Appraisal came in $13k below agreed purchase price. I am the buyer & want the house. What are my legal rights?

Asked by shulamitr, Roswell, NM Mon Jul 28, 2014

Help the community by answering this question:

+ web reference
Web reference:

Answers

4
Jennifer Fiv…, Agent, Red Hook, NY
Sun Aug 17, 2014
I have been in a transaction with this situation. We tried re-negotiating the offer. Seller decided to meet buyer half way and the buyer put down additional money. He too though the house was the one.
There is no legal recourse, you made an offer which the seller accepted , however the appraiser is valuing the home for less.
0 votes
Christopher…, Agent, Tarrytown, NY
Sun Aug 17, 2014
You can wither put down more money needing less of a loan, ask the seller to meet the appraisal price, or split the difference with the seller. As for your legal rights, none of use can help you with that without knowing what was in your sales contract. If the appraisal was a contingency in the contract then you will most likely have the option to back out.

Chris
0 votes
Jim Olive, Agent, Key West, FL
Sun Aug 17, 2014
If you really want the house, discuss options with your agent. I would first attempt to get the Seller to reduce the price by the full $13k...after all, the appraisal is the agreed upon market value of the home, so it's not fair for the Seller to ask you to pay MORE than market value. If that doesn't work, and you still really want the home, see where you can meet the Seller in the middle...
0 votes
Janna Rankin…, Agent, Coeur dAlene, ID
Mon Jul 28, 2014
It depends upon what is written into the purchase contract that addresses that situation. If you carefully read your purchase contract I bet you will see it spelled out. In general the seller doesn't have to come down to the appraised value, and the lender doesn't have to loan more than the appraised value. But unless the seller has a cash buyer willing to pay more than appraised value, they won't be able to sell their house. You have the option of paying that $13K out of pocket to the seller and getting a mortgage for the appraised value. Best of luck to you!
0 votes
It is most definitely worth $284k if there is a Buyer that is willing and able to pay that much for it.
Flag Sun Aug 17, 2014
Correction 284k
Flag Sun Aug 17, 2014
Glad we seen this was wondering why the house was still on the market a year and a half later. We looked at the home recently and although its nice, its NOT worth 2840k
Flag Sun Aug 17, 2014
Search Advice
Search
Ask our community a question

Email me when…

Learn more