This is a very local market type question (NYC). Here goes. In short, I'm closing on a house in the mid 900's. I secured it with an FHA loan. However, houses in the area are selling for 1M - 1.2M and sometimes higher (rarely lower) in my Brooklyn neighborhood. With the down payment I put in, I had about 15% equity. If the house were to appraise for 1M, I would have 20% equity. My current mortgage... [more]
This is a very local market type question (NYC). Here goes.
In short, I'm closing on a house in the mid 900's. I secured it with an FHA loan. However, houses in the area are selling for 1M - 1.2M and sometimes higher (rarely lower) in my Brooklyn neighborhood. With the down payment I put in, I had about 15% equity. If the house were to appraise for 1M, I would have 20% equity.
My current mortgage lender (one I'm about to get a mortgage from) tells me I can refinance with them with minimum closing costs, in potentially as low as 90 days from then (they say it's typically 6 months but can be as short as 90 days). Questions.
1) Appraisal. When I'm getting appraised during the refi process, won't they see my recent sale? I mean, doesn't the appraiser see my sale among others and is influenced?
2) Are sale versus refi appraisals done in the same manner? In the sale, isn't the appraiser biased by the contract price?
3) Do most lenders have 6 month waiting requirement after a sale for a refinance?
Thanks
[less]
