There are some things we see over and over that are really not in your best interest. Here’s why:
All estimates of value are really opinions—opinions of the owner, opinions of the lender, and expert opinions of appraisers based on recognized appraisal methods. At the beginning of the “economic crisis” in 2008, all opinions of value were even more “opinionated” than normal. It is not just the owners who had unrealistic expectations, but also some lenders. Even today, because of the length of time which has passed and the ongoing fears regarding the national as well as global economies, no one really and truly knows the “value” of a property.
Valuation is crucial to dealing with creditors. However, in this day and age, no one really knows with any certainty what a value is, because no one knows with any certainty whether any one except bottom-feeders will even show up in a “willing buyer/willing seller” scenario. Getting your ducks in a row about a realistic range of values is very important.