There are times when the client’s opinion of value differs from the appraiser’s opinion of value. This could be due to the appraiser’s mistake or omission, or the client’s lack of understanding of the appraisal process. Two recent articles, one intended for clients (Oh no! It’s low!, Realtor Magazine Online, 6/1/06) and one written for appraisers (A Better Way to Handle Value Disputes, Real Estate Valuation Magazine Online, Summer 2006) suggest ways to resolve the problem.

First, you’ll want to ask the appraiser’s client (if you’re not the actual client) to authorize the appraiser to talk to you.

Then look in the report for elements of confusion. First, are there any factual mistakes or omissions in the site or building descriptions? And second, do you know of any other sales or leases similar to the subject property that would have had an affect on value if the appraiser analyzed them? As important as these two factors are to the appraisal, it is possible that the appraiser was not aware of information you may have.

Most appraisers would be happy to reconsider an appraisal in the light of information that is new to them.

From: Gary Snowdon, ASA

Real estate practices have changed over the years. Even though buyers were not informed, in most transactions involving a “selling” and a “listing” agent both agents represented the seller’s interest.

In today’s real estate market, a buyer can choose to work with a “buyer’s agent.” This agent works to protect the buyer’s interests in the real estate purchase by showing properties that meet the buyer’s needs, fully disclosing any facts about the property or the area to the buyer, writing the offer with the buyer’s price considerations in mind, presenting the offer in its best light, negotiating the offer and attempting to get the buyer’s price accepted, knowing the market and home values to advise the buyer, following the process from contract to closing by keeping the buyer informed, helping the buyer with financing questions, inspection decisions, and construction concerns. The buyer’s agent is in your camp!

The cost for the buyer’s agent is generally paid for by the seller. This makes having a buyer’s agent free to the buyer. What a deal! You will realize when your home is purchased that your buyer’s agent services were invaluable.

From: The Atlanta Real Estate Blog