Selling a Home Partnership in Success Part 8a - The Appraisal Contingency
Click Here for Links to Parts 1 to 8.
When the offers come in on the homes there will be an appraisal contingency in most offers. In short the home needs to appraise for at least the amount offered. Lenders will not loan based on an amount over the appraised amount. Often even cash buyers will have a Loan contingency in the offer.
So if you get an offer maybe over what your were expecting or you have decided to list the home at a very high price and manage to get an offer you still have to get passed the appraisal contingency. There are some people that may even send you a high offer expecting the property to fail to appraise and planning to negotiate the price down before closing.
There are two things to consider here. The over priced offer may not be the best if it will not appraise and they are not capable of closing without the price reduction. You may want to take a better over all offer that is for less.
Another strategy is to counter on the price before going into contract and see if the buyer is capable of paying part or all of the difference between the appraised price and the offered price in cash.
Finally if the home does not appraise for the offered amount you may have to lower the price to the appraised amount if you do not have an agreement in place. Often buyers that can may offer to pay some cash amount over the appraised amount. You can also challenge the appraisal but this is not easy.
In part 8b we will go over one final aspect of Financing – Owner Carry Financing.
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about marketing--visual merchandising, if you will. Sellers have their home arranged/decorated for their individual "livability". That "livability" doesn't transfer to "staged" just because they put a For Sale sign in the front yard and shampooed the carpeting. Staging is about transitioning their "livability" into a house that the targeted community of buyers can see themselves living in. 

You are preparing for Christmas, Hanukkah, Kwanzaa, or Yule, and as a Realtor, I know that you will be busy with other social engagements, and showing your house is not be a top priority. You are also now considering whether you should take your home off the market, at least until the holiday's are past. Let me give you 5 important reasons why you should not take your house off the market during the holidays.



The front door is in need of repair; weather stripping is loose, exposed, or dragging on the floor.