What can you do if an appraisal comes back too low?
Imagine you get an offer on your home after going back, and forth you finally agree on a contract with a buyer. So far everything is going smooth. Until you get to the appraisal. You now hit a little turbulence. The appraisal comes back, and it is too low. You're starting to get nervous that this deal is going to fall through.
What can you do? How can you save this deal?
Here are four suggestions on what you can do to help save this deal
•1. Talk to the Appraiser - Find out why he came up with what he did. Maybe he over looked something, or didn`t have all the proper information. It is possible, that maybe he made a typo, or maybe he never saw the permit for the addition that you did. He might not have all the proper information. Just by talking to the appraiser, you just might be able to fix the problem.
•2. Talk to the bank - Ask the bank if they could have the property reappraised by another appraiser.
•3. Hire a new appraiser - If the bank won`t have the property reappraised hire a new appraiser, and then give that new appraisal to the bank. One word of caution here, Just because you hire a new appraiser doesn`t mean that the bank will accept it.
•4. Renegotiate
The secret here is to keep the deal together. This is going to take either one, or both parties to be flexible. The buyer can come in with more down payment money to make up the difference; the seller can be willing to come down in price to make up the difference. The seller can take back a second on the house. Any one thing, or combination of things can save the deal, and isn`t that the bottom line. I think so, but only if it is fair to both parties.
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