Appraisal fee question

[JTH1959]

What is the name of your state? North Carolina

Im seeking a a heloc from a company thats in Texas. They require a $900 appraisal fee up front. Am I a sucker if I front the payment or is there recourse if they dont perform?

 

[quincy]

What is the name of your state? North Carolina

Im seeking a a heloc from a company thats in Texas. They require a $900 appraisal fee up front. Am I a sucker if I front the payment or is there recourse if they dont perform?

Why are you considering a lender in Texas if you are in North Carolina?

 

[FlyingRon]

$900 sounds a bit steep.

 

[quincy]

Many lenders will absorb the cost of an appraisal.

It pays to shop around to compare lenders. Some offer no application fees or annual fees or closing costs.

Have you investigated the lender? Have you looked at local lenders?

 

[adjusterjack]

Am I a sucker if I front the payment

Yes. Appraisals for home loans average between $400 and $500.

is there recourse if they dont perform?

What do you mean by "don't perform"?

If you don't qualify for the loan after you pay for the appraisal, there is no recourse.

As others have noted, you should be walking away from that lender and looking elsewhere.

 

[zddoodah]

Im seeking a a heloc from a company thats in Texas. They require a $900 appraisal fee up front. Am I a sucker if I front the payment or is there recourse if they dont perform?

The "sucker" part of the question raises no legal issue. As for the last part of the question, who are "they," and what does "if they don't perform" mean? If you pay the fee and no appraisal gets done, then your recourse would depend on the terms of the contract and the reason(s) why the appraisal doesn't get done. If you're talking about a situation where you pay for the appraisal and the lender declines to write the loan, I can't even conceive that you'd have any recourse.

 

[quincy]

I personally believe that paying $900 to a company in Texas for an appraisal of your property in North Carolina would be a mistake. I suggest you look at lenders in North Carolina.

 

[JTH1959]

Thanks to all for your input. I was concerned that if I fork over 900 clams that theyll just keep the moolah & ignore the loan.

 

[quincy]

Thanks to all for your input. I was concerned that if I fork over 900 clams that theyll just keep the moolah & ignore the loan.

A reputable lender wouldn’t (or shouldn’t) do that but you are best off looking for a lender in your area so if a problem arises, it is easier to resolve.

You really should compare lenders before settling on one. They all have different pros and cons but many, as I said earlier, will not add extra fees or the amounts of the fees will vary.

And please read ALL of the terms and conditions. Anything you don’t understand should be explained to your full understanding. Don’t sign anything without knowing exactly what it is you are agreeing to. Some have prepayment penalties, for example.

Good luck.