Home Buying in 85029>Question Details

Snoop Dog..., Home Buyer in 85029

how much time does a seller have to respond to an addemdum when an appraisal comes in lower than the offer price?

Asked by Snoop Dog..., 85029 Sat Nov 12, 2011

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7
Snoop,

Leanne is on the mark with her comment. We would like to add that these situations can be worked through if both parties can see their way to giving a little. When both parties remain willing, time isn't the issue. This issue can be easily resolved with an addendum.

Often the first response, in these situations, is to question the appraisal. It would be good to review the comps that were used as well as all other comparison property information that is out there. This should help you in determining if the appraisal is an accurate one.

The easiest, but very difficult for the seller is to decrease their price to agree with the appraisal amount. If they can be made to understand that the only way they will successfully find a buyer willing to pay more that the home is worth is to identify a cash buyer that doesn't care about the home's appraisal, it may help your cause.

Good luck,

Bill
1 vote Thank Flag Link Sun Nov 13, 2011
While many items in the contract are governed by specific time-frames - an appraisal contingency on the seller's side is not specifically addressed and the addendum really should contain a time frame for response. Once that time frame runs out, then you can send a CURE Notice and that gives them a three day response time. Now, you can keep sending these notices (Cure the Cure) or you can allow the failure to respond become grounds for cancellation of the contract. If you never specified a time to get a response and it's already been a few days - I would go ahead and send the CURE notice (if it were my deal) in order to force a response.
1 vote Thank Flag Link Sat Nov 12, 2011
The seller will want to respond quickly so the the buyer's lender can continue on with the loan process.
0 votes Thank Flag Link Sun Jul 15, 2012
You have to be careful appraisal price and market price can be two different things.

Appraisals can vary on the same home as well.

I recently had two appraisals done on the same home , one was $300,000 and the second was $375,000... SAME HOME!!!!!

That being said, the seller does not have to lower the price to meet the appraisal price! There are MANY buyers that will get a second appraisal or make up the difference in cash if they really like the home.

Are you working with a Realtor now? or are you negotiating this contract on your own/

John Forsyth HomeSmart Elite Group
j4syth@cox.net
602-625-4675
0 votes Thank Flag Link Sat Jul 7, 2012
Hi Snoop Dog

From your quetsion it app eras you sent out an Addendum requesting a decrease in price based
On an Appraisal without writing in a date to respond by.

Normally, it is reasonable to give the seller three days. But of course you should have your agent follow up too
With the selling agent. After three days follow up with a CURE notice.

People do tend to be busy with work just before holidays, or could be traveling.

Good luck.
Perry
0 votes Thank Flag Link Sat Nov 19, 2011
Did you get the answer to your question? How did it turn out?
Web Reference: http://www.McVinua.com
0 votes Thank Flag Link Sat Nov 19, 2011
Everything that can be enforced is either specified in your contract (or addendums) or not. If it is specified, then read the fine print to make sure there are not additional items that would change this date. If it is not specified, then you have to simply wait. You may have to place a little pressure on them to get a response. Have your agent work through this for you.

Good luck.
0 votes Thank Flag Link Sun Nov 13, 2011
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