I sold a home for $237K and the buyer went to Countrywide for the appraisal. Based on my CMA the house should appraise for about $240k - $250K.

The Countrywide appraisal came back at $212K. One of the comps was nearly a year old and another was over 20% larger than this house. There were comps in the neighborhood that more closely matched this house.

The seller refuses to sell for $212 and ordered her own appraisal which came back at $241K, which seems reasonable to me. We have a mortgage broker who says that he can use this appraisal, but first FHA must release the existing appraisal or the seller must wait 6 months to sell FHA.

My question is this -- Will this happen, and if so how soon?

The FHA case number goes with the property, so the seller will have to wait six months to sell FHA. Just about every property we have in escrow has been subject to appraisal reviews, whether it is conventional or FHA financing. It is really tough to make everyone satisfied now since we are still in a declining market.

She is right. You have to wait and that first appraisal will show in FHA connection so the next appraisal better be tight.

There is quite a discrepancy in value there.