What Happens if my House Doesn’t Appraise for the Full Price?

Congratulations! You just got a better than full price offer on your home for sale after having multiple offers. You have gotten through Attorney Review and Home Inspection and the buyer is getting their mortgage approval. Everything is moving smoothly or so you think. The buyer’s mortgage company sends out an appraiser and this is where things can fall apart on you.

How does the appraiser come up with the selling price?

They do this with a physical inspection of the home which includes:

  • Takes pictures
  • Measures the home and the lot
  • considers remodeling upgrades
  • Looks at the neighborhood and the location

Appraisers strongly consider sold comps in the area as well but the entire process is much more scientific. This report considers nearby sold homes within the past 3 months, pending sales, and currently listed homes.

Other important factors include the type of loan. Each loan has its own requirements for approving and funding the loan. A Conventional loan tends to get approved with few repairs or none. FHA and VA loans have stricter regulations so there are typically some repairs required.

What if my house doesn’t appraise for the full price?

You have a few options to select:

  • Reduce the selling price to the appraised price
  • Appeal the appraisal
  • Cancel the contract; but if the appraisal was for FHA loan the appraised price will stand for six months
  • Hope that the buyer bring the difference to closing

How to ensure you appraise for top dollar

  • Make sure the home looks as nice as possible when the appraiser comes.
  • Prepare a list of any remodeling done, any upgrades and newly purchased appliances.
  • Be sure you have taken care of all repairs that you agent suggests prior to the appraisal

For more information call Colleen Kulikowski

(716) 650-0051

 

Thinking of selling your Western New York home? Interested in finding out the current market value of your single family home, condo or investment property? Then call www.BestBuffaloHomes.com at (716) 650-0051 to discuss what is happening in today’s Western New York Real Estate Market. We would be happy to give you a personalized Comparative Market Analysis for your home or assist you to purchase a home. View additional WNY Market Area Statistics here.

What about one of these homes?

All Statistics are gathered from the Buffalo Niagara Association of REALTORS®.
Properties found on this Web site may be listed with a brokerage other than the owner of this site and are displayed here via the Internet Data Exchange (IDX) system of this broker’s MLS. All information deemed reliable but not guaranteed and should be independently verified. All properties are subject to prior sale, change or withdrawal. Neither listing nor displaying broker shall be responsible for any typographical errors, misinformation, misprints, and shall be held totally harmless. © 2014 Western New York Real Estate Information Services (WNYREIS), LLC. All rights reserved.
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All Statistics are gathered from the Buffalo Niagara Association of REALTORS®.
Properties found on this Web site may be listed with a brokerage other than the owner of this site and are displayed here via the Internet Data Exchange (IDX) system of this broker’s MLS. All information deemed reliable but not guaranteed and should be independently verified. All properties are subject to prior sale, change or withdrawal. Neither listing nor displaying broker shall be responsible for any typographical errors, misinformation, misprints, and shall be held totally harmless. © 2014 Western New York Real Estate Information Services (WNYREIS), LLC. All rights reserved.


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About Colleen Kulikowski, Associate Real Estate Broker (716) 650-0051

Colleen Kulikowski is an Associate Real Estate Broker with the Griffin Team @ Keller Williams Realty Buffalo Northtowns specializing in Western New York residential homes who doesn’t follow trends; she blazes new trails and is able to recognize industry trends and implement them to her client’s best interest. Colleen has created a unique following with one of the top local internet positions in the country generating thousands of leads for her team. Real Estate is a second career for Kulikowski who’s first career was in Information Technology and Data Warehousing working for such companies as Radio City Music Hall, Nabisco Foods and as a consultant in the Financial and Insurance industries. A strong background in technology and management provides her with keen analytical and sharp negotiating skills.

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