Home Appraisal Tips

You may be thinking of moving on from your present home or may be thinking of a refinance to buy another one. But then, how would you determine the price you would want for your property? This is when a home appraisal or your real estate appraisal would come in handy. On the other hand, if you are thinking of a refinance, an appraisal of your home would give you an exact idea of the amount you are eligible for getting another loan. We give you some tips, which, if followed, would assure you the best possible value.

If you are thinking of a refinance, the lender would usually use the services of an appraiser that they prefer. However, on the other hand, if you want to sell your home, you can opt to choose an independent appraiser.

During the appraisal, an inspection of your home would be conducted. This would include a visual examination of your house and the condition of the bedrooms, bathrooms, kitchen, etc. The appraiser would provide an estimated value of your house, which is based on two factors. The first factor is the cost required to construct a similar house and the second element that he would consider is comparing other houses in your locality which have been recently sold.

Getting the House Ready for Appraisal

Make the House Shipshape
One of the most important home appraisal tips is to make your house appealing, you can do this by improving its exterior. The outdoor surroundings of your home should look attractive, with green grass and not dead brown one. Make sure not to leave gardening tools like lawn mowers lying around, besides keeping the plants trimmed. It’s good to have landscaped garden with ponds, gardens, etc., provided they are maintained well. Ensure that not only the overall surroundings of the house looks great, but the exterior walls are also well painted.

Clean the Interiors
A day or two before the appraiser comes, make sure that you clean the walls, kitchen, and bathroom. The most challenging part is managing the clutter. If you don’t want your house to look small and unappealing, make sure that clutter is managed properly. Even if, you are planning to take away all the furniture, it may still look dirty. Moreover, random things here and there are bound to affect the appraiser. More the space your house seems to have, more the chances of its higher valuation.

Renovate Your House
Renovation would require some money. Buyers are attracted towards renovated houses, thereby increasing the value of your house. The most important rooms which should be renovated are the kitchen and bathrooms. Try replacing the cabinetry of the kitchen, as it takes much of the wall space thereby, affecting the kitchen style. Even though the other parts of the kitchen are up-to-date, but if the cabinets are old, it would reduce your home’s value. On the other hand, the bathroom should look spacious and there should be enough storage space. If there is enough space, try to include double sinks, as they are very popular. If the floors are old, update them or else the appraiser may be put off and it may affect the valuation.

Color and Decor
Always keep in mind that buyers picture themselves living in the home they are going to buy. So, put efforts in making the house look as big as possible. The walls and floors should seem as if, they are well maintained. You need to make sure that the colors are warm and inviting, which would ensure a better deal for you. It’s affordable and easy to replace paint, so make it a point to do it before you show your house to your prospective buyers, or the bank agent if you are looking for a refinance. The decor of your house will also effect the value of your home. It may seem troublesome as you may be moving your furniture and other belongings out, but then if the buyer sees the home dirty and things scattered here and there, he is bound to have a negative impression. So make sure that your house looks spacious, large, and tidy.

Repairs
If there are any problem areas make sure you fix them. Not only would the appearance of the house be effected, but it would have an impact on the price as well. For example, if there is a leakage make sure that you fix it. You give a negative impression to potential buyers and home inspection professional by not fixing problem areas and it may get in the way of you getting a good value. If you don’t fix things, your chance of asking for a better deal would get effected.

The bottom line of home appraisal for refinancing or for selling your house is to make sure that your house is in the best possible condition. It should not only be inviting, open, and clean, it should also look as big as possible. If you keep these things in mind, the asking price would definitely increase by a great extent. On the other hand, if you are the one who wants to buy a house, don’t overlook these points mentioned above.

Home Appraisal Cost

Be it buying or selling property, there are certainly a lot many formalities regarding the same. One of such formalities is getting a home appraisal done. This procedure has its respective advantages, both for the buyer of the house and the seller of the property.

What is a Home Appraisal?

This is a process that includes finding out the current price range of a particular property. This process is useful for the buyer, seller, as well as the bank who is offering a real estate loan for the purchase. By getting a home appraisal done, the buyer can determine if the seller is demanding more money than the market value. The bank would require these documents for processing the loan request made by the buyer for the property purchase.

On the other hand, the seller would be able to find out the value that he should receive on the real estate sale. The person or agency who does the home inspection is known as an appraiser. In the home appraisal procedure; the appraiser visits the property, clicks pictures, records the site measurements, and notes other aspects of the property, and eventually provides the requester with the report.

Types of Home Appraisals

Typically, there are three types of home appraisals that are done; namely from professional certified appraisers, real estate dealers and agencies, and online home appraisals. It will not cost you anything if you do an online home appraisal. There are some websites which give you a report according to the details you enter in, the location, and other similar factors.

Realtors may even give you reports based on their level of expertise and estimation. There are chances that they might charge you some amount for the service. If you avail the services of professional certified appraisers, you will have to pay a certain amount.

How Much do Home Appraisals Cost?

The cost is generally paid by the purchaser of the property. If you choose to get the home appraised by a professional appraiser, you may have to pay somewhere around $250 to $500. For a house worth $250,000 you may have to pay $300 roughly. Some professional appraisers may give you a separate report of the property prices in your neighborhood, for which they may charge an additional $50.

The cost also depends on how big your home is and the location of the property. Bigger the real estate, more will be the cost. For example, the overall cost to appraise a family home in New York City is $350; whereas in Bend, Oregon, it is somewhere around $475.

In some areas, the cost can even go up to a $1000. If you are want to appraise a property which is to be used for income generation, the cost would be more. In some loan programs, the buyer might be required to present a ‘drive-by’ appraisal report for loan processing, which may rule out the need for a full appraisal.

For a property buyer, spending few hundred dollars on a professional home appraisal is any time better than giving thousands of additional dollars to the seller.