We’re here to help you manage the confusing home sales process by answering all your real estate questions. Abraham, at Ask a Walker, has outlined your options after you receive the appraisal response.
Once the appraisal comes in the seller will only be involved is one of two scenarios take place. One, the house has physical decencies that the appraiser noted during his visual inspection. Two, the appraiser valued the property below the sales price on the property. you will receive a deficiency report. This may say there are no deficiencies, and it appraises at or above the sales price, this will mean we move forward with the sales process.
If your Deficiency Report has deficiencies to fix, or it appraises under value, you have four (4) options.
1. Hold your ground, and keep your price. You have a high possibility of losing the sale and having to put your home back on the market. This option requires that the buyers bring more cash to the table in the form of a larger down payment to cover the difference between the assessed value, and your sales price. Sometimes a buyer loves the home enough and has the resources at hand to make this happen, but most often they do not.
2. You can choose to lower your price to the appraisal value. You will see less revenue, but the sale will proceed unhindered. If time is important, this may be your optimal option.
3. You can choose to negotiate the difference between you and the buyer. This is easiest when the buyer has a little wiggle room in their down payment, they’ve brought more to the table than the minimum required by their loan type. This happens frequently when a buyer is purchasing your home from the proceeds of their own home sale and they have the larger chunk of money to negotiate the difference. This option has an even chance of the buyer backing out, or staying with you to negotiate.
4. In the case of a deficiency, fix the items listed by the appraiser. The common items the appraiser will find are; chipped and peeling paint around windows, no handrails on stairs, incorrectly installed plumbing features, etc.
Remember, the appraiser does not work for the buyer. The appraiser is there to ensure the bank is making a wise investment by confirming the value of the property.
The important thing in any of these choices is having a skilled negotiator on your side. I’m the man for that job, serving Alexandria, VA and surrounding communities. Email him at [email protected](dot)com or give him a call to discuss your real estate needs today, (703)539-2053.
About the Author: The above article was written by Abraham Walker, Your Northern Virginia Real Estate Agent, helping clients market their homes to achieve high sales with a quick closing time is my main priority.
He’s the co-founder of Ask A Walker and can be found on YouTube, Facebook, and HERE on this blog.
Abraham can be reached via email at [email protected] or by phone at (703)539-2053.
He’s happy to answer all your real estate questions.
Thinking of selling your home? Check out 20+ step process to selling your home. Or contact me now to start the home selling process. Same day appointments are available on a case by case basis.
I help people sell and buy real estate in the following Northern Virginia area cities & neighborhoods: Kingstowne, Island Creek, Cameron Station, Overlook, Alexandria, Old Town, Belle Haven, Fort Hunt, Mount Vernon, Springfield, West Springfield, Burke, Lorton, Woodbridge, Lake Ridge, Manassas, Annandale, Fairfax, Arlington, McLean, Reston, Herndon and of course Vienna.