What to do when the home does not appraise

By
Real Estate Broker/Owner 01293735 CA

Here are some options for when the home you have sold does not meet appraisal:

1. Have the seller lower the price

2. Have the buyer come in with the extra money

3. Ask for an appraisal review

4. Cancel the deal and find the buyer a home that does appraise.

Many times we work out a low appraisal by having the buyer bring in extra money and the seller lowering the price some. Also, if proper comparable sales can be provided for the review appraisal, sometimes the bank will raise the appraisal too.

Appraisals will continue to be a challenge as prices continue to increase.

 

Posted by

 LORI BOWERS

http://www.loribowers.com

The Lori Bowers Group

A boutique Real Estate Office, with a full service team to serve all your Real Estate Needs

La Quinta, Palm Desert, Indio, Rancho Mirage, Coachella , Indian Wells and the surrounding Palm Springs Area.

78120 Calle Estado Suite 103

Old Town La Quinta

La Quinta, CA 92253

Phone: (760)8311595• Fax: (760)771-5327

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Rainmaker
464,513
Graziella Bruner
NCS Premier Real Estate - Detroit, MI
Associate Broker - Serving Wayne & Oakland County

These are all good and valid points!   I remember I had a deal, where the buyer made an offer and we wrote based on the market, (2 Years Ago).  The seller had the home on the market for $100K over price - yes $100K over - He was determined that his home was well worth it and he wasn't selling it for less.  They had the home appraised twice, my buyer's lender appraised the home and then the seller had an appraisal done, well you know of course, we were right on the money, so technically the seller would have received full appraised price.  Well, long story short, home didn't sell because he wanted my client to come to the table with the extra $100K.  After it was all said and done, I asked the Seller, that the next time he goes into the store for anything, I want him to pay at least an extra $100 dollars for each item and see how he likes that deal.  Well, after several months of trying to sell, they took the home off the market, it never sold, and they're still living there!

Nov 15, 2013 12:07 PM #1
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