What is Included in an Appraiser Inspection?
The real estate appraisal is one of the first steps in the home buying process. By establishing the value of the home and the property, they will be establishing the reasonable price as well as the market value in relation to the rest of the neighborhood. But if you're new to this whole process, it can be helpful to find out exactly what happens during this appraisal so that you know what your role to play is and what will be happening on this particular day.
Where Will I Find an Appraiser?
When you are the home buyer, you will not be calling the home appraiser to come out to appraise the home. This will be the responsibility of the lending institution you are getting your mortgage with. They will call in an appraiser to determine the actual value of the home in order to create the best lending contract based on this value. If you want to call in an independent appraiser as well to make sure the values are correct, that's your prerogative to do so, though not many people do this. Appraisers will be found through appraisal companies as well as in their own personal self-employed businesses.
How Long Does the Appraisal Process Take?
For a process that's so important to a home buying arrangement, that actual appraisal will only take five to fifteen minutes, depending on the size of the property – at least, at the home. When the appraiser leaves, they will then be looking at other properties in the area to see what their values are in relation to the home being appraised. They are looking to see which homes were sold recently and how much they were sold for. This information is then put into a report when they get back to the office, often taking four hours to complete and ending up as about ten pages of information for the lending institution to consider.
Does This Include an Inspection?
The real estate appraiser is responsible only for determining value based on square footage, as measured from the outside of the house. The actual systems inside of the home are not inspected, though the rooms are surveyed to see how large they are and what features may be interrupting the value of the home. The inspection process is a different appointment that determines the safety of the property and home rather than the value.
What is My Role in the Appraisal Process?
When the appraiser is at your home, you generally don't have to do much of anything unless certain improvements would not be evident during their survey. Most physical changes to the home will be easily spotted by the appraiser – but if you're concerned, be sure to let them know about things you think they need to know (especially when you're the seller).
The home appraisal process is a painless appointment that should not be something to fear. It's a time to find out the true value of a home and of a home purchase decision
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