Updated over 3 years ago on . Most recent reply
Appraisal waivers... what I'm being told by local realtor
I'm in the market to purchase a primary home in the DFW area, specifically around the Murphy/ Wiley area. My realtor and others that I've spoken to are making it seem that it's impossible to win an offer on a home without a FULL appraisal waiver. Not only that, but the offer has to be way above list. For instance, on a 700k home, an offer would need to be in the realm of 750-770k with a full appraisal waiver and no contingencies.
Does this sound right?
To me it sounds like absolute insanity. Let's say I heed the advice of the local experts and go in at 750k for a house listed at 700k with no contingencies. Appraisal comes back at 700k, that means I either have to pony up 50k to cover the appraisal shortfall, or lose 7.5k earnest money to get out of the deal.
I don't see the appeal here. I've purchased homes in competitive markets but I've never been told that I essentially have to pay off the seller with 30-70k to have the opportunity to buy their house at the appraised value.
Does this sound right?
To me it sounds like absolute insanity. Let's say I heed the advice of the local experts and go in at 750k for a house listed at 700k with no contingencies. Appraisal comes back at 700k, that means I either have to pony up 50k to cover the appraisal shortfall, or lose 7.5k earnest money to get out of the deal.
I don't see the appeal here. I've purchased homes in competitive markets but I've never been told that I essentially have to pay off the seller with 30-70k to have the opportunity to buy their house at the appraised value.
Most Popular Reply
I am in the Texas market. I would never buy a house the way you're doing it. If its a multiple offer situation, the "winner" is the loser. Always. Always.