David Higgins - Flavin & Flavin Realty | Everything Quincy and South Shore Real Estate and more!


A low appraisal is a possibility when you’re buying a home. This can happen for a variety of reasons. If it happens to you, don’t panic! 


Once you get an offer accepted on a house you love, it may feel like a huge weight has been lifted off of your shoulders. As any seasoned homebuyer will tell you, this is only the beginning! 


It can be tough for both the buyer and the seller when a deal seemingly falls apart due to an appraisal that comes in too low. This is a common occurrence and there are ways to work around it. 


Reasons For A Low Appraisal


There are a few reasons for a low appraisal including:


Insufficient sales data for the area can often skew appraisal numbers

Lenders may only lend up to a certain percentage of the appraised value


If the appraisal comes in lower than what you offered for the purchase price of the home, you’ll need to come up with the rest of the cash upfront in order to purchase the property. There are other options for you if you do come into this situation.


The Appraisal Contingency


The appraisal contingency is built into your sales contract and is a protection for the buyer, allowing them to walk away without financial burden if the appraisal comes in too low. This allows you room for negotiation on the seller’s part if they really are motivated. The contingency clause isn’t a one-size-fits-all protection. Even with this clause, you could end up spending more out of pocket cash or walking away from the deal completely. It’s simply a protection.  


What If The Appraisal Is Wrong?


The appraisal can be submitted for review. The appraiser would need to explain why they didn’t use comparable sales provided by the lender. The property can also be completely reevaluated. In addition, you can request a separate appraisal from your lender. The seller may even pay for the second appraisal in order to keep the deal from falling through. 


Don’t Offer More Than You Think The Property Is Worth


When you base huge financial decisions on emotions, you could end up in a bad situation. Your offer that wins the house can quickly become a case of regret as a buyer. Many times in a tight real estate market, you’ll need to make decisions fast. If you have a general idea of property values and work with a realtor to make an informed offer, you’ll be in better shape to avoid a big headache. While you may be able to afford paying more than a house is worth, it’s not a smart financial decision.       



Low Appraisals Are An Opportunity


A low appraisal should be thought of by the buyer as an opportunity to renegotiate the sale price of the home. This step in the home buying process is a protection for you as a buyer for one of the biggest purchases that you’ll ever make.



15 Park Ave, Hull, MA 02045

Condo

$389,900
Price

4
Rooms
2
Beds
2
Baths
A major renovation of Sunset Place has been completed! The entire exterior and roof have been replaced with weather resistant state of the art materials. This beautiful unit has exquisite hard wood floors throughout. Brand new windows and doors keeps heating and cooling costs to a bare minimum. Gas fireplace, en-suite full baths, front balcony, in unit laundry and new water heater are all pluses. Panoramic views of the Weir River Estuary, Steamboat Wharf and World's End are punctuated by extraordinary sunsets year round! Around the corner is Nantasket Beach and restaurants. Close to commuter rail and boat. A detached garage with extra storage, clubhouse, and pool help make this pet friendly complex one of Hull's finest.
Open House
Sunday
April 22 at 1:00 PM to 3:00 PM
Cannot make the Open Houses?
Location: 15 Park Ave, Hull, MA 02045    Get Directions

Similar Properties



When you're buying or selling a house, there's a lot riding on your choice of a real estate agent. The right one can help you sail through the process with a minimum of frustration and setbacks. The wrong one can cost you precious time, money, and opportunities. Although things like experience, credentials, and track record are key factors to consider, personality and "chemistry" are vital elements of a successful and productive working relationship. Measuring these qualities can be a little tricky, but if the agent makes you feel comfortable, listened to, and optimistic, then they're a good prospect for your "short list." While it is possible that the first real estate agent you interview will be a perfect match for your needs, goals, and personality, it's generally advisable to meet with at least two agents or Realtors before making your final choice. Having more than one point of reference helps you make the best, most informed decision. Other than measurable criteria, such as recent sales, how long those properties were on the market, and how many listings they currently have, here are a few personal traits worth paying attention to:
  • Excellent communication skills: This can run the gamut from being an attentive listener to having the ability to describe complex things to you in a way you can understand. This trait is especially important if you're a first-time home buyer or seller, and are relatively unfamiliar with the hurdles, requirements, and steps involved in qualifying for a mortgage, marketing a property, finding properties that meet your expectations (if you're in the market), and closing on a real estate sale.
  • A positive attitude: While you don't necessarily want a real estate agent who is always looking at the world through rose-colored glasses (unrealistically), you do want to be working with someone who focuses on solutions, rather then problems. Let's face it: The search for your dream home or the ideal buyer for an existing home can sometimes be a bumpy ride. That's why it's important to pick an agent who is proactive, resourceful, optimistic, and results oriented.
  • Responsive and accessible: A crucial thing to find out in your initial meeting with a real estate agent or Realtor is their preferred method of being contacted and how long they usually take to respond to phone messages and emails. The other side of the coin is the frequency with which they plan on contacting you with updates, progress reports, and reminders. Effective communication is always a two-way street, so if the conversation feels like they're talking at you, rather than to you, then you might want to point your search in another direction.
If all else fails and you're still not sure who would be the best real estate agent for your sale or purchase, then talking to a couple of the agents' past or present clients could be the deciding factor. Asking prospective agents for references and taking the time to contact a couple of them could reveal major strengths or shortcomings that you have yet to discover -- and would like to know.


15 Park Ave, Hull, MA 02045

Condo

$389,900
Price

4
Rooms
2
Beds
2
Baths
A major renovation of Sunset Place has been completed! The entire exterior and roof have been replaced with weather resistant state of the art materials. This beautiful unit has exquisite hard wood floors throughout. Brand new windows and doors keeps heating and cooling costs to a bare minimum. Gas fireplace, en-suite full baths, front balcony, in unit laundry and new water heater are all pluses. Panoramic views of the Weir River Estuary, Steamboat Wharf and World's End are punctuated by extraordinary sunsets year round! Around the corner is Nantasket Beach and restaurants. Close to commuter rail and boat. A detached garage with extra storage, clubhouse, and pool help make this pet friendly complex one of Hull's finest.
Open House
Sunday
April 15 at 1:00 PM to 3:00 PM
205 is in building 3
Cannot make the Open Houses?
Location: 15 Park Ave, Hull, MA 02045    Get Directions

Similar Properties




15 Park Ave, Hull, MA 02045

Condo

$389,900
Price

4
Rooms
2
Beds
2
Baths
A major renovation of Sunset Place has been completed! The entire exterior and roof have been replaced with weather resistant state of the art materials. This beautiful unit has exquisite hard wood floors throughout. Brand new windows and doors keeps heating and cooling costs to a bare minimum. Gas fireplace, en-suite full baths, front balcony, in unit laundry and new water heater are all pluses. Panoramic views of the Weir River Estuary, Steamboat Wharf and World's End are punctuated by extraordinary sunsets year round! Around the corner is Nantasket Beach and restaurants. Close to commuter rail and boat. A detached garage with extra storage, clubhouse, and pool help make this pet friendly complex one of Hull's finest.
Open House
Sunday
April 15 at 1:00 PM to 3:00 PM
205 is in building 3
Cannot make the Open Houses?
Location: 15 Park Ave, Hull, MA 02045    Get Directions

Similar Properties





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