So The Appraisal Of Your Fairburn GA Home Is Less Than Purchase Price....
This situation is one of those YIKES moments in the real estate business. The buyer, the seller, and the agents are all excited anticipating a solid appraisal because we have all done our job in determining that the purchase price is in line with the sales of comparable properties. The call comes to the buyer from the lender,
"...looks like the appraisal is coming in at less than the purchase price..."
O.K. So what are the options for the buyer of the Fairburn GA home?
The buyer of the Fairburn GA has to consider these options to determine the outcome of the transaction - pay the difference between the purchase price and the appraised value, negotiate a compromise on the purchase price with the seller, or ask the seller to lower the purchase price to equal the appraised value.
The lender is not going to lend over the appraised value of the Fairburn GA home. Bummer...
The buyer's most favorable option is for the seller to agree to reduce the price of the Fairburn GA home to equal the appraised value. But what if the seller does not want to agree to the reduction? The buyer needs to consider how important the purchase of the Fairburn GA home is to him or her. Is there enough motivation to maybe meet the seller in the middle and split the difference between the purchase price and the appraised value? Maybe, maybe not. The least favorable option to the buyer of the Fairburn GA home is to pay the entire difference.
But what if the buyer knows something about the future of the property that will positively affect the value of the Fairburn GA property? Stranger things have happen. And then there is buyer who just loves the property no matter what. We should all be so fortune to have that buyer in every transaction.
For help with buying or selling your Fairburn GA property, call our office at (404) 418-8092 or call me directly at (404) 246-3210.
Office 404-418-8092 Cell 404-246-3210 Fax 404-991-3770