As a seller, what happens if your home’s appraisal comes in below the sales price? Here are the options you and your agent can pursue:
1. Review the appraisal for errors. In this fast-paced market, appraisers are getting a ton of orders—not just for home purchase, but for refinances as well. Therefore, mistakes can happen, so if there are any in your home’s appraisal, make sure you identify them and notify the appraiser so they can be corrected quickly. If there are no errors, your next option is to…
2. Form a rebuttal based on comparables. This will show how similar homes in your neighborhood are increasing in value. You and your agent will then present this rebuttal to the appraiser in a friendly, professional manner. If that doesn’t work, your last option is to…
3. Negotiate with the buyer’s agent. Have a conversation about how both parties can keep the transaction together and create a win-win scenario. The great news is that in this market, where demand is increasing, most buyers (if they have the capacity) will at least partially cover the gap between the appraisal and sales price.
Using these three steps, most of the time we’re able to bring buyers and sellers together for a great transaction. If you have an appraisal issue you’d like help with or have questions about this topic, don’t hesitate to reach out to me. I’d love to speak with you.
