Newsflash: Low Appraisal – sale cancelled due to low appraisal – How can we ensure this doesn’t happen next time?

We listed our house on 4/25 in a hot market for $275,000. In under 48 hours we had 7 offers. We accepted an offer 20k over our list price with assurances from the buyer’s agent and lender that they had cash to cover a gap between an appraisal and contract price should it come in lower than their $295,000 offer. We kinda expected the appraisal to come in at $280-285k. Everything went well with the inspection. However the appraisal came in at $262,000. This was a huge shock.The appraiser refused to use any recent sales of split levels as comps. Our home is a rambler and he would only use those as comps. Our neighborhood is about 60% splits and 40% ramblers. It’s already low inventory and there just wasn’t any ramblers that we’re comparable to ours. So we cancelled the sale because the buyers were only willing to cover 3k over the appraisal. The lender wouldn’t allow a 2nd appraisal. And the buyers would not switch lenders because they were working with a family friend.So now we are back on the market as of last night with 21 days on the market. I’m worried there won’t be as much interest now, but in this market I’m sure we will still have offers this weekend.My question is this: is it the norm to not consider different house styles when doing comps for an appraisal? Or did we just get a bad appraiser? A few houses sold around the same time as ours so they will be available to use as better comps for the next appraisal, but I think most of them were split levels. I want to be strategic with whichever offer we accept so we don’t have to go through this all again.

Read more at https://www.reddit.com/r/RealEstate/comments/bpbpsr/low_appraisal_sale_cancelled_due_to_low_appraisal/?utm_source=ifttt

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