When your appraisal comes in low, you have three moves, and they can be combined: challenge the value, renegotiate the price, or bring more cash. This page gets you through all three, with a signed decision, before your appraisal contingency expires. That contingency is the contract clause that lets you walk away with your earnest money.

Know this first: that deadline is usually 17 to 21 days from mutual acceptance, according to Opendoor. The appraisal often arrives a week or more into that window, so you may have only days left.

What to have open

  • The full appraisal report

    You need the appraiser's name, the effective date and the comparable sales used.

  • Your purchase contract

    Find the appraisal contingency and any gap coverage clause, which commits you to cover a set amount over the appraised value.

  • The lender's ROV disclosure

    On conventional loans, the lender must give you this with the appraisal.

  • Up to five sold comparables

    Nearby sales that closed in the last 6 to 12 months, backed by MLS or public records.

  • A number for the extra cash you can actually bring

    Savings, gifts or other sources your lender will accept.

Seven steps, in order

  • 1. Circle the contingency deadline.

    Worked when: you have a calendar date. Opendoor notes the contingency lapses unless you give written notice of the shortfall inside the window.

  • 2. Send written notice of the low value through your agent.

    Worked when: the seller's side confirms receipt before the deadline. This preserves your right to exit.

  • 3. Ask your lender which ROV rules apply to your loan.

    Worked when: you know your loan's process and the lender's turn time. See the loan-type notes below.

  • 4. File one Reconsideration of Value (ROV).

    Worked when: the lender confirms it went to the appraiser. Include your name, the property address, the appraisal effective date, the appraiser's name, the submission date, the specific errors, and up to five comps.

  • 5. Rerun your cash to close at the appraised value.

    Worked when: you have a figure for each outcome. Use the worked example below.

  • 6. Counter the seller.

    Worked when: you get a written answer. Ask for a price cut to the appraised value, a split of the gap, or seller credits.

  • 7. Send the signed amendment to your lender.

    Worked when: the lender confirms the new price and loan amount are in the file.

How ROV rules differ by loan type

An ROV asks the appraiser to reassess the value because of reporting errors, poor comps or information the appraiser missed.

Conventional: Fannie Mae and Freddie Mac adopted matching ROV policies on May 1, 2024. Under Freddie Mac Guide Section 5604.4, you get one ROV per appraisal, and it must be filed before closing. The appraiser must explain the conclusion in writing even if the value stays the same. The policies set response-time expectations, but our sources give no number of days. Ask your lender for its turn time.

FHA: In 2025, FHA rescinded its two 2024 ROV mortgagee letters. Your lender's own process now governs. FHA appraisals also stay attached to the property for 180 days.

VA: Under the Tidewater Initiative, you have a 48-hour window to submit comps before the appraisal is finalized, per Opendoor.

USDA and jumbo: None of our sources describe ROV rules for these loans. Ask your lender in writing.

The gap, worked through

Say your contract price is $400,000, the appraisal is $380,000, and you planned to put 10% down. Lenders lend against the lower of the price or the appraised value.

  • Price unchanged: Your planned $360,000 loan is now 94.7% of $380,000. LTV (loan-to-value, the loan as a share of the home's value) jumps. To stay at 90%, you borrow $342,000 and bring $58,000, which is $18,000 more than planned.
  • Split the gap at $390,000: You borrow $342,000 and bring $48,000.
  • Price cut to $380,000: You borrow $342,000 and bring $38,000.

A higher LTV can change your mortgage insurance and pricing. Our sources don't publish those figures, so ask your lender to requote both.

When the value will not move

Usually not on a conventional loan. Freddie Mac allows a second appraisal only when there are clear signs the first was inaccurate, not credible or discriminatory. Even then, the lender must use the most reliable value, not the higher one. Plan on this outcome: Opendoor puts ROV success at 10 to 15%.

If your contingency is still open, exit in writing before it expires. Without one, walking away usually means losing your earnest money. In one San Francisco deal reported by Hoodline, the buyer forfeited $50,000.

If that buyer uses FHA, the 180-day rule means the same low value follows the home. Point this out when you counter.

Conventional appraisals submitted on or after November 2, 2026 must use the new UAD 3.6 format. According to Mortgage Porter, your options stay the same: renegotiate, file an ROV, bring more cash, or exit.

Once the amendment is signed

With a signed amendment and an updated loan amount, underwriting can move toward clear to close. An ROV and a renegotiation can easily take a week. Before you sign, check your rate lock's expiration date against the new timeline.

Next: check your rate lock date

A week lost to a low appraisal can push you past your lock expiration. Find out what an extension costs before the lock runs out.

Read the lock extension guide