Buyers should know what the house is worth BEFORE they write an offer…
When you’re buying a house, you want to make certain you get “the most bang for your buck,” or, the highest value for your dollar. Yet, how do you know if you’re paying Fair Market Value for your dream home?
Simple, by hiring a certified property appraiser who will tell you the current value of your dream home before you put pen to paper.
By hiring a professional real estate appraiser on your own, you are getting an unbiased expert opinion of the home’s worth based on today’s ever changing, real estate market.
A home appraisal will determine if the contract price is appropriate given the home’s condition, location, and features. An appraisal could save you from potentially making an over-valued purchase.
Appraised Value. Why Is It Important When Buying A House?
A property’s appraised value is influenced by:
- Recent sales of similar properties known as comparables and current market trends.
- The home’s amenities.
- External or functional obsolescence.
- The neighborhood or community.
These are only some of the key factors in determining the home’s value.
A skilled appraiser will do a complete visual inspection of the interior and exterior of the home you are wanting to buy. Any conditions that adversely affect the property’s value will be in the notes.
The appraiser will then provide you with a complete analysis and report with his or her professional opinion of value.
Pre-Purchase Appraisal Benefits
There are many benefits in having a pre-purchase appraisal.
Having the home you are considering appraised before you sign a binding legal contract will:
– Reduce the risk of overpaying for the home.
– Be useful as a negotiating tool if the list price of the home is higher than the appraised value.
– Provide some insight as to how a lender may value the property. If you are considering obtaining a mortgage, this may avoid a future problem.
Sure, you can pay more for a property if you would
like to, but a lender is unlikely lend on a property that appraises below the contract price.
Also, you’ll have some hard facts and figures about the nature of the market (supply and demand) in the area you are considering buying in.
If you are satisfied with the appraised value and decide to write an offer, the report can be used to reinforce or support your offer or counter offer. The appraisal report can be attached to the purchase or counter offer when presented to the seller if needed.
Before you sign on the dotted line when buying a house or property, an independent appraisal by a certified real estate appraiser is key. Knowing the current market value of the home you’re interested in purchasing could save you money, stress and grief.
An appraisal is an important part of the home buying process that establishes a property’s market value. Some buyers are reluctant to order an appraisal because of the expense. When considering the overall price of the property, it clearly makes sense to get an independent valuation from us.
Not all appraisals are created equal but a good one is invaluable. When buying a house, don’t write an offer to buy without ordering an appraisal from us first. Let’s make sure you’re paying the fair market value. You can schedule an appointment here.
The law surrounding residential real estate appraisals is complicated and the facts of each case are unique. This article provides a brief, general introduction to the topic. As with any legal matter, we highly recommend consulting with an attorney.
If you have questions about using our service please click the button below and let us know.
“Hi, I’m Mac Mackenzie with Coldwell Banker, and Mark, I just want to tell you thank you for all your assistance in the area of appraisal. You’ve been able to save us countless transactions throughout the last few years; and if anyone should want your services I would highly recommend they give you a call first with appraisal. Thanks!”
