Low Appraisals are killing escrows - I had my second escrow in one week bite the dust because of a low appraisal.
In one instance, I was not surprised with the low appraised value and prepared my buyer for the prospect. In the other instance, I was TOTALLY SHOCKED. It came in WAY under what seemed reasonable. I follow our market closely, watch our stats, keep abreast of sales, and work diligently at making sure we will get appraised value when I price a listing, but sometimes you can do everything right and it still isn't enough (as in this case).
Times are tough in the real estate industry and getting the purchase price and appraised value to match up can be a challenge in this current market.
If you are selling your home and you haven't talked to your agent or reviewed your list price in a few months, now may be a good time to do so. Prices have fallen, even in the last few months and if your home can't get past the appraisal, you're wasting precious time.
If you are an agent, better price it right or you will have a mess on your hands, however, even if you price it right, tell your buyers and sellers that the escrow is still a huge river to cross. In both my canceled escrows, to their credit, both agents did all they could (and so did I) to save the deal, but sometimes there are obstacles that can't be overcome.
Let's hope that the pendulum swings back from the ultra conservative appraisal land we have gone to and that we reach a middle ground that sells homes and doesn't put banks in jeopardy.
If you have any questions about buying or selling real estate in Del Norte County, give me a call. I will give you an honest answer and base what I have to say on sound market research of all pertinent data.
I am here to assist you with all your Crescent City and Del Norte County real estate needs. Thank you for stopping by and please leave a comment.
DelNorteCountyREOForSale.com & REOAgent95531.com
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No one sold more homes in Del Norte County in 2009 and 2010--*both in number and volume--than Fran Gatti. Put Fran to work for you!
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