Buying a house is one of the most significant investments you will make in your life. However, obstacles can hinder the smooth process of buying a home, one of the most challenging being a low appraisal. This occurs when the estimated market value of the property is lower than the initial agreed purchase price between you and the seller. Sometimes appraisals come in low because the house is in poor condition or when there is an oversupply of homes in the market. When this happens, a Florida expert lender can be your best ally. In this blog, you will learn more about how these lenders can help you overcome a low appraisal.
- Education
A Florida expert lender has a vast knowledge of the real estate market and financing. They can help you understand all the elements of the appraisal process and how it affects your mortgage approval. They can also offer advice on how to avoid low appraisals in the future.
- Negotiating with the seller
Your lender can also help you negotiate with the seller to reach a new price that the appraiser determines is fair. Armed with market analysis, local data and other appraisal data, your lender can work with the seller to agree to a new price that is more in line with the valuation of the house.
- Providing alternatives
Florida expert lenders also have access to a range of home loans available on the market. If you’re not working with a lender who knows about special programs like FHA or VA loans, you’re missing out. These loans offer more flexible requirements that can help you purchase your dream home, even if the appraisal comes in low.
- Challenging the appraisal
Another way Florida expert lenders can help you is by challenging the appraisal results. They know how to put together a package of comparable properties that may have been missed during the appraisal to help you appeal the appraisal amount, and therefore, potentially the sales price. If necessary, they can also help you find a new appraiser to complete an independent appraisal that may give a different or more accurate number.
- Identifying ways to raise the appraisal
Finally, an expert lender can suggest ways to raise the home’s appraisal value. They know that upgrades and repairs can improve the value of the home. Identifying all necessary upgrades to benefit the value of the home can, in turn, increase the appraisal.
A low appraisal should not hinder you from owning the home of your dreams. Florida expert lenders can use their knowledge and experience to help you through the process. They can help you understand the appraisal process and its impact on loan approval, negotiate with the seller, provide alternatives, challenge the appraisal results and suggest ways to raise the appraisal. With the help of a Florida expert lender, your dream of homeownership is just around the corner.
