The hysteria about low inventory of homes continues. There are definitely more buyers than sellers in the market at the moment. This has caused new listings to be bombarded with multiple offers. Most over list price.
I have had buyers that have become so desperate to buy that they are throwing caution to the wind and offering many thousands more than list price. This is all well and good until the appraiser arrives.
Along with the crazy offers on homes comes appraisals that are coming in below price. This causes the buyer and seller to renegotiate on the price, or if the seller won't budge the buyers have to pony up extra cash or lose out on the purchase.
So before you decide to offer the world on a new home, consult with your agent to determine the risk of a low appraisal.
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