Exactly. My main question then is, should I chalk it up to the informal setting, and reasonably expect to have some success in the formal.
who knows. I've lost faith with the formal after a futile exercise last year.NCNJ1217 said:
Exactly. My main question then is, should I chalk it up to the informal setting, and reasonably expect to have some success in the formal.
NCNJ1217 said:
1. Should I reasonably expect my value to be lowered correspondent with the square footage that was reduced?
Yes. Value is based on square footage.
2. If the answer to #1 is yes, should I reasonably expect to add that reduction to the amount of the 2016 sale on the HUD-1?
No.
3. If the answer to #1 is no, why not?
If you purchased the house in 2016, that purchase was based on the actual square footage. You should expect HCAD to match the value from the HUD statement. Don't think I have ever heard of someone getting their value reduced below HUD less than 1 year from purchase unless they had proof of damage, extreme drops in market after closing, etc... They will fix your square footage but won't reduce below HUD because their records were wrong. Probably should have held on to that fact for next year.
4. Do they just not trust the informal appraisers to do math? I had it all laid out as far as how much to subtract to account for the lowered square footage, but perhaps they don't allow them to do those calculations in that setting?
Informal guys have some limitations on what they are allowed to do. Logic be damned they are just not allowed to give you adjustments for certain scenarios. However, based on the info you provided, he may have been in the right not to adjust. If you purchased last year, the purchase price is your value. Highly unlikely you get it any lower until next year.
This should have been your entire argument this year. Use the HUD to get your value lowered. Worry about square footage next year. You already have gotten the square footage fixed in their system, correct? If so, focus your efforts on the HUD in formal. Should be a slam dunk. To be safe I would find supporting documentation showing that seller contribution has to be factored in to value by law. Only whip that out if you have to.Quote:
Then I brought out my HUD-1 from last year's purchase which showed a purchase price lower than appraised value, and further, that showed a seller contribution to bring the price down further. After he checked with a supervisor he came back and said they could accept the sales price with the seller contribution in the informal, but they might not accept it in the formal. (I think he was blowing smoke because it's the law that seller contribution factors in.)
Bondag said:
Also said I couldnt argue a settled amount on a house with HCAD only a valuation.
YellAg2004 said:Bondag said:
Also said I couldnt argue a settled amount on a house with HCAD only a valuation.
I've heard this before, but it still sounds like total BS. The settled values should be considered more accurate, not the WAG that HCAD starts you out at. Surely one side or the other has to be supported by law, right? Anybody know?
htxag09 said:
Yeah, based on what I've read for the most part if you had a good informal adjuster he'd work with you. If you went to formal they didn't listen for squat.
So my formal was today. The building was a ghost town. I imagine everyone else rescheduled.chjoak said:NCNJ1217 said:
1. Should I reasonably expect my value to be lowered correspondent with the square footage that was reduced?
Yes. Value is based on square footage.
2. If the answer to #1 is yes, should I reasonably expect to add that reduction to the amount of the 2016 sale on the HUD-1?
No.
3. If the answer to #1 is no, why not?
If you purchased the house in 2016, that purchase was based on the actual square footage. You should expect HCAD to match the value from the HUD statement. Don't think I have ever heard of someone getting their value reduced below HUD less than 1 year from purchase unless they had proof of damage, extreme drops in market after closing, etc... They will fix your square footage but won't reduce below HUD because their records were wrong. Probably should have held on to that fact for next year.
4. Do they just not trust the informal appraisers to do math? I had it all laid out as far as how much to subtract to account for the lowered square footage, but perhaps they don't allow them to do those calculations in that setting?
Informal guys have some limitations on what they are allowed to do. Logic be damned they are just not allowed to give you adjustments for certain scenarios. However, based on the info you provided, he may have been in the right not to adjust. If you purchased last year, the purchase price is your value. Highly unlikely you get it any lower until next year.This should have been your entire argument this year. Use the HUD to get your value lowered. Worry about square footage next year. You already have gotten the square footage fixed in their system, correct? If so, focus your efforts on the HUD in formal. Should be a slam dunk. To be safe I would find supporting documentation showing that seller contribution has to be factored in to value by law. Only whip that out if you have to.Quote:
Then I brought out my HUD-1 from last year's purchase which showed a purchase price lower than appraised value, and further, that showed a seller contribution to bring the price down further. After he checked with a supervisor he came back and said they could accept the sales price with the seller contribution in the informal, but they might not accept it in the formal. (I think he was blowing smoke because it's the law that seller contribution factors in.)