Appraisal was $2,000 short of Purchase Price....sigh..

[Greg P.]

Hello, I recently rehabbed a property, put it on the market and it was pending sale contingent on appraisal. The appraisal came in and it came in just $2,000 short. The buyers want to back out since they thought they were getting a deal. Has anyone had issues with appraisals coming in lower? Kinda have a feeling my realtor is not doing his job or something. Please advise. Thank you.

[Marc Freislinger]

The agents have a very limited ability to influence the appraisal. The real problem is that appraisers seem to use the purchase price as the max they will appraise a property for, while looking for any reason to bring it lower.

$2,000 doesn't sound worth losing a deal over. Drop the purchase price and sell!