01
Value and price are different
The contract states the agreed price; the appraisal provides an opinion of value for the lending assignment. The loan is generally structured from the applicable lower value or price framework.
02
Review the report before reacting
Confirm property facts, comparable sales, adjustments, condition, and whether relevant information was omitted. A reconsideration must follow the applicable process and needs credible support.
03
Know the contract deadline
Financing and appraisal clauses can create rights or obligations. The Realtor and legal counsel should interpret the contract, while the lender explains financing consequences.
04
Compare available paths
Possible paths can include renegotiation, additional cash, restructuring, a supported reconsideration, or ending the transaction when the contract permits. Each affects risk and affordability differently.
Frequently asked questions
Questions that add to the answer
Can the lender simply change the appraisal value?
No. Any reconsideration follows the applicable appraisal independence and review process.
Does the seller have to lower the price?
That depends on negotiation and the contract, not the lender alone.
Can the buyer pay the difference?
Potentially, if permitted and financially workable, but the amount may not function like ordinary down payment equity for every calculation.
Authoritative sources
Sources reviewed September 9, 2026
Program rules and public guidance can change. The current source and the review of the actual borrower, property, and transaction control.
Related resources