APPRAISAL TOO LOW FOR FINANCED PURCHASE

[Anna Catron]

GOOD AFTERNOON!  We are buying an off market deal for approx $100k.  It is a duplex in terrible condition, but in an up and coming neighborhood.  The price also includes a spare lot (approx $20k value).  The owner has agreed to pay the $5k for the roof before getting it appraised. The HVAC company has also agreed to do the $10K job prior to appraisal if we give him the postdated checks.  Any other ideas?  

So far, sounds like either she comes down in price or we pay the difference between appraisal and price. We know the area well (so we know it's worth it) and don't want to feel like she's not getting a good deal. 

PRICE $102K

REHAB $20K

ARV $150K

Thanks in advance!