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Low appraisal calculator

See how a gap between your contract price and the appraised value changes the cash you need to close, and how each way of resolving it compares.

The calculator assumes your lender keeps the same loan-to-value ratio on the lower appraised value.
Extra cash needed to close at the contract price
$0
The gap between price and appraised value is $0

Three ways the gap can be resolved

Loan amount and cash to close, before closing costs, for each outcome.

How this is calculated: on a purchase, loan-to-value is figured against the lower of the sales price or the appraised value (Fannie Mae Selling Guide, B2-1.2-01). The loan is your planned loan-to-value times the lower number, and your cash to close is the price minus that loan. Closing costs, mortgage insurance, and program limits are not included. Government-backed and other loan programs have their own appraisal rules, so confirm the real figures with your lender. This is an illustration, not a loan quote or appraisal advice.