Legal Question in Real Estate Law in California

Apprisal
1 year ago when we purchased our home the agent secured an appriser. About 6 months after we moved in we wanted to refinance our second and pull some monies out.

We contacted several lenders and they told us our house wasn't worth what we owed (shock).

We went and talked to several local real estate agents and they said ''they had no idea how this property got such a high value as it did and was able to get financing.

Looking at real estate value web sites on the internet our property has dropped by 30 from what we paid a year ago.

Everyone first reaction is that all real estate is down, but looking at property around us it is very slowly going up and not down.

We should have purchased this house for a little more than 50% of what we did purchase it for.

Is there any recource aginest anyone, agent, previous owner, lender, appraiser anybody and what would it be for?

Thank you for your time and help in this matter.

Asked on 7/09/06, 6:47 pm

2 Answers from Attorneys

Bryan Whipple Bryan R. R. Whipple, Attorney at Law

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Re: Apprisal

I think the starting point is to review the appraisal which you and your lender relied upon for obvious errors. If the appraiser made a math mistake or faked the comps, you probably have a cause of action against him/her for negligence. Perhaps you could sue your own agent (salesperson) or their broker, as they have a fiduciary responsibility to you. Assuming there was no misrepresentation or concealment, you probably can't go after the seller or the seller's broker. Unless either the appraiser or your broker made a clear blunder (or defrauded you), you may not have a good case at all.

Answered on 7/10/06, 1:28 am

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