If the property fails to meet minimum property standards, the appraiser will note the deficiencies in their appraisal report. For the loan to proceed, the lender will require the defects to be addressed to get the home to a passing standard.
At this point, the buyer must reach an agreement with the seller over who will finance the repairs to bring the property up to standard. If an agreement cannot be reached or the appraisal price is low, you'll likely have to resume the house hunt.
This can be disheartening. It isn't easy to let go of a home once you've envisioned it as yours.
However, the situation is not as powerless as it seems. While buyers cannot replicate the appraisal process, there are some key items you can look for. Identifying potential red flags during the home search can bring peace of mind that you are doing everything in your (limited) power to avoid a home appraisal failure.