Coester Appraisal Group, a nationwide appraisal management company (AMC), has announced the launch of www.CoesterReverse.com, a Web site for reverse mortgage professionals to order appraisal products that are specialized for reverse mortgage transactions. Among the services offered on the site is Coester Appraisal Group’s ValueSafe Appraisal Program, an innovative appraisal program that can save borrowers hundreds of dollars on upfront reverse mortgage fees.
Unlike traditional mortgages, reverse mortgages are not based on the borrower’s credit or income. However, the value of the property is of prime importance. The vast majority of reverse mortgage lenders have a full appraisal conducted on the subject property prior to initiating the transaction. This can cost the borrower $350 to $450, on average. When added to the approximately $200 for counseling mandated by the U.S. Department of Housing & Urban Development (HUD), the borrower’s upfront fees can total $500 or more with no assurance that the transaction can be fulfilled.
Coester Appraisal Group helps borrowers get an approximate valuation of their home without incurring a major investment. Through Coester’s unique appraisal program, ValueSafe, borrowers may purchase a preliminary desktop appraisal for $100, which is approximately one-fourth the cost of a traditional appraisal. If the desktop appraisal indicates enough equity to fulfill the transaction requirements, the borrower can apply the amount paid on the ValueSafe desktop appraisal to the full appraisal if ordered through Coester Appraisal Group. If the desktop appraisal indicates that the property is lacking the required amount of equity, the borrower has only paid $100, as opposed to the full appraisal fee.
“Borrowers are risking hundreds of dollars in preliminary fees for transactions that may not even qualify for a reverse mortgage,” said Brian Coester, chief executive officer of Coester Appraisal Group. “We created CoesterReverse.com to provide reverse mortgage professionals with direct access to money-saving valuation alternatives. If completed prior to counseling, a ValueSafe appraisal can save upwards of $500 in upfront fees. That is a huge amount of money, particularly for those relying on retirement income. We’re hopeful that this money-saving option will become the new standard for evaluating property values for reverse mortgages.”
For more information, visit www.coesterappraisals.com or www.coesterreverse.com.