hi!
I usually just lurk and absorb all the wonderful information this forum provides and often my questions are answered without my even having to ask! I did have a question tonight that I would very much like some input regarding...
I am not an agent or representative of the RE industry...just someone who likes finding just the right place for folks I know who are in the market..

Here's my issue: I have a friend who owns a property in Orlando and was transferred to the Middle Georgia area. She has leased her property in Fla. and was hoping to find an older home..with character.. hardwood floors, nothing big..but something to enjoy and work on as time goes by...something with a little land and that didn't cost too much..

(ok..sorry..there IS a point)
She made an offer of 67K (accepted) on an adorable little home advertised with 1.5 acres in a sleepy little Ga town, (yet convenient to larger ones).. a hidden little gem... however, her VA appraiser told her that there were things that needed to be upgraded...or she would not appraise to VA specs..(it's A LITTLE LOAN!, great potential).. The owners then put on a new roof, new siding, upgraded the bathroom and spent more 15K doing so. They then asked the price be raised to 71K...to help out...my friend agreed...as it saved her from finding a trustworthy contractor or doing the work herself. Her agent then seemed pushy for her to sign the paperwork, telling her there was no time for an inspection..the couple was out of town..etc. and that she should sign and if there were issues she would not be bound.. (sounds fairly reasonable..but one is hesitant when they say ...postpone inspection)..

(I really apologize for the lengthy post)..but I want to help her..so much.

The VA appraiser comes again and now says the land surrounding the home must be leveled before she can approve..(house was built in 1935-still standing..) I've really never heard of that being a requirement before... is that par for the course in appraisals?

Now..she is certainly afraid of the property...her agent tells her this could be in excess of 10K (money she'd rather use in upgrading, restoration, updating..)

Because these things were happening and there was unprofessionalism between the realtor and appraiser, she just chose to withdraw as she felt she had no representation on HER behalf...

Two days after she withdrew, her agent listed the house again...this time at 75K... and we did a property record search and the house is actually on 2.76 acres (not on 1.50)..

Is something shady going on here?? or is everyone acting according to regulations and I am falsly sensing something off kilter?

Thanks so much for your patient reading of my "manifesto"! I would love to know what the experts think. I can post a link to the MLS of the home if you ask.
Thanks,
Kimberlyb

Well, from what you have presented, it sort of sounds like innocent incompetence for most of this. My biggest sticking point is the appraiser. Did they change the goal line from the first appraisal to the second? In other words, did the first appraisal state that the lot needed to be graded? If not and if the appraiser later stated that the ground needed to be graded, you would have a claim against the appraiser. Regardless, it sounds like you should have brought out a second appraiser. BTW, grading is cheap and 10K sounds ridiculous.

I am a Georgia Realtor, Mortgage Broker, and I rehab properties so I am covering a couple angles on this question. As for the total acerage, don't count on your research. Georgia is notorious for incorrectly stating square footage. Only the appraisal or original survey can be relied upon. I also would be very skeptical of the sudden increase in acerage. Perhaps they are trying to partition the land. That is very problematic.

Hope this helped a little.

__________________
R,
David Phillips
A Marietta Real Estate Agent, 678-521-4680
The Georgia Mortgage Broker, 678-370-0190

David,
Thank you for your reply, it does help shed some light on the situation. Honestly, i don't think I've ever heard of such an unprofessional real estate transaction! It became almost a tragic comedy with the real estate agent yelling at the appraiser, the appraiser finding more and more to complain about, EDITED HERE FOR PRIVACY... They both scared my friend jaded her a bit against the whole real estate system. I've talked to her about going with a different agent, and looking into conventional financing. I am having her meet with my agent next week, but she is concerned it will stir up trouble with the other agent for the new agent, because she signed with the first agent. EDITED FOR PRIVACY... is she still bound to suffer through with this agent? As you know ,an actual house with even a LITTLE land is hard to come by (and she is happy with EDITED . I took someone to the property today, not an appraiser, EDITED FOR PRIVACY, but he was a farmer who grew up in the area and knows about the land and, like you, said leveling was not an issue aside from shoveling a little dirt away from the newly installed AC and putting a little retaining wall around it...it had been dug up a little for installation (at the very worst a few hundred dollars). I wish I had taken some photos of the area, to show anyone who might want to advise. I do have the MLS listing which shows a little bit of the yard...if you'd want to have a look...
She loves the peace and quiet of the area, and feels good about the home itself...just not everyone else involved.
Not to worry, though..I've told her that she will find more information from agents, such as yourself, who are willing to answer posts, than she probably would from that particular agent.
David, thank you again for the response, and hope you don't regret it after having to endure my lengthy reply.

Regards,
kim