Written by Robert H. Ruth
A buyer has 3 options in this situation: re-negotiate the price with seller, fight the appraisal, or walk away from the transaction. That’s about it. Let’s look at each option in a bit more detail.
If the appraisal done by the bank giving you the mortgage comes in below the selling price, you can try to negotiate the price down to the appraised value. That is easier if the value is only off by a few thousand dollars, but very difficult if the price is off by $10,000 or more. You have to remember that the seller has lived in the property and they have a deep connection with the house. Selling it is not always just a business decision for a seller; often it is an emotional one. And when it is emotional…