sold for this much.
Judy Graff's sublime-to-the-ridiculous (well, mostly ridiculous) take on real estate for east San Fernando Valley and North Los Angeles communities. This includes Hollywood Hills, Burbank, Studio City and Toluca Lake real estate and homes for sale, and also covers Valley Village, North Hollywood, Glendale, Atwater, Highland Park, Silverlake, Sherman Oaks and other L.A. areas too. General news and musings as well.
Showing posts with label over-priced Burbank houses. Show all posts
Showing posts with label over-priced Burbank houses. Show all posts
Wednesday, June 24, 2009
Friday, April 10, 2009
Appraisals. Yes, they are still very tight.
Some buyer clients of mine opened escrow on a Burbank house two weeks ago. I received a call from the assigned appraiser this week. She suggested saving my clients the cost of the appraisal by cancelling it, because her preliminary work indicated the house would not appraise for the sales price.
The appraiser told me that the comparable sales indicated the house should sell for $25,000 to $30,000 less than the agreed-upon purchase price. She also informed me that all comparable sales have to be less than 90 days old, and no farther away than one mile from the subject property. This applies to both FHA and conventional loans. And, if the loan amount is over $417,000, there will be a second appraisal, from a different appraiser, prior to closing. She also had obtained a copy of the physical inspection report, and knew that the upgrades to the property would not make up for its physical issues.
Okay, the buyers and I knew the appraisal might be an issue. And we hoped that if that was the case, the sellers would come to their senses and negotiate a lower price with us. They didn't. And our escrow has cancelled.
The appraiser told me that the comparable sales indicated the house should sell for $25,000 to $30,000 less than the agreed-upon purchase price. She also informed me that all comparable sales have to be less than 90 days old, and no farther away than one mile from the subject property. This applies to both FHA and conventional loans. And, if the loan amount is over $417,000, there will be a second appraisal, from a different appraiser, prior to closing. She also had obtained a copy of the physical inspection report, and knew that the upgrades to the property would not make up for its physical issues.
Okay, the buyers and I knew the appraisal might be an issue. And we hoped that if that was the case, the sellers would come to their senses and negotiate a lower price with us. They didn't. And our escrow has cancelled.
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