RE/MAX Equity Group
Principal Broker Divine NW Realty
"your" Real Estate Resource
You could try another offer, most likely you need to move on.
Unfortunately, your experience is not unique. Apprails often come in under the agreed-upon sale price. Although home prices in the Portland Metro area are starting to climb, appraisers look at historical sale prices over the last several months. Also, appraisals are based on opinions and each appraiser approaches his/her job a bit differently--some adjust liberally for school district, location, and amenities. Others just seem to look at an average cost per square foot.
Since you nor the seller had the cash to come up with the difference between sale price and appraisal, the transaction was terminated and the seller put the house back on the market. If you were using an FHA loan to purchase this house, an FHA case number would have been opened. It is my understanding that the case number and appraisal remain attached to that house for six months. So, other buyers using FHA loans would be stuck with that appraisal for that time period. However, VA or conventional buyers would obtain their own appraisal and a new appraiser could come up with a completely different value for the house.
Your buyer's agent can put together a current market analysis for this house to determine if the list price is easily supported now. If it has been more than six months since your original offer was made, or you are not using and FHA loan to purchase, you could make another offer on the house. You would still incur a cost of a new appraisal, but if you really love the house, it might be worth considering.
Best wishes to you.
Sally Mehalovich, Oregon Principal Broker
Amerivest Realty of Portland