What do you do when appraisal comes in low?

[Amelia G]

With the low interest rates and low inventory, it seems like a great market to sell or refinance, but appraisals can be gravel in the gears. What do you do when an appraisal comes in low, if the home is hard to find comps for, if you get an appraiser who doesn't take much care, if the market is just hotter than an appraiser's opinion?

[Joseph Firmin]

Come prepared to the appraisal, do your own analysis, run your comps, have a list of all improvements and the costs associated. Provide these to the appraiser. Make sure they know you're in a position to dispute (without saying it of course) a low appraisal that isn't substantiated.