If you haven't yet seen it, please take 8 minutes + 34 seconds to watch this episode of Legal Bites from the Colorado Association of Realtors.
https://youtu.be/IrdJ35p9wQQ
Scott Peterson talks about how the Appraisal Gap language that can lead to problems is often one-sided: requiring the Buyer to bring extra cash if the appraisal comes in low, but not requiring the Seller to lower the purchase price in order to match the appraisal. (Great if you're the Seller, not so much if you have the Buyer, right?)Please take extra care when writing/using these clauses, make sure that your client thoroughly understands the Appraisal Gap, however it's written, and let us know if you have questions!
