You might need to write a “Sample Letter to Lender Regarding Appeal for Appraisal” if you disagree with a property appraisal. This letter is your chance to challenge the valuation. It is often used during a mortgage refinance or home purchase.
We understand writing these letters can be tricky. Don’t worry! We’ve got you covered. We’ll share helpful templates and samples. These examples will guide you through the process.
Our goal is to make it easy. You can adapt these samples to your specific situation. Get ready to craft a compelling appeal letter!
Sample Letter To Lender Regarding Appeal For Appraisal
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Lender’s Name]
[Lender’s Address]
**Subject: Appeal for Appraisal Review – Loan Number: [Your Loan Number]**
Dear [Lender’s Name],
I am writing to formally appeal the appraisal conducted on my property located at [Your Property Address] for loan number [Your Loan Number]. The appraisal value of [Appraisal Value] is significantly lower than recent comparable sales in my neighborhood.
I believe the appraisal does not accurately reflect the current market value of my home. I have attached supporting documentation, including:
* A list of recent comparable sales in my area with higher values.
* Photographs highlighting upgrades and unique features of my property.
* A previous independent valuation report (if applicable).
I request a review of the appraisal, considering the information provided. I am confident that a re-evaluation will result in a more accurate assessment of my property’s value.
Thank you for your time and consideration. I look forward to your prompt response.
Sincerely,
[Your Name]
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How to Write Letter To Lender Regarding Appeal For Appraisal
Subject Line: Clarity is Key
- Be succinct. Immediately state the purpose.
- Example: “Appraisal Appeal – [Property Address] – Loan Number [Your Loan Number]”
- Avoid ambiguity. The lender should instantly grasp the subject.
Salutation: Setting the Tone
- Address the appropriate party – ideally the loan officer or a senior lending manager.
- If a name is elusive, “Dear Lending Department” is acceptable, but personalized is preferential.
- Maintain a respectful, professional demeanor from the outset.
Introduction: State Your Case Immediately
- Reiterate the property address and loan number.
- Clearly articulate that you are formally appealing the appraisal.
- Briefly allude to the rationale for your appeal – e.g., “due to discrepancies in comparable properties.”
Body Paragraph 1: Identifying the Discrepancies
- Pinpoint specific aspects of the appraisal you believe are inaccurate.
- Did the appraiser overlook recent renovations? Were comparable properties truly comparable, or were there significant disparities in size, condition, or location?
- Provide concrete examples. Substantiate your claims with detailed information.
Body Paragraph 2: Presenting Your Evidence
- This is where you buttress your argument with compelling evidence.
- Include a list of superior comparable properties with documented sale prices. Attach these for good measure.
- Highlight any unique amenities or features of your property that were seemingly undervalued.
- Consider including a Broker Price Opinion (BPO) from a local real estate agent.
Anticipating Lender Concerns: Proactive Problem Solving
- Acknowledge the lender’s need for collateral protection but emphasize your commitment to a fair valuation.
- Suggest a second appraisal or an independent review of the initial appraisal.
- Position this as a collaborative effort to arrive at an equitable outcome.
Closing: A Courteous Conclusion
- Reiterate your request for reconsideration.
- Express your willingness to provide further documentation, should it be required.
- Thank the lender for their time and consideration.
- Use a professional closing: “Sincerely,” or “Respectfully,” followed by your full name and contact information.
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Frequently Asked Questions: Appraisal Appeal Letters
This section addresses common inquiries regarding the process of writing a sample appeal letter to a lender concerning a property appraisal. Understand the key aspects of crafting a compelling appeal to potentially influence the lender’s decision.
1. What is the purpose of an appraisal appeal letter?
The purpose is to formally request the lender to reconsider an initial property appraisal that you believe undervalues the property, providing supporting evidence to justify a re-evaluation.
2. What information should be included in an appraisal appeal letter?
The letter should include the property address, loan number, appraisal date, a detailed explanation of why you believe the appraisal is inaccurate, and comparable sales data supporting your valuation.
3. What kind of supporting evidence is most effective?
The most effective evidence includes comparable sales (comps) that are recent, located near the subject property, and similar in size, condition, and features. Appraisals from independent, certified appraisers can also be useful.
4. To whom should the appraisal appeal letter be addressed?
The letter should be addressed to the loan officer or the specific department responsible for handling appraisal disputes at the lending institution.
5. What is the typical timeframe for a lender to respond to an appeal?
The response time varies, but typically lenders respond within one to two weeks. Follow up with the lender if you do not receive a response within a reasonable timeframe.