Posted by Mike Oldfield on April 22, 1999 at 16:43:35:
I just met with an appraiser today. I did everything in my power to have him ask me how much value I was looking for. He took the bait. I said that the bank said it would be great if we could get $75,000 but I didnt think it was feasible (establishing my credibility). I waited for a response. Appraiser agreed. I then said I figure it ought to come in at all of $70. Appraiser’s response. WE CAN DO THAT! (Secret magic number in my head $67,000)
Remember one more thing. IF the appraiser keeps killing deals because he is too conservative, the banks dont make loans so they stop calling that appraiser. Appraisers typically aim to please so they continue to be retained. Unless they are asked to value a property 2 clicks north of obnoxious, you can generally count of some flexibility.
Also, I pointed out that the next town over from the town we were in had no multi-family properties for sale. (something we have not seen in years) and the town we were in had only 2 (Also unusual) I pointed out to the appraiser that I this means THEY HAVE BEEN SELLING TOO CHEAPLY! I planted the seed and I hope it grows. He could take the alternative view that the market stinks so bad that no one is foolisdh enough to sell right now. I am sure he would rather play with his children or eat ice cream than put much thought into it. There is very little in the way of consequences when an appraiser gets it wrong.
A little charm doesnt hurt either. I usually try to visit on a non-business, personal basis with the appraiser. If they like you, they are just that much more willing to try and work it for you. Not unprofessional just human nature.