Through the process with my realtor she often suggested I include appraisal gap coverage in my offers for places, and she claimed that it’s rare properties were appraising low (even for over-list offers) so it was unlikely that clause would be used.
However, I just got an appraisal back on a property and it appraised way low… the lender is now saying this is pretty common in this market.
Luckily, I didn’t have a gap clause in this offer, but I’m curious how often it’s been an issue. With so many people paying over asking (or list prices being high to begin with), have buyers struggled with appraisals coming in low? What’s the reality?