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Cenother difference between the purchase price and the de of real estate property, Tenders will determine their loan to Vale amount based on the rohe price appraised value adding the two amounts together and dividing by two the lesser of the appraised value or purchase price orgeloun om will help the home shopper by fering that he hopper know how much of a dollar amount of mortgage for which the quality etting that home shopper know what price range of homes he/she can afford All the prowded answers are correct making rea/tors/home sellers more receptive to working with the home shopper since the realtor/home seller know the home shopper can qualify to purchase their property