Close Faster & Save: Skip the Appraisal

Buying a home? Slash closing costs and speed things up by waiving the appraisal! You'll save money on the appraisal fee itself, and potentially close quicker by avoiding appraisal delays.

Pros of an Appraisal Waiver:

• Save money: Appraisals can cost anywhere from $600 to $2,000 [What Is An Appraisal Waiver In Real Estate? - Bankrate]. Skipping that can be a nice chunk of change.
• Speed up closing: The appraisal process can take time to schedule and complete. Bypassing it can lead to a faster closing on your new home 

Cons of an Appraisal Waiver:

• ​Overpaying: The biggest risk is that you could pay more than the house is worth. Without a professional appraisal, you might not have a complete picture of the home's value [Bankrate].
• Loan issues: If the appraisal comes in low, it can hold up the loan or even cause it to be denied. With a waiver, that's not a risk, but it also means you might not be able to get the loan you need if the house is overpriced 

An Appraisal Waiver might be a could fit :

• You're putting down a significant down payment (reducing the loan amount).
• You're very confident in the home's value based on your research.
• You're in a competitive market and need a fast offer.

In short:
An appraisal waiver can be a good option for some buyers, but it's important to weigh the risks and rewards carefully. If you're in a competitive market and want to make your offer more attractive, a waiver might help. But if you're concerned about overpaying or you need a specific loan amount, an appraisal might be the safer route.
Want to learn more? We can help you decide if an appraisal waiver is the right move for you. Contact Heartland Financial & Mortgage today. 

---