First Appraisal Mayhem, Now Rate Spike

by Osman Parvez
At Realty Unique, we've been dealing with tight appraisals since early May because of the Home Valuation Code of Conduct.  Although we haven't lost a deal due on appraisal, we've heard of a few deals in Boulder falling apart due to it.  

If you're in the market, it's something you need to be aware of. 

Mish (a bearish blogger I enjoy reading) also has a good piece out today on the double barrel impact of higher rates and tight appraisals, including some quotes from market players.   It's worth taking a few minutes to read Mortgage Market Remains Solidly Frozen
A couple years back lenders were letting anything slide, now they appear to be looking for excuses to kill any deal, especially with the recent spike in rates. If the appraisal and paperwork is not perfect, goodbye loan and goodbye $500 appraisal fee. Customers are not too happy to say the least.

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