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After all the preparation, repairs, painting, de-cluttering, staging and sweat you put into having your home show its absolute best to maximize the sales price, it seems unfair that the transaction can unravel because of a low appraisal. Recently, the National Association of REALTORS® reported that 16 percent of real estate professionals surveyed in June reported a cancelation of a sale, due to low appraisal on the property.

Many real estate professionals are watching deals unravel, with some appraisals coming in 10 to 20 percent — or even more — below the accepted offer. “Over the past decade, finding ‘comps’ that accurately reflect values has been a challenge as values rose quickly during the boom and fell just as fast during the bust,” according to a recent article by RISMedia. “Discounts paid for foreclosures and short sales have created a dual price structure between ‘normal’ and distress sales.”

When a low appraisal comes in on a property that is in escrow for more than the appraised amount, there are limited options for the seller: 1) Accept a lower price; 2) Challenge the appraisal with data to backup the position of the seller, or; 3) Order a new, independent appraisal (although this one may not be any different or better). For the best results, make sure you hire a listing agent who is familiar with all the recent sales and is willing to meet the appraiser at the property at the time the first appraisal is conducted.