Anyone notice that UW's are getting real strict on appraisals? I have 2 deals in process right now with appraisal issues and my manager has 3 that are being held up in UW for appraisal issues. The difficult part is that my appraisals that are being questioned are very nice appraisals. The problem with the appraisals is that there are no recent sales within 12 months let alone 6. I am being stipped for more comps on both and the same is true for my manager's appraisals.
It is difficult to comp out a property when inventory in the neighborhood is just sitting on a shelf. It's a catch 22; The comparable sales do not exist because of higher risk levels associated with lending money. Less people qualify for financing which leads to less homes being sold which further leads to deals dying in mid process because of an inability to clear request from UW to have the appraiser provide additional comps.
"Back in the day" I have seen some very questionable appraisals get through without question. This is definately a sign of the changing times in the mortgage industry. I am sure that this also affects the Realtor community as well. The majority of home sales in an area are not cash deals.
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