subject: Tips To Get The Most Value Out Of Your Home Appraisal [print this page] You have found a buyer for your home and have agreed on a price. The buyer has been approved for the home financing. The only thing standing in the way is the home appraisal.
Sales Contract
There is an old adage in real estate; a home is only worth what someone else is willing to pay for it. As the home appraiser begins the process of determining the homes appraised value, the purchase agreement (also known as the sales contract) is used to establish the home's worth. A home's worth is established when someone (a buyer) agrees to pay you (the seller) a set dollar amount to purchase your home.
Existing Home Sales
The county courthouse keeps a record of all real estate transactions within their county. The appraiser uses this information to locate comparable properties. Comparable properties are similar is both size, style, construction type have sold within the 6 months, and is located within 15 miles of the home that is being appraised. If available, the home appraiser will prefer to use comparables that have closed within the last month and are located 0-3 miles of the home being appraised.
Appraisers will also use the following in selecting comparables: lot size, upgrades in the home, square footage, condition, and year built just the name a few in establishing value. Appraisers will use a minimum of 3 comparables within their report.
Closing Remarks
On the day of appraisal, be available to discuss any repairs or renovations with the appraiser. Have your home cleaned and any clutter removed and cut the grass. Having the interior and exterior in great shape when the appraiser sees it will make a great first impression.
