What is it?
A real estate appraisal is when an authorized appraiser valuates your home to give buyers and sellers an idea of what the home is worth. All mortgage lenders require home appraisals before they will give out loans, and it can be very beneficial to know the value of your property.
What’s it based on?
Appraisers look at many factors before arriving at a monetary value of your property. Some really important things taken into consideration are the square footage of the home, the number of bedrooms and bathrooms, location, and the current condition of the home.
Can I do it myself?
For a quick estimation of what your home might be appraised for, look at some comparable recently sold homes in your area that feature the same qualities and amenities your home has. Chances are, if your homes are similar and in the same location, they will be appraised for around the same value. Though you can estimate it yourself, it is required to have your home professionally appraised in most circumstances.
How do I prepare?
Make sure you create a list of any improvements that you’ve made within the past few years in the home for your appraiser. Some of these improvements or renovations could increase the value of the property, so it’s important to speak up about the money you’ve put into the home.
What else are they for?
Home appraisals are not just for people who are buying or selling homes. Getting an appraisal can also be useful when it comes to refinancing, home equity loans, and tax reassessments. The amount your home is appraised for can affect whether your home can be refinanced to another amount, whether you can receive the loan amount that you want, and could influence your annual property tax.