What to Do if your Home Appraisal Comes in Low

A low home appraisal can feel like a setback, but don’t worry—you still have options! Whether you’re buying, selling, or refinancing, a lower-than-expected appraisal doesn’t have to derail your plans. Let’s walk through what you can do to challenge it and keep your home journey moving forward.

Take a Deep Breath & Review the Appraisal Report

First, don’t panic. A low appraisal isn’t the final word! Start by carefully reviewing the appraisal report for any mistakes. Look for:

• Incorrect square footage or missing upgrades

• Outdated or inaccurate comparable sales (comps)

• Overlooked features that add value (renovations, lot size, location perks)

If you spot errors, make a note of them—you may have a case for an adjustment!

Request a Reconsideration of Value (ROV)

If you believe the appraisal is too low, you can request a Reconsideration of Value (ROV) through your lender. To strengthen your case, you’ll want to provide:

• More accurate or recent comparable sales that support a higher value

• Evidence of any home improvements or unique features the appraiser missed

• A letter explaining why the appraisal may not reflect the true market value

Your real estate agent can help you gather the right data to make a strong argument!

Explore a Second Appraisal

Sometimes, getting a second opinion can make all the difference. If you strongly disagree with the first appraisal, ask your lender if a second appraisal is an option. Different appraisers may use different comps or approaches, which could result in a more favorable outcome.

Negotiate to Keep the Deal Alive

If you’re buying or selling a home, a low appraisal doesn’t mean the deal is off the table! Here are a few ways to work through it:

• Ask the seller to lower the price to match the appraisal.

• Request seller concessions to help cover closing costs.

• Offer to split the difference if both sides are willing.

Final Thoughts: You Have Options!

A low appraisal can feel frustrating, but it’s not the end of the road. With the right approach—whether it’s disputing errors, providing better comps, or negotiating with the other party—you can still reach your homeownership goals.

• Need help navigating a low appraisal? Let’s chat! I’d love to guide you through the process and explore the best path forward.