The fee for an appraisal is not a profit generator for Turbo Mortgage.
Standard industry practice is to collect the appraisal fee from a prospective borrower up front, at time of order; and apply the fee to a competed appraisal regardless of the loan’s outcome. If the appraisal order is not completed, as a result of the loan being cancelled, or denied by your lender, the appraisal fee will be refunded (less nominal processing fee).
The fee you are authorizing is the exact direct cost paid to the appraisal company that the lender uses to order your appraisal ( plus nominal processing fee) It is a cost of doing the loan, and the fee goes to a third party. So the lender does not have this money to give it back to you. Refunds for appraisals are not generally issued, but under certain conditions can be refundable.
Once your lender receives authorization and payment, the appraiser order is turned into the lender. You will receive notifications of the appraisal schedule, and the appraiser completes the appraisal and delivers it back to the lender. You are entitled to a copy of the appraisal and as part of the process you will be emailed a copy of the appraisal directly from the appraisal management company that is retained by the lender. Your loan officer will contact you upon your receipt of the appraisal to go over the results, answer any questions and confirm accurately.
Turbo Mortgage practice is to order the appraisal upon the borrower’s conditional loan approval. Final loan approval can be dependent upon the appraisal value and other conditions within the appraisal results. This disclosure advices borrower and borrower understands that they will be responsible for paying the appraisal fee regardless of whether or not the loan is ultimately approved and/or closed.
If you feel as though you were not adequately informed regarding your responsibility to pay the appraisal or feel as though the conditional-approval you received was not diligent enough to ensure that you would reasonably be approved, then you should definitely contact Turbo Mortgage regarding any rights of refund.