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April 10, 2008 at 1:54 PM #12393April 10, 2008 at 2:11 PM #184474NotCrankyParticipant
If they didn’t add square footage or an additional bathroom etc. and the work looks to be done in a “workman like manner” or some such phraseology, it shouldn’t make a difference to the appraisal. Well I haven’t came across this situation in the new lending era but it has been like that for at least ten years.
BTW I am a contractor besides a real estate agent. A good percentage of the time the local building dept. can’t find the permit record even if it is a few months old.Sometimes the building dept. doesn’t even follow up if the contractor blows off the final inspection on combination type remodel permits and other small work.
Yuo should get a copy of the appraisal and credit report if you want it.
April 10, 2008 at 2:11 PM #184491NotCrankyParticipantIf they didn’t add square footage or an additional bathroom etc. and the work looks to be done in a “workman like manner” or some such phraseology, it shouldn’t make a difference to the appraisal. Well I haven’t came across this situation in the new lending era but it has been like that for at least ten years.
BTW I am a contractor besides a real estate agent. A good percentage of the time the local building dept. can’t find the permit record even if it is a few months old.Sometimes the building dept. doesn’t even follow up if the contractor blows off the final inspection on combination type remodel permits and other small work.
Yuo should get a copy of the appraisal and credit report if you want it.
April 10, 2008 at 2:11 PM #184518NotCrankyParticipantIf they didn’t add square footage or an additional bathroom etc. and the work looks to be done in a “workman like manner” or some such phraseology, it shouldn’t make a difference to the appraisal. Well I haven’t came across this situation in the new lending era but it has been like that for at least ten years.
BTW I am a contractor besides a real estate agent. A good percentage of the time the local building dept. can’t find the permit record even if it is a few months old.Sometimes the building dept. doesn’t even follow up if the contractor blows off the final inspection on combination type remodel permits and other small work.
Yuo should get a copy of the appraisal and credit report if you want it.
April 10, 2008 at 2:11 PM #184527NotCrankyParticipantIf they didn’t add square footage or an additional bathroom etc. and the work looks to be done in a “workman like manner” or some such phraseology, it shouldn’t make a difference to the appraisal. Well I haven’t came across this situation in the new lending era but it has been like that for at least ten years.
BTW I am a contractor besides a real estate agent. A good percentage of the time the local building dept. can’t find the permit record even if it is a few months old.Sometimes the building dept. doesn’t even follow up if the contractor blows off the final inspection on combination type remodel permits and other small work.
Yuo should get a copy of the appraisal and credit report if you want it.
April 10, 2008 at 2:11 PM #184531NotCrankyParticipantIf they didn’t add square footage or an additional bathroom etc. and the work looks to be done in a “workman like manner” or some such phraseology, it shouldn’t make a difference to the appraisal. Well I haven’t came across this situation in the new lending era but it has been like that for at least ten years.
BTW I am a contractor besides a real estate agent. A good percentage of the time the local building dept. can’t find the permit record even if it is a few months old.Sometimes the building dept. doesn’t even follow up if the contractor blows off the final inspection on combination type remodel permits and other small work.
Yuo should get a copy of the appraisal and credit report if you want it.
April 10, 2008 at 4:19 PM #184509BugsParticipantA BPO is a “Broker Price Opinion” and was most likely completed by a realty agent who may or may not have ever taken an appraisal course. The lenders use them instead of appraisals because they’re inexpensive and they aren’t very detailed. The broker who did your’s may have only been paid $35 for it, and they may or may not have stepped foot in that house when they did it.
I think it’s unlikely that most of the agents doing these BPOs have any relevant experience with unpermitted improvements, how it relates to the valuation or how to put a reasonable “as is” value on a property that has those types of problems. For that matter, there are some appraisers who shy away from such assignments, too. It does require some familiarity with the trades and with repair/rehab costs.
The general rule of thumb that most of the banks use is that the impact on value will usually be about double the retail cost of completing those repairs – and that includes getting the permits.
In answer to your question, even if the agent did see the unfinished condition of the interior then whatever their initial reaction to it was is probably about all you’re going to get out of them. The people who do these often run through them as quickly as they can. Detail isn’t their thing. I’ve heard that some agents to 8 or 10 of these a day.
April 10, 2008 at 4:19 PM #184524BugsParticipantA BPO is a “Broker Price Opinion” and was most likely completed by a realty agent who may or may not have ever taken an appraisal course. The lenders use them instead of appraisals because they’re inexpensive and they aren’t very detailed. The broker who did your’s may have only been paid $35 for it, and they may or may not have stepped foot in that house when they did it.
I think it’s unlikely that most of the agents doing these BPOs have any relevant experience with unpermitted improvements, how it relates to the valuation or how to put a reasonable “as is” value on a property that has those types of problems. For that matter, there are some appraisers who shy away from such assignments, too. It does require some familiarity with the trades and with repair/rehab costs.
The general rule of thumb that most of the banks use is that the impact on value will usually be about double the retail cost of completing those repairs – and that includes getting the permits.
In answer to your question, even if the agent did see the unfinished condition of the interior then whatever their initial reaction to it was is probably about all you’re going to get out of them. The people who do these often run through them as quickly as they can. Detail isn’t their thing. I’ve heard that some agents to 8 or 10 of these a day.
April 10, 2008 at 4:19 PM #184553BugsParticipantA BPO is a “Broker Price Opinion” and was most likely completed by a realty agent who may or may not have ever taken an appraisal course. The lenders use them instead of appraisals because they’re inexpensive and they aren’t very detailed. The broker who did your’s may have only been paid $35 for it, and they may or may not have stepped foot in that house when they did it.
I think it’s unlikely that most of the agents doing these BPOs have any relevant experience with unpermitted improvements, how it relates to the valuation or how to put a reasonable “as is” value on a property that has those types of problems. For that matter, there are some appraisers who shy away from such assignments, too. It does require some familiarity with the trades and with repair/rehab costs.
The general rule of thumb that most of the banks use is that the impact on value will usually be about double the retail cost of completing those repairs – and that includes getting the permits.
In answer to your question, even if the agent did see the unfinished condition of the interior then whatever their initial reaction to it was is probably about all you’re going to get out of them. The people who do these often run through them as quickly as they can. Detail isn’t their thing. I’ve heard that some agents to 8 or 10 of these a day.
April 10, 2008 at 4:19 PM #184561BugsParticipantA BPO is a “Broker Price Opinion” and was most likely completed by a realty agent who may or may not have ever taken an appraisal course. The lenders use them instead of appraisals because they’re inexpensive and they aren’t very detailed. The broker who did your’s may have only been paid $35 for it, and they may or may not have stepped foot in that house when they did it.
I think it’s unlikely that most of the agents doing these BPOs have any relevant experience with unpermitted improvements, how it relates to the valuation or how to put a reasonable “as is” value on a property that has those types of problems. For that matter, there are some appraisers who shy away from such assignments, too. It does require some familiarity with the trades and with repair/rehab costs.
The general rule of thumb that most of the banks use is that the impact on value will usually be about double the retail cost of completing those repairs – and that includes getting the permits.
In answer to your question, even if the agent did see the unfinished condition of the interior then whatever their initial reaction to it was is probably about all you’re going to get out of them. The people who do these often run through them as quickly as they can. Detail isn’t their thing. I’ve heard that some agents to 8 or 10 of these a day.
April 10, 2008 at 4:19 PM #184565BugsParticipantA BPO is a “Broker Price Opinion” and was most likely completed by a realty agent who may or may not have ever taken an appraisal course. The lenders use them instead of appraisals because they’re inexpensive and they aren’t very detailed. The broker who did your’s may have only been paid $35 for it, and they may or may not have stepped foot in that house when they did it.
I think it’s unlikely that most of the agents doing these BPOs have any relevant experience with unpermitted improvements, how it relates to the valuation or how to put a reasonable “as is” value on a property that has those types of problems. For that matter, there are some appraisers who shy away from such assignments, too. It does require some familiarity with the trades and with repair/rehab costs.
The general rule of thumb that most of the banks use is that the impact on value will usually be about double the retail cost of completing those repairs – and that includes getting the permits.
In answer to your question, even if the agent did see the unfinished condition of the interior then whatever their initial reaction to it was is probably about all you’re going to get out of them. The people who do these often run through them as quickly as they can. Detail isn’t their thing. I’ve heard that some agents to 8 or 10 of these a day.
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