What To Do When You Receive A Low Appraisal when you

[Ofer Attia]

What are you doing when you receive higher offer then the Appraisal?

How can we negation with the buyer?

[Dan Maciejewski]

You mean if the appraisal comes in lower than the contract price?  I have that conversation with every buyer and buyer's agent prior to accepting the contract.  It's pretty common here at most price points.  The lower prices have more financing so it's slightly less of an issue.  

In most cases, the buyer needs to have a plan, otherwise they will lose out and the seller will go back on market.  If it's a small difference and they are financing 90%-, the buyer can usually make it work.  Sometimes the seller will adjust a little if there's room for them.  That's where your negotiating skills come in to play -- do you want to save the deal?  Find solutions that work for everyone.

Otherwise, it will go back on market.  I had an appraisal just come in 15% below list and contract price.  Buyer couldn't come out of pocket another $15k, so back on the market.  Full price cash offer came in the next day. . .