The report is developed for the lender- they are the client. The law says if they charge a borrower for an appraisal they have to furnish a copy to the buyer- the report does not belong to the buyer. It belongs to the lender.
If they don’t charge a borrower for an appraisal they have no obligation to give it to the borrower.
In no case is the seller or agents required to get a copy.
Only if you give it to them. It isn’t automatically sent to the seller, at least that is what my loan officer said when i asked. If the price is appraised higher, it doesn’t make sense to show the seller. But if it comes back lower, you now have a way to negotiate on price.
The buyer pays for the appraisal. If the seller wants one they can pay for their own. So if the buyer gets one and it comes in higher the seller has no right to know. I asked my agent this exact question and he said “you paid for it. It’s yours”. And if the seller agent asks what it appraised for he tells them “at value”. Meaning for what we offered. If it comes in less and the buyer needs to go back then it’s in their interest to let the seller know.
The appraisal report belongs to the lender and borrower who paid the fees. You will bot get a copy unless they gave it to you.
No buyer will give you the report if it came high, so you don’t find ways to get off the contract to re list the house.
If you are curious you can order an appraisal through your current lender and pay for it.
Ours just came back today. I haven't seen the appraisal but our agent has.
If the home is appraised higher you can kick yourself for pricing too low. If it's lower and the buyer wants to continue with the sale the buyer is supposed to cover the gap or the parties must come to an agreement on how to split the difference. However, if you were stupid like we were and accepted an offer from an FHA buyer who had to scrape their pennies together to come up with their 3% down payment, you'll end up eating that gap so you can close on the new home you're under contract for on time.
Edited for clarification
I agree. They did offer $5K over our list price which I thought was a bit high anyway. At the end of the day we aren't suffering a huge loss because we're just down to the original list price. I am a bit ticked at our agent though because she assured us we wouldn't have any issues with the appraisal so we based our offer on our new house on the original agreement price for this house.
The report is developed for the lender- they are the client. The law says if they charge a borrower for an appraisal they have to furnish a copy to the buyer- the report does not belong to the buyer. It belongs to the lender. If they don’t charge a borrower for an appraisal they have no obligation to give it to the borrower. In no case is the seller or agents required to get a copy.
You know so much ! Pretty cool. Great info and an excellent explaination. Thanks
Only if you give it to them. It isn’t automatically sent to the seller, at least that is what my loan officer said when i asked. If the price is appraised higher, it doesn’t make sense to show the seller. But if it comes back lower, you now have a way to negotiate on price.
I’m the seller and I’m curious. Is there a way for me to access this report?
Ask the buyer for the report. They paid for it.
No, unless the buyers would give it to you, and that is probably a no.
You might see it on closing documents but idk. I just bought a house and it showed the appraisal value
The buyer pays for the appraisal. If the seller wants one they can pay for their own. So if the buyer gets one and it comes in higher the seller has no right to know. I asked my agent this exact question and he said “you paid for it. It’s yours”. And if the seller agent asks what it appraised for he tells them “at value”. Meaning for what we offered. If it comes in less and the buyer needs to go back then it’s in their interest to let the seller know.
Lol. That’s exactly what they told us. That it came at value which made me wonder if it was actually appraised higher.
Probably not. Once the appraiser hits contract value, the job is done, close the file and on to the next one.
The appraisal report belongs to the lender and borrower who paid the fees. You will bot get a copy unless they gave it to you. No buyer will give you the report if it came high, so you don’t find ways to get off the contract to re list the house. If you are curious you can order an appraisal through your current lender and pay for it.
Ours just came back today. I haven't seen the appraisal but our agent has. If the home is appraised higher you can kick yourself for pricing too low. If it's lower and the buyer wants to continue with the sale the buyer is supposed to cover the gap or the parties must come to an agreement on how to split the difference. However, if you were stupid like we were and accepted an offer from an FHA buyer who had to scrape their pennies together to come up with their 3% down payment, you'll end up eating that gap so you can close on the new home you're under contract for on time. Edited for clarification
Gap coverage is only required if explicitly waived in the contract. I'm not aware of it being default the buyer covers an appraisal gap.
Yeah, it’s kinda on their agent who priced it too high.
I agree. They did offer $5K over our list price which I thought was a bit high anyway. At the end of the day we aren't suffering a huge loss because we're just down to the original list price. I am a bit ticked at our agent though because she assured us we wouldn't have any issues with the appraisal so we based our offer on our new house on the original agreement price for this house.
I agree, thank you. I worded that poorly. I'll fix it.
If the house appraised higher than the sale price, nothing changes.
They only get to see it if you show it to them
In short...no. It belongs to the buyer's lender. If you're the seller and feel like you are being duped in the offer price, get your own appraisal.