Due to the continual low inventory and competitiveness of our marketplace a lot of times the appraisal contingency is waived in an offer. However, if you are taking out a loan your lender will still require an appraisal. So what to do if the appraised value is less than your purchase price? Here are your options:
- Ensure your realtor scrutinizes the appraisal report because appraisers do make mistakes especially if they are from out of the area and do not know the local market well. Appeal it if there are comparables not used and features not included that will support the sales price.
- Find more cash to bring to the table to make up the gap.
Now, sellers, listen up; unless you’ve got a cash offer, a low appraisal could be a full stop to your selling plans. Help your home appraise for top dollar by:
- Have your agent provide the appraiser a list of your offers (if you received multiple offers) to prove the price was right.
- Clean and de-clutter to have your home looking its best.
- You and your agent being present at the appraisal to point out your home’s features and providing a list of comparable homes to support your price.
Save this post for later, and let me know if you want to talk more about buying or selling this fall. I’d love to connect!