Not sure who your lender is, but I feel comfortable telling you that if the appraised value came in 8% less than contract price, it's safe to assume that you're overpaying for the house. With the way the market is today, you can expect to pay close to market value. Your sales contract should have an appraisal contingency protections for you in place so that if the appraisal doesn't come in high enough to cover the sales price you can have an out of the contract. This is something you want to speak to your attorney about. At the end of the day you have options, the first is to ask the seller to reduce the sales price to match the appraised value and amend the purchase price on the sales contract. The seller might or might not be willing to do this, if they're smart they would. Your other option is to cancel the contract and continue searching for properties, as long as you have the appraisal contingency in the current contract. The other option you have is to come up with the additional 8% out of pocket or reduce it from your total down-payment. So if you were putting a 20% down-payment, now your down-payment is 12%, or you can now put a 28% down-payment just to be at a 20% down-payment with your lender, makes sense? If you have any questions or if there is anything I can do to help, please feel free to call or text me anytime, no strings attached.
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Assistant Director of Sales
ACADEMY MORTGAGE CORP
105 Conklin Street
Farmingdale, NY 11735
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Hi, an Architect would be your best line of action, he would know the rules and zoning, and also could draw the plans out for you. Then, if you do anything, should be within the guidelines and you would not have any headaches!. Need more help, please call me, thanks. 917 902 2873.... more
Hello Gene, Great question! Having a buyerâ€™s agent puts a professional on your court. The selling agents always represent the owner, no matter what they say.
It's like going to court without a lawyer, yes its done, but it's not recommended, you need someone who knows the in and out of real estate to represent you and having a buyers agent is that person.
99.9 % of the time the buyerâ€™s agents get paid from the sale proceeds so it should not raise your closing cost. MY team and I are are experts in real estate and specialize in co-op and condo sales, in and out of the city. Please give me a call if you have any other questions I practice at (917) 468-5720.... more
All home prices should be based on real numbers that represent the most recent market activity in a given location.
If a bank appraisal is a current one, I can think of no better way to price a home than by beginning with this information. Any future buyer, needing to purchase by financing would be required to have an appraisal of their own in order to obtain their funds.
I have been in situations where the selling agents did not want to share commissions with an outside agent and were nasty to my agent/ made it difficult to show. Especially in Queens, I feel a lot of agents prefer to bring in their own customers and be the buying and selling agent in one.... more