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Appraisal came in lower than expected—now what?

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space_apollo
Posts: 16
(@space_apollo)
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You're spot-on about the slow shift. A few years ago, I built a custom home for a client who went all-in on energy efficiency—geothermal heating, triple-pane windows, the works. When appraisal time came, same story: barely any recognition of those upgrades. But recently, I've noticed appraisers starting to catch up, especially as buyers become more vocal about wanting greener homes. It's frustrating when you're ahead of the curve, but your investment isn't wasted...the market's definitely moving your way, even if appraisals are lagging behind.


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Posts: 12
(@running548)
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Had a similar experience recently with a passive solar design. Client invested heavily in orientation, insulation, and thermal mass—yet appraisal barely budged. Thankfully, buyers are starting to push the needle...hopefully appraisals will catch up sooner rather than later.


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nicktrekker569
Posts: 7
(@nicktrekker569)
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Curious—did the appraisal specifically mention passive solar or energy efficiency at all? I've noticed appraisers often gloss over these details, probably because they're still using outdated comps. Had a friend recently who installed triple-pane windows and radiant floor heating...appraiser barely blinked. Maybe it's time appraisal standards caught up with building tech? Seems like buyers are already there, but valuations lag behind. Wonder how long it'll take before appraisers start factoring in real-world energy savings consistently.


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bentrekker656
Posts: 8
(@bentrekker656)
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Good point about appraisal standards lagging behind. Do you think it's mainly because energy-efficient upgrades are harder to quantify, or is it more about appraisers sticking to familiar comps? Seems like a bit of both...


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Posts: 8
(@scottf43)
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"Seems like a bit of both..."

Yeah, agreed. I've noticed appraisers often lean heavily on familiar comps because it's straightforward and less risky. Energy-efficient upgrades are trickier—unless there's clear data or local market demand backing them up, they tend to get undervalued. Just my two cents...


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