Short answer
An appraisal is a supported professional opinion as of a specific date, not a permanent price tag. Values can differ because of the effective date, assignment purpose, inspection scope, available sales, comparable selection, adjustments, condition information and market movement. A difference does not automatically prove that one report is careless.
The client concern behind the question
A homeowner received a higher value last year or through another lender and expects the new appraiser to match it. The mortgage strategy depends on the older number even though the market and assignment have changed.
A practical Ontario example
Illustration only: One appraisal was completed for a purchase in March after a full interior inspection. A refinance appraisal occurs six months later after new comparable sales and with updated condition information. The two reports answer different assignments on different dates.
Questions Rajiv would ask first
- Are the effective dates the same?
- Were inspection scope and property information equivalent?
- Did the market or comparable inventory change?
- Were reports ordered for the same purpose and intended user?
- Do factual differences explain part of the gap?
Practical routes to compare
- Compare the reports’ facts and dates before comparing final numbers.
- Correct verified errors through each commissioning client’s process.
- Do not plan a refinance solely from an online estimate, tax assessment or old appraisal.
Realtor, appraiser and mortgage broker roles
The Realtor provides market context, comparable-sale evidence and offer or listing advice. The appraiser develops an independent opinion for the stated client, purpose, effective date and scope. Rajiv explains how the commissioning lender uses value, which approval conditions remain and what other lender structures may be practical. The lawyer addresses the buyer’s contractual exposure. A CMA, appraisal, purchase price and municipal assessment can all show different numbers because they do different jobs.
How value changes mortgage mathematics
The accepted lending value affects loan-to-value, down payment, available equity and sometimes pricing or insurance. Strong income does not replace inadequate property security. An A lender is usually considered first when borrower and property fit. Alternative lenders may take a broader view at higher cost. MIC and private mortgages can sometimes bridge a shortfall, including interest-only or flexible terms, but the total cost and written exit must be workable.
Verified public guidance
CMHC describes value as a snapshot tied to current market conditions and similar sales. AIC standards require the report to state purpose, effective date, scope, assumptions and analysis.
Read the primary source. Source checked 2026-09-03. Appraisal standards guide the appraiser; each lender still decides its approved panel, report type, acceptable value, property policy and lending decision.
Pressure-test the answer
The plan may fail if the report cannot be transferred, the lender refuses another appraisal, new comparable sales do not support the requested value, property information is unverified, the appeal misses the deadline, or short-term financing has no realistic exit. Correct facts, preserve independence and run a fallback while any reconsideration is pending.
Documents that may help
- Purchase agreement, MLS listing and property data sheet
- Survey, floor plan, permits, zoning and legal-unit documents
- Dated renovation list, invoices and before-and-after details
- Current leases and operating information when relevant
- Recent closed comparable sales with factual comparison notes
- Lender conditions, appraisal reference and contractual deadlines
Related AskRajiv guidance
Continue with how mortgage appraisal is completed ontario, appeal low mortgage appraisal reconsideration value.
Get an appraisal-gap mortgage strategy
Use Rajiv’s direct mortgage strategy form. Include the supported value, required mortgage and deadline so the discussion begins with the actual gap.
Source and review
Reviewed by Rajiv Verma, Mortgage Broker on 2026-09-03. Educational information only; not appraisal, legal, real-estate, tax or mortgage approval advice.