THE PATHWAY TO BUYING
LENDER’S APPRAISAL
(IF YOU ARE MORTGAGING)
Timeline: Varies. Sometimes, this happens after the inspection period and sometimes during the inspection period. Appraisal typically needs to be done 7-14 days prior to closing in order for the underwriting process to be complete prior to closing.
Your Lender will order the Appraisal. The house will need to “appraise” at the value or greater of the agreed-upon price of the home. If the home does NOT appraise at or above the price, this is usually a second point of negotiation. If that happens, one of three scenarios will occur:
1.) You will need to increase your down payment or
2.) The seller will lower the price, or
3.) Some compromise between the two will need to be made.
If we can’t come to an arrangement with the seller, the transaction will not proceed.