appraised too high!

[Anonymous]

Hello, I was 13 days from closing with a usda direct loan and they informed me today that the house appraised for 2,500 higher than the guidelines for my county! I just dont understand. I thought it would be good for them to have equity in the home from the start. She said something like, it's has to be modest. I wish there was something that could be done, a second opinion or something. I even offered to come up with the extra money that it appraised over. That was a no-go as well. I'm crushed because now I have to start all over again. Has anyone ever had this happen? Is there a way around it. Thanks

[Anonymous]

Sorry that happened to you, i'm not sure if there's a way around it but if you're hung up on the house could you try alternative financing like FHA maybe?

[Anonymous]

update: So the woman at USDA calls me back and said she called the state office and they are going to allow me to go ahead and get the house! I want to be excited, but now I'm on guard for more potential roadblocks! She said she is going to order the funds for the loan and once they come in, they are going to order the inspections. I would still like to hear from someone that this may have happened to! Wish me luck, I looove this house and I dont want to part with it.

[Anonymous]

I just sent in my application for the USDA Direct loan. I am very fearful that what happened to you will happen to me. The house I like may be appraised higher than is allowed for my county.

Once you sent in your app, how long did it take for approval?

[Anonymous]

It took about 1 month to get my eligibility letter, but I had some credit issues that were showing on my report as unpaid. I'm sure that stalled it a bit. Check the max loan amount for your area and that is the highest amount the house can appraise for. I didn't know that when I went house hunting, I just found out today through usda. They say it has to be modest. My offer on the house was even well below what they gave me to spend. Hope all goes well for you.