House Appraised for over sales price - lender does not agree w/Appraisal

[fairinsurance]

What is the name of your state? AZ
We had a professional appraisal done through our mortagage broker. The house was appraised at above the selling price. At this time the lender said they approved the loan. We were set to sign papers tommorow. However, now the lender is saying they don't agree with the professional appraisal and are not going to finance the loan. They estimate the house is 30,000 less than the appraisal? Have you heard of this before? Is this legal? What can we do to fight this?

 

[FloridaRob]

That happens all the time. Probably what happened is they either had a desk review of the appraisal or possibly a field review. In either case, the original appraiser is allowed to dispute whatever findings those reviewers found.

There are a lot of bad appraisers out there that are just out there to give the broker whatever they want in regard to value. . The lenders sometimes pull comps from teh same neighborhood that the subject property is in. If in this case, there were several sales the original appraiser omitted without explanation, and those sales reflect a significant difference to waht the original appraiser said, there could be a problem.

Solution, have the appraiser respond to the review appraiser or ask that there be a field review by another appraiser to support the first conclusion.

IF lender is just being difficult, there could be something with the original appraisal the underwriter just did not like. A lot of repairs???An overimprovement for the neighborhood???