Set To Go Loans have some lenders who will use other lenders Appraisal, although it is not uncommon for lenders to refuse to use them , simply because they want to make sure that the value is really there. Don't take it personal, really its strictly business and they must protect their investment!
An Appraisal can only be used within the first six months from the date it was issued. So my number one question asked to me is why? So here is the skinny, when you upgraded your kitchen, added new doors and windows to your home. It was worth $200,000 and the upgrades made it worth $250,000. So is it really fair to you to under or overvalue the property. Now after 6 months you can use the appraisal but you have to have it re-certified. Re-certifying an Appraisal is when the original Appraiser updates the original Appraisal.
There are two ways to evaluate the value of your property the first is the Appraisal. There are basically 2 types of Appraisals. 1st is an As Is Appraisal, which is based strictly on the value of the home as it currently sits. 2nd is a ARV or After Repair Value which gives an evaluation of the property after future improvements will be made to the home.
Many lenders require that the consumer pay for their own Appraisal. The question that I often receive from customers is can you roll the Appraisal fee with the loan? The answer is no, and here is why. No deal is guaranteed. An Appraisal is protocol to helping the deal close and anything can make a deal loan fall through. So to expect a lender to pay for your Appraisal is out of the question.
Set To Go Loans has lenders that uses Appraisals and BPO, which helps the consumer because the BPO price is cheaper than an Appraisal.The BPO is a Broker Price Opinion.
The Appraisal is completed by a license state agent and there job is to value the property, take pictures, find comps and give a true value based on the information that he received? While a BPO is performed by a licensed Real Estate Agent.
Many consumers orders their own appraisal to get there best bang for the buck, although they soon find out that no lender will accept it. because it could have been obtained at arms length. An Arms Length Transaction is when an Agent motivates an appraiser to gives a higher value to a property than its actually worth?