Email us Call us

Are Appraisals Keeping Up With the Market?

Dear Monica: In talking to my lender, I found out that some appraisals lately have come in at less than the purchase price. Should buyers especially be worried about this? Jack B.
Dear Jack: It’s true that some appraisals are coming in lower than the contract price. In our somewhat overheated market, this is not a surprising turn. Interest rates have risen sharply and even though employment is strong, there is negative economic news making lenders be more cautious. Know that if you are a buyer with no contingencies, you should be prepared to make a higher down payment if the property doesn’t appraise at the contract price.

Work With Us

Every client relationship begins with asking the right questions. Understanding your current real estate situation, goals, and preferences is where we start. Let's meet for a conversation.