I'm sure this has come up before. I'm an investor in the Philadelphia, PA area. There are frequent posts on the message board of my local investor group--DIG-Diversified Real Estate Investor Group http://digonline.org/--complaining about deals being killed by appraisals coming in below the agreed upon sale price. I had it happen to me last year. I had a signed agreement on a property for $54k and the appraisal came in at $52k. I could have walked away, appealed the appraisal, gotten a second appraisal, etc but did not because I was cash strapped and I wanted to get out from under the property. My question regarding this situation: Is there a reason that appraisers would be giving under market valuations to properties or is this just a matter of properties in this market being worth less that buyers/sellers think they are? I am fairly new to the Real Estate domain so correct me if I am wrong but as I understand it legislation has been enacted to break the formerly close ties between appraisers and banks. The Appraisal Management Companies have been created to prevent the banks from directly choosing/having undue influence on the appaisers that they employ, correct? In this environment, why would an appraiser have a reason to give a value any different than what they actually believe it to be? What is the consequence to the appraiser of giving too low or high a value to a property as determined by actual sales data? I have read that the best way to get a fair appraisal is to meet the appraiser at the property being appraised and provide what you believe to be reasonable comps. Do you agree? Please provide any other advice you could give in this regard. Thanks in advance for replies.