How often do properties sell for less than appraised value?
This is a difficult question to answer because it suggests that listed properties typically bring their appraised price which is not true. Appraisals, while helpful in making decisions are an imperfect science. They are predictions of what a property should bring based on the best available comparable sales in the marketplace. If there are an abundance of sales of very similar properties, then the appraisal is probably an excellent prediction of price. If there are few sales of similar properties, then the appraisal may be very high or very low compared to actual sale price. This holds true in both traditionally listed properties, and for auction properties. We have sold properties for substantially more than appraisal, and for substantially less. In all cases, the seller agreed to the price, and the appraisals were in error by the amount they differed from the actual sale price.
