What's going on with appraisals in some parts of the country? Mortgage lenders - and appraisers themselves - say they're increasingly coming in with valuations higher than the contract prices agreed to by sellers and buyers. The differences can range into the thousands.Are some sellers giving in to lowball offers, fearful that they can do no better in the wake of the subprime mortgage implosion and home sale bust? Or are appraisers simply lagging behind downward market adjustments?
"We're seeing it a lot now," says Patrice Yamato, president of Plaza Mortgage Group in Jacksonville, Fla. "Appraisals are coming in higher than the contract" - a reversal of the pattern during the housing boom years, when appraisals often came in at, or occasionally below, the contract price.
"I think buyers are pushing very, very hard," says Yamato - and they're walking away with steals.
