Florida Buyer's Guide · Step 5 of 7
Appraisal
If you're financing, your lender will order an appraisal to confirm the home's value supports the loan.
In the AS IS contract, the appraisal is part of loan approval (Paragraph 8). Once you give notice that your loan is approved, a low appraisal alone no longer lets you cancel and keep your deposit.
What it is
- An independent opinion of the home's market value, prepared by a licensed appraiser for your lender.
- Your lender orders it. You usually pay for it.
- Cash buyers don't need one, though some order one anyway.
How the AS IS contract handles it
- Financed purchases: if the appraisal doesn't satisfy your lender and you can't get loan approval, the loan contingency protects your deposit, as long as you act within the loan approval period.
- Appraisal Contingency Rider (Rider F): an optional rider that adds protection tied to the appraised value. We'll talk about whether to include it when we write the offer.
If the appraisal comes in low
- Ask the seller to lower the price
- Pay the difference in cash
- Split the difference with the seller
- Cancel, if your contract terms and deadlines allow it
Common Questions
Is the appraisal the same as the inspection?
No. The appraisal is about value. The inspection is about condition.
Can I see the appraisal?
Yes. Your lender has to give you a copy.
This guide is general information about the Florida Realtors/Florida Bar AS IS Residential Contract for Sale and Purchase (ASIS-7x) and the Florida Realtors buyer brokerage forms. It is not legal advice. Day counts shown are the form's defaults and apply only when the blank is left empty; your contract controls. For legal questions, consult a Florida real estate attorney.