im getting my house appraised this week and i want to know what can go wrong? what if its not what the loan (refinaceing for)?
2007-07-13 13:27:39 · 10 answers · asked by free taco 1 in Business & Finance ➔ Renting & Real Estate
Are you working with a Mortgage Broker or with a bank? Your broker should have had enough knowledge to let you know what your appraisal would more or less come back for. If it comes lower then what you expected then you'll have to either lower the loan amount you're trying to take out or hold off until your value goes up.
Good luck!
2007-07-13 13:37:28 · answer #1 · answered by Suzy_305 3 · 0⤊ 0⤋
Most refinancing loan programs will allow higher loan to values than the old time 80%. (LTV= amount of loan your requesting divided by the appraised value) Depending on your credit, loan type, property type (single family, condo, manufactured or log homes are just examples) and qualifying debt to income ratios you can get up to 100% loan to value or 1st & 2nd 100% combined loan to value if you want to avoid PMI. Your market value is always based on the sales of nearby homes of similar size, age, amendities that you house has, called comparables.This means if your neighbors have sold their properties at reduced prices (alot of area are doing this due to softening real estate markets) then those sales might have an influence on what your property will be valued at and those "fair market values" are subject to change as the market in your area changes so if you dont get need for value you may want then wait alittle while and see the market gets better. You can go on the web and search the property accessors office in your area for recent sales. Heres a couple of website that might help out with available financing options. Good luck!
2007-07-13 21:19:36 · answer #2 · answered by Etta P 4 · 0⤊ 0⤋
You can only refinance your house for the value which it currently holds. If the appraisal returns a value less than that which you owe on the property, you stay with the financing you have.
The alternative is to come up with the difference in cash to pay off the old loan, and take the new loan.
2007-07-13 21:13:53 · answer #3 · answered by acermill 7 · 0⤊ 0⤋
Your typo error gave me a good laugh
But if your house appraises for less then what you are refinancing for then you will not get the loan,
They will only loan you a percentage of what you owe.
and if the house is worth less then you owe, you better forget trying to barrow $, because you have no equity.
2007-07-13 20:38:47 · answer #4 · answered by mburleigh8 5 · 0⤊ 0⤋
if your house gets appraised and shows no equity built up at all or even at less than the current mortgage loan amount (i hope that's what you meant), you will not be qualified for refinancing and wait until some equity builds up..
2007-07-13 20:35:09 · answer #5 · answered by just4success 2 · 0⤊ 0⤋
I understand what you mean. As you make your house payments over time your value will go up. If you plant trees and fix it up and keep it up it will raise in value. Our place wasn't worth much at all and we did alot of improvement. Now it is worth more than what we paid for it. If you are happy with it and can improve it's value then don't worry about the appraisal.
2007-07-13 20:32:56 · answer #6 · answered by Just Bein' Me 6 · 0⤊ 0⤋
Then basically you will not get the loan, and or will discover you are out of equity, in other words you owe more than the home is worth. In todays market not unusual
2007-07-13 20:31:45 · answer #7 · answered by Pengy 7 · 1⤊ 0⤋
most be an expensive hose. It depends on what you have left to pay. ARe you saying you owe more then the house is worth?
2007-07-13 20:31:37 · answer #8 · answered by I got 2 points for this answer 4 · 0⤊ 0⤋
Dude You Live In A What?
2007-07-13 20:29:37 · answer #9 · answered by Anonymous · 0⤊ 1⤋
i had to go into hopsital last week to get my hose appraised
it hurt peeing for a week afterwards
2007-07-13 20:30:00 · answer #10 · answered by Anonymous · 2⤊ 0⤋