We can’t always tell if a home merits its price on the market. Whether you’ve decided to buy or aim to sell, you may know about one of the most crucial steps: home appraisals. Wonder how they work for people on both sides of the process? We’ve got the answers to some of the most common FAQs about getting a home appraisal.
Q. What is a home appraisal?
A. The most basic—and most crucial—item on our FAQs about getting a home appraisal is simply knowing what it is. A home appraisal occurs when a real estate appraiser determines the worth of a home or property. Notably, they work independently and must have a license.
Q. Who pays for the appraisal?
A. Usually, the buyer pays for the appraisal. Still, you can discuss having the seller pay instead or having the price deducted from the overall cost of the home. Talk it over with your Realtor!
Q. Why should I make sure to organize a home appraisal?
A. No one wants to overpay! An appraisal can prevent that. Not to mention, it helps to have a concrete valuation on your home around the time of purchase. Additionally, sellers can avoid losing money on their home by ensuring it will go for a fair value.
Q. Which factors can influence a home’s value?
A. A variety of factors can determine the value a home receives during appraisal. They include:
- Improvements, like multi-purpose kitchen islands, new water heaters, or added hardwood floors;
- Curb appeal;
- Zoning;
- Landscaping;
- Neighborhood; and
- Square footage, both total and in each room.
It usually pays to stay up-to-date with the trends, too!
Q. What factors will decrease my home’s value?
A. Just as some factors can increase your home’s value, others can decrease it. Both buyers and sellers should make themselves aware of:
- Overgrown trees, grass, or weeds;
- Peeling paint;
- An unfinished basement
- Older units and appliances;
- Outdated features, such as shag carpeting; and
- Fixtures and areas need of repairs.
Q. Should I tidy up prior to my home’s appraisal?
A. Sellers should absolutely tidy up prior to their home’s appraisal! Dirty homes will not display properties in their best lights. Plus, having clutter in the way—or even furniture pressed against the walls—can make it impossible for your appraiser to do his or her job. You should clean your home, mow your lawn, and give plenty of space for your appraiser to measure.
Q. As a seller, do I need to give any documents to my appraiser?
A. Absolutely! Prepare a thorough list of any changes you’ve made to your home. They can easily add to the value. They also are necessary for your appraiser to complete an accurate assessment.
Q. What can I expect to happen during a home appraisal?
A. The appraiser will come prepared to take photos and do an inspection of the home and lot. During the process, he or she will also measure different areas. So, make sure the walls and doorways remain clear. After that, the appraiser will note all relevant information on the Uniform Residential Appraisal Report form. From there, the report reaches the lender.
Q. How long does the in-person appraisal typically take?
A. Overall, the in-person process lasts for half an hour to an hour.
Q. What happens if the appraisal leads to repair requests?
A. Buyers and sellers—if an appraisal leads to repair requests, don’t panic! Instead, negotiate. You have several options—and your Realtor can guide you through them. They may include sellers paying for repairs, as well as buyers paying for repairs, but receiving that cost removed from the overall price of the house. Remember, good communication is key!
Summary
You’ve taken one step closer to mastering the real estate market! Now that you know the answers to these FAQs about getting a home appraisal, you have all the power.
In the past year, many of those among of us have craved change! That includes moving. If you’ve reevaluated what kind of home and features appeal most to you, Ryan Roberts can help you find just the place. He can also give you the guidance you need to sell! Contact him here to begin. You can also visit his blog to learn more about the market!
