What happens when the appraisal comes in low
Your five options when the appraiser writes down a different number than your contract.
Offer & inspection · 12 points
Who it’s for
For the buyer under contract, waiting on the appraisal report.
What’s on the list
- 1
The lender orders the appraisal to protect their loan. It’s not there to tell you whether you like the place, or whether it’s a good buy.
- 2
Comes in at or above the contract price? Nothing changes. Keep moving.
- 3
Comes in under? The lender lends against the appraised value, not against your offer. That gap comes out of your pocket or it gets renegotiated.
- 4
Option 1: the seller drops the price to the appraised value.
- 5
Option 2: you bring the difference in cash, on top of your down payment.
- 6
Option 3: the two sides split it.
- 7
Option 4: request a reconsideration of value, with better comparables and documented factual errors.
- 8
Option 5: you walk — if your contract has an appraisal contingency and you’re still inside the window. Count those days with a calendar in front of you.
- 9
Get ahead of it: pull the comparable sales you used to build your offer and hand them to the appraiser the day of the visit.
- 10
If the place has recent upgrades, hand over the list with dates and invoices. An appraiser can’t credit what they can’t see.
- 11
In a condo, the appraisal looks at sales inside the same building first. One recent low sale in your line carries a ton of weight.
- 12
You can challenge a concrete error — wrong square footage, wrong bedroom count, a comparable that doesn’t apply. You can’t challenge a difference of opinion.
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