Why Appraisals Matter
If you’re in the process of buying a home, the word “appraisal” might come up and leave you wondering what it really means. The truth is, it’s a key step that can decide whether your mortgage gets approved — and it plays a big role in how much your lender will actually let you borrow.
Understanding how appraisals work can save you from surprises later and help you move through the buying process with confidence. At Lendgo, we want you to feel ready for every step of your home-buying journey — and that includes knowing exactly what to expect when the appraisal is ordered.
What a Home Appraisal Really Is
A home appraisal is a professional, unbiased opinion of a home’s market value. Your lender orders it to make sure the home is worth at least the amount you’re planning to borrow.
Think of it as a reality check: it protects you from overpaying for a property and helps your lender feel confident about financing the purchase.
How the Process Works
The appraisal process is fairly straightforward, though it can feel like a mystery if you’ve never been through it before:
- Home Visit: The appraiser visits the property and evaluates its condition, size, layout, and key features.
- Market Research: They compare the home to recent sales of similar properties in the neighborhood.
- Appraisal Report: The appraiser issues a report with the estimated value, which your lender uses to confirm the loan amount.
Most appraisals are done within a week or two, but timing can vary depending on how busy your local market is.
When the Appraisal Comes in Low
Sometimes the appraised value comes in lower than the price you agreed to pay. While this can feel like a setback, it doesn’t have to stop the deal. Here are your options:
- Negotiate with the Seller: You may be able to lower the purchase price to match the appraised value.
- Cover the Difference: If it’s within your budget, you can pay the gap out of pocket.
- Ask for a Second Look: You can request a reconsideration if you believe the appraiser missed something important.
- Walk Away: If your contract allows, you can cancel without losing your earnest money.
This is why knowing your budget before you make an offer is so important — you’ll already know what you can handle.
Why This Step Is Important
An appraisal protects both you and your lender. It helps ensure you’re buying a home for a fair price and that you won’t end up with a mortgage that’s bigger than the house is worth.
When you understand this step ahead of time, you can plan for it, react quickly if the number isn’t what you hoped, and keep your home purchase on track.
Get Ahead with Lendgo
While you can’t control the appraised value, you can control how prepared you are. With Lendgo, you can:
- Use our Mortgage Calculator to set a smart budget before you shop
- Get pre-approved so you’re ready to make an offer when you find the right home
- Compare real offers from multiple lenders to choose the one that fits your goals
Preparation makes the whole process smoother, even when surprises pop up.
Get Your Free Mortgage Quote Now
Final Thoughts
Appraisals don’t have to be stressful. When you know what they are and why they matter, you can approach the process with clarity. Lendgo’s tools and resources help you plan ahead, shop smarter, and move toward closing with confidence.
Take the next step today — check your numbers, get pre-approved, and connect with lenders who want to work with you.
