Consumer complaint received 2024-08-13 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Negative impact of inaccurate appraisal
Company: CENTRAL BANCOMPANY, INC
State: WI

Complaint narrative:
I obtained an appraisal for my home through my mortgage company Central Bank. I paid {$550.00} for this appraisal on XX/XX/XXXX. Our loan needs to be refinanced by XX/XX/XXXX. 

The XXXX, XXXX XXXX of XXXX XXXX XXXX, took several days to set something up and finally reached out on XX/XX/XXXX to view the home ( a week after payment and requesting the appraisal. He came and saw the home that afternoon. He requested blueprints so he didn't have to measure anything on the home. He did not even step foot on our {$36000.00} deck, nor did he measure it. These measurements were not included in the blueprints I provided him. He also did not walk around the full home and missed many key landscaping components. 

He then did not get the appraisal back to us until XX/XX/XXXX ( over XXXX weeks after the on site visit ). The appraisal came in at {$770000.00}. 

There were comparisons missing and there was no support material behind the credits and deductions he made with each comp. 

I completed a reconsideration form promptly on XX/XX/XXXX with great detail and was met with details that did not make sense or address any of our concerns with the initial appraisal. This was sent back on XX/XX/XXXX with scant amounts of detail regarding to excluded properties, none of which addressed our biggest concerns. 

A few examples of the discrepancies include - a {$2500.00} credit for having a deck versus the comps without decks. Our large XXXX composite deck as mentioned above cost {$36000.00}. I am not sure what type of deck you could build with {$2500.00}, you probably could not build one. He also took over {$18000.00} off of our home just because we have lived in it since XX/XX/XXXX. In addition to this, there were XXXX credits for the upgraded features in our home versus the comps - tongue & groove entrance way, beams, ship lap kitchen hood, custom wet bar in basement, built in entertainment center, much larger concrete patio than comps, custom beams in living room, heated tile floors and jacuzzi jet tub in master bathroom, large custom closet with island and quartz countertop, large natural stone retention wall in backyard. These are all the features that were completely disregarded in our appraisal versus the comp homes. 

Prior to the addition of all of these features, we were appraised at {$750000.00}. With over {$120000.00} in upgrades and additions and a year to appreciate, we were extremely disappointed when the appraisal came back at {$770000.00} with no support behind the numbers. This will negatively effect us because despite having over 20 % in capital into the home, it is only pricing out at 15 % down. This will require us to escrow our taxes and insurance and also pay a Private mortgage insurance monthly payment. The cost of these has added significant stress to our family now as well with a single household income and a newborn at home.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation