Order your own appraisal before you purchase your next home!
Bank appraisals are not completed for the benefit of consumers and home buyers! They're owned by the bank and used for their collateral risk decisions. Make sure to order your own appraisal when buying a home or investment property.
What Homebuyers Need to Know
Some banks don’t order appraisals anymore!
That’s right. Listen up…you need this knowledge. No-one else is the real estate industry is going to let you know this accept for the APPRAISERS.
Many home buyers believe banks will automatically order an appraisal when they apply for their mortgage.
NOT ALWAYS TRUE AND… THE APPRAISAL THEY DO ORDER IS NOT YOURS ANYWAY.
Sometimes banks use AVMs (Automated Valuation Modules) or out-of-the-area “valuers” in their mortgage process. Even “bailed out” Fannie Mae and Freddie Mac are actively issuing “appraisal waivers” to replace formal valuations.
These valuations are not performed for your benefit, they are only used by the bank for their underwriting decisions. You should not rely on them to make your purchase decision. You need a properly trained, independent market expert.
You need a local Real Estate Appraiser and we have the best!
Look at what the American Bankers Association (ABA) has to say about a bank appraisal!
“Although there may be some ancillary consumer benefit to a bank-ordered appraisal, the reality is that, in real estate transactions, the appraisal is not ordered for the benefit of the consumer, but rather, for the benefit of the lender. Consumers may, and are often advised to, obtain an appraisal for their own use as outlined in the Purchase and Sale agreement.” –American Bankers Association
What does this mean?
Consumers and investors should not rely on a bank’s valuation to make a purchase decision.
Don’t overpay for the property; it’s too easy to do in these “heated” markets! Real estate markets are on a “Sugar High” with Covid – 19 pent-up demand and historically low interest rates!
Get the big picture from a local market expert that is not commission based and acts as a neutral third-party to protect your interest in the transaction.
Tell your real estate agent, I need to “Find My Appraiser” and “I should order my own appraisal before I buy this home!”