Hey guy;s delemea here

"is it nuts that i am willing to pay more for something than its worth?"

would you buy a used car for more than blue book value?

the seller could always bring in another appraiser with a more generous opinion on the value of the property, then what? If your ready to trash the deal dig in for the lower price and let the chips fall where they may. If your afraid to lose this deal suck it up and pay the amount that you agreed to. One appraisal is never a final word or the determination of the $$$ for a given deal. If the appraiser said it was worth 250,000 then what? Call the seller and tell them you owe more $$$

bj,

Is this for a house or apartment?

Does your contract allow you to terminate on account of the appraisal?

You can probably negotiate a concession from the seller to bridge the gap. With this appraisal, the bank is really saying: we are not willing to lend more than 190,000 * .8= $152,000 on this property. You were going to put $56,000 down. If you'd like to buy this place still, offer to still put down as much, but adjust the price down to reflect the lower appraisal, so the sale price would be 152,000 56,000= $208,000.
That would be fair IMO.

brianjames, generally you would expect to renegotiate based on appraisal, but there are strange forces out there in the appraisal world these days, with work being farmed out to the least costly appraisers [that you are now paying much more for an appraisal is besides the point -- there's a whole wonderful new world of middlemen out there]. These appraisers come from Oneonta and Bluestone Gulch, and really don't know NYC markets ... plus no sales for a year or more makes their job tough.

What did your broker have to say? Does your attorney have an opinion?

NYCMatt, when criticizing someone else's spelling, it's always best to use a proper sentence, rather than one in Calispeak.

touche.

enjoy your meal.

Is there a reason that a person who cannot spell or is stupid can not have or earn money?

makes you feel better about yourself?

To get back to OP....more questions....have you read carefully the appraisal and investigated the comps that are in that report? Have you done any comps work of your own? To repeat others, what is your attorney telling you? How is the seller reacting to this news?

Please try and ignore the "peanut gallery" here on SE when spending real money. Maly had a good compromise idea to get a deal done but I'd want to know a lot more about what the appraisal is telling you.

So untrue, Mattboy! Dislexic people tend to be highly intelligent, and most can't spell to save their lives. And a lot of us in this board speak english as a second language. Your posts tend to always discriminate against something. Sad.

Mimi, aren't you the one who was waiting like a vulture to cash in on someone else's misfortune?

Even sadder.

the quality of discourse on this board is really poor. they should require posters use real names in an effort to prevent every thread from denigrating into a school yard brawl.

Matt, I am the one that is willing to make a risky move investing in a falling asset like RE in NYC. But I refuse to be the victim of unrealistic and greedy owners. What's your problem? You specialize in putting down everything. You always find a fault in every post you read, being neighborhoods, tastes, approaches, misspellings, you name it. Very sad way of life, indeed.

Thanks everyone. My attorney said I can get out of the contract if I get a rejection letter from my mortgage broker(which I can). Maly I actually went with your strategy -it seemed the fairest to one to me. Have not heard back yet Not gonna bankrupt myself just to get the place. Just a bummer because I really liked it and i thought it was pretty much a done deal. Thanks again.

oh anits a a apartment

bj,

You will find a better place. Best of luck to you.

Thanks M.

I am in the same boat. 15% lower from contract price. I am trying to finalize at 5% above appraised. Me and the seller agreed but the lawyer in missing in action for about a week and half now.

Did you deal with the seller directly?

Just curious buying now-what happened?

"Dislexic people tend to be highly intelligent"

is this backed by research or based on life experience? (like contact with too many mathematicians at once?)

"is it nuts that i am willing to pay more for something than its worth?"

not nuts, just financially inefficient. given that money is only part of the equation, leaving some $ on the table sometimes is not bad if there's the chance that the deal will not go through.

Appraisers do not determine what a property is worth - only a market can do that. I wouldn't let one tell me how to spend my money. They are absolutely clueless. They were appraising homes at absolutely ridiculous valuations 2 years ago, they didn't suddenly get smart now.

That said - it is your money and you should only do what you feel comfotable doing.

scoots, appraisers are there to protect the lender that would not lend more than what the appraisal came up to. sure you can make up the difference with cash... but it's not irrelevant if you think you might need to sell not long from now, as it restricts the pool of buyers (to those willing and able to put up cash to compensate for lower appraisers).

"Not gonna bankrupt myself just to get the place. Just a bummer because I really liked it and i thought it was pretty much a done deal. Thanks again."

For what its worth, the above statement should have nothing to do w/ the appraisal. If buying the place could bankrupt you then even if it came back at 300k its not a real good buy for you. Either you can afford it or you can't . . . now wheather it is a good deal is a whole other question.

mktmaker - think he meant coming up with the extra 35k for the down payment would be the strain, not the mtge itself.

just a follow up-got him to come down 15k and he's throwing in a paint job and ployurathain the floors.