|
| Is the repercussions of a land sale in your immediate area that is a very significant change in value, up or down, and how that sale will affect the valuation of nearby properties if an appraisal is needed. You’ve put in an offer and been accepted on a nose bleed priced farm, seeking financing to complete the transaction. Problem is there was a clunker of sale recently just down the road that the appraiser for damn sure is going to use in his comparables. You’re counting on the appraisal to come in at at least what you offered, and because of the clunker sale, the number comes back at a fairly significant number lower than your offer. The lender is going to hit you to make up that differential in cash. Ouch. This is a rather important little detail that many guys in that thread poo-pooed a surprisingly low price sale as being insignificant, an outlier, doesn’t change the overall market. I beg to differ. Appraisals start coming in lower, that’ll get guys attention when they have to pony up the difference. And things can also work in the opposite direction. Appraisals come in higher than offer, lessening your own cash needed for down payment, this leads to higher and higher land values.
Edited by Boone & Crockett 5/6/2024 03:37
| |
|
Response to Boone And Crocket's Land bulls
