Yes, if the appraisal on a home comes in lower than the purchase price that has been agreed upon, the purchaser does have some options. One option is to negotiate with the seller to lower the purchase price to meet the appraised value. However, if the seller refuses to lower the price, the buyer does have the option to walk away from the deal without any cost. This can be a stressful situation, but it is important to remember that the appraisal protects both parties involved in the transaction.
Here are a few key points to keep in mind if you find yourself in this situation:
Discuss your options with your real estate agent and/or lawyer. They can help you understand your contract and provide guidance on your next steps.
Consider if the home is still worth the price you originally offered, even if it means taking on a larger mortgage.
If you do decide to renegotiate, come prepared with documentation that supports the appraised value.
Remember that the appraisal reflects the current market value of the home, and it is in both the buyer and seller’s best interest to come to a fair agreement.
It’s always important to go into a home-buying process with a clear understanding of the potential outcomes. If the appraisal comes in low, it’s not necessarily a deal-breaker, but there may be some negotiating to be done. Remember to stay patient, do your research, and lean on your real estate team for support.