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What an appraiser says a home is worth. This value is based on how much comparable homes recently sold for in the neighborhood.
Appraisal contingency
This is ensures that the property is actually valued at the price that was agreed-upon per the contract. If the property ends up appraising for less than the agreed-upon amount, the contract may be terminated by the Buyer.
Appraisal gap coverage
The difference between the contract price which covers an agreed-upon difference between the purchase price and appraised value. This is often used to accommodate appraised values that aren‘t able to keep up with fair market value.
Appraisal Management Company (AMC)
An AMC works as a middleman between real estate appraisers and lenders. They are an independent management company that acts on behalf of appraisal users.
