Discrimination comes in many forms, and this Bay Area couple almost lost out on almost half a million dollars after a property appraiser lowballed their home!
Paul and Tenisha Tate Austin filed a lawsuit against Janette Miller, the appraiser, and her business, Miller and Perotti Real Estate Appraisers, who had appraised the home back in 2020. The couple received an undisclosed amount and Miller must also watch a documentary on the Austin family’s ordeal called Our America: Lowballed. In addition, she has to become educated on housing discrimination in America.
A slap in the face
The Austins bought their home in 2016 and spent over $400,000 on remodeling, which included a new floor, adding 1,000 square feet of space, a deck, and a fireplace. However, they were only appraised 10% higher than what they paid.
Janette Miller claimed the home was worth $998,000 which was $455,000 lower than an appraisal done for a prior mortgage refinance they did back in 2019, and when their white friend posed as the owner, they were appraised $1.48 million!
“It was a slap in the face,” Austin previously said to KGO-TV.
Discrimination is embedded within the housing industry with it being much more difficult for black and brown people to become homeowners or equally receive the justified amount in the selling process. After the initial appraisal, the Austins asked their lender for a second opinion as they believe the appraiser was lowballing them because it was a predominantly black neighborhood and they were black. They enlisted the help of their white friend, removed all remnants of their family photos, and replaced them with their friend’s family pics. ‘Magically’ the appraisal for their property came back over $500,000 more than the first appraiser.
A California couple says the value of their home jumped by half a million dollars after getting it appraised a second time. The difference? They hid the fact that they’re Black that time. Now, they’re suing the appraiser for housing discrimination. @byjacobward has their story. pic.twitter.com/LGMRmBNGM2
— Last Call (@LastCallCNBC) December 16, 2021
‘We had a conversation with one of our white friends, and she said. “No problem. I’ll be Tenisha. I’ll bring over some pictures of my family”. She made our home look like it belonged to her,’ Tenisha said, per the Daily Mail. “There are implications to our ability to create generational wealth or passing things on if our houses appraise for 50% less than its value.”
“We hope by bringing attention to our case and this lawsuit settlement, we can help change the way the appraisal industry operates, and we can start to see a different trend.”
Unfortunately, The Austins are not the only ones who have experienced this.
HOME APPRAISER ACCUSED OF RACIAL DISCRIMINATION: A Black couple is suing after they say their home was undervalued by nearly $300,000 due to the color of their skin. ABC’s Rhiannon Ally reports. pic.twitter.com/mEEWIFOaNH
— ABC World News Now (@abcWNN) August 24, 2022