What do you do when the appraisal on the dream home you want to buy comes in below the price in the offer the seller has accepted—even as much as 10 to 20 percent below?Chances are that raising the cash for your down payment and closing cost has tapped you out. Finding thousands more to make up the difference between the appraised value and the contracted amount is out of the question.
NOTE: I found this to be an interesting article, being that I have personally run into issues with low appraisals this summer. More-so in the Harrison area, and not not so much in Gladwin. I had two low appraisals come in on two different waterfront cottages in the Harrison area, within one week! We disputed both appraisals, and didn't win either one. We got one appraiser to agree to update his, because new comparable solds became available right after his report was submitted. However the lender wouldn't change it's stance. The other appraiser flat out refused to update it.
In the end, both sales did close, but the buyers and sellers had to compromise in some way.... Both buyers ended up having to bring more money to closing and one seller had to drop their price to get the sale to go forward. In one case, there were multiple offers on the cottage. So, we knew the value was there.... just the timing was bad to find good sales camps.
Ivie
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