Don’t Get Too Attached To A Number And Other Things A Realtor Says You Should Know When Selling Your Home
- By
Julia Austin
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Why do houses sell for less than they appraise?
Head said we need to understand that the appraisal often happens in the loan process so when you got your original loan, or perhaps during a refinance period, your lender had to have your home appraised just to confirm that it was at least worth the price you were going to pay for it. The lender does this to protect themselves against losses. Once an appraiser can confirm the property is at least worth that asking price, they stop assessing. But, again, it’s really about what the market is willing to pay. Your home may have appraised for $500K four months ago, but if the market is slow, you may not get $500K for it.
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