All Forum Posts by: Gabriel Sanabria

This is exactly what @David A Lisowski said. This is simply a way to keep your EMD. The lender will decide whether the deal can close based on appraisal regardless of what you agree to, no appraisal no loan, then if you don't cover the difference you lose your money. This is a deal breaker for me.

Appraisal concerns are certainly a factor but it may not pass an inspection either.  When no contingencies becomes the contingency, it's an attempt to take away the normal safeguards in a real estate transaction. Before making an offer, you should have comparable sales to support the price - and if not, don't accept the mandate. I would also ask them to provide proof that the property will have an acceptable 4-point for the engagement of insurance before an inspection contingency would be waived.  Proceed with care - if at all...

Yeah, the listing agent realizes the price is way to high. They know it won't appraise, in this market I'm sure the price will drop and the contingency will be lifted after the house sits for a while. Not many people want to over pay for a home going into 2023. @Gabriel Sanabria

@Gabriel Sanabria they are afraid the property will not appraise. Usually that is one of the reasons you can get your emd back. If it appraises for 350k and your offer is 400k you would need to bring an additional 50k to the closing table.

Quote from @Gabriel Sanabria:

Hello all,

When a listing agent is specifying that "All offers MUST have No Appraisal Contingency." what could they be avoiding with it?

I was going to say hmmm, this is so last March... but you are in the hottest market of the lower 48.
They are saying you can't legally back out with an under-appraisal.   Most financing contingencies have the must appraise for PP or higher language built in so this may make a cross out and initial situation.
All this to say basically, the seller is looking for all cash offers only. 
 Is this a commercial deal?   Either way, have other contingencies like inspection that may be allowable.   Or don't bother buying in the hottest seller-'s market in the country right now.  Not every deal is good.