Here is another snafu in the system. Appraisers were inflating the home appraisal due to the fact they were working with a specific mortgage broker or loan officer. This allowed them to complete more deals. I remember when we were selling our house, the lender recommended a certain appraiser. One person even did a drive by appaisal. I remember seeing the appraisal after the fact. But why did it cost me a few hundred dollars for a drive by appraisal? If a person bought their home with little or no down payment, they are discovering they have not financial cushion in their home. The only person that benefited from that was the appraiser and mortgage broker. The home owner is “up to their eyeballs” in a home that is not worth what they originally were told. Is there any recourse for the homeowner? What would you recommend the homeowner do at this point?
