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Appraisals are also a nice little grift. A friend of mine recently shelled out $5,000 for an appraisal of a property she was purchasing. Basically all the appraiser did was look at nearby comps and then produce a 50 page report that was 49 pages of boilerplate. Couldn't have taken more than a day.
$5k? I thought those were in the $1k range for appraisals. Unless we are talking something in the mid-7 figures.
Low 7 figures. Commercial property which I guess makes a difference.
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Must have been commercial. Residential appraisals are not that much.
Yes, it was commercial. Low 7 figures.
Yeah that is normal market rate. More work goes into it than you think. Commercial appraisers often get deposed if things go wrong. You will go walk the comps and talk to other recent buyers and owners, research the industry, decided on appropriate approaches for valuations etc...etc...etc...about 2 weeks and the appraiser is only getting a percentage if they work for someone else.
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$5,000? That's ridiculous. When I had my own law practice I'd hire appraisers occasionally and my guy charged $400 and he actually went inside the place.
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