subject: Factors Affecting the Home Appraisal Process [print this page] Factors Affecting the Home Appraisal Process
There are many factors that govern the home appraisal process in Seattle FHA. The home owners have got a certain picture regarding the cost of their home. But the actual cost of the home is decided by the market forces that are prevalent at the time the process is initiated. In addition it is the lenders that determine the cost of the home. The terms and conditions that are set down by the lenders are to be followed by the home owners as well as the appraisers. For instance if the home owner has installed a custom pool that cost him around $30,000 but the market forces set the cost at around $ 15,000 then the cost of the pool would be fixed at $15,000.
It is a known fact that the home appraisal system is a very complicated process. The major reason being that the lenders put strict regulations on the buying as well as the selling of the property in the area. It would be advisable that the home owners, the Seattle First Time Home buyers and the appraisers understand that the lenders almost always have the last say on the sale and purchase of the property in the area of Seattle FHA. Another factor that has to be taken into account is the fair market value of the home that is in question based upon the rate of the property in the area.
In case the home is the newly built home then the price that the home owner would decide would be the final one as the construction of the new home had to be done by putting in an extra investment. But in case the home in question has just been remodeled then the price that the lender would put on it would be the final one, as the similar remodeling done in the area would be taken into consideration. The final appraisal would also depend upon the market activity that had taken place during the last six months. The main agenda of the appraisal process is that the appraisers do not play smart and over value the home in question. The lenders would safe guard that and make sure that the property is valued properly. There would always be certain safeguards in place to prevent the appraisers in overvaluing the property. The lenders would make sure that they have a look at the closed as well as the pending sales to keep a scope of negotiation alive.
It is always advisable to the appraisers as well as the home owners that they act according to the guidelines as put forth by the lenders and stay tuned with the system. The first time home buyer Seattle should be given a clear picture regarding the home appraisal process in Seattle FHA.
