Appraisers are trained and regulated to be independent unbiased third parties. Most appraisers are terrified to do anything that might suggest that they are biased. The appraisal board is no joke and implied negligence can cost an appraiser their career. This fear can cause some appraisers to reconcile an opinion of value that ignores the contract price and leans toward the safety of a median weighted calculated final value.
Agents can help the process by making sure the appraisers was given a complete legible copy of the sales contract to analyze. The contract price does not dictate market value, but it can be an indicator of value. It’s the appraisers job to determine to what extent the contract is an indicator of value. If the contract price falls within the adjusted value range that can be a good indicator of value.
Agents can point out other offers. Multiple offers make the contract price a stronger indicator of value, because it’s evidence of increased interest in the subject at a particular price. Agents should also point out unique features about the property that stand out to buyers. This might help the appraiser have justification to reconcile up slightly.
Good communication is really the key to help the appraiser support value indicators. Presentation of data and facts is not influencing the appraiser, its research to be considered. Appraisers do not want to cause trouble and will work very hard to make sure they are right before sending off an appraisal. The hardest part is often getting the supporting data needed.
If we can help with any appraisal questions call us at 706-633-3709