The 411 on Real Estate Appraisals

Whether you’re looking to borrow money with your home as security for the loan and your lender requires a real estate appraisal prior to lending, or you’re simply curious about how much your home or real estate would go for if put on the market, a real estate appraisal is what you’re looking for.

• Real estate appraisals are detailed reports done by trained and state licensed appraisers who are required to complete coursework and internship hours in order to become familiar with home values and the real estate market.
• Depending on the lender, they may have an appraiser on staff who they know are comfortable working with. If not, you may be allowed to choose the appraiser, in which case the final appraisal will be subject to review prior to being accepted. Be sure your appraiser is an objective third-party with no financial affiliation with either party involved.
• Appraisals are the only form of documentation a bank will use when determining whether or not to lend out money which means they are taken seriously and official. They also cost money to complete and you will probably pay for this cost when you apply for your loan.
• Depending on where you live, you should look or an highly respected appraiser in your area. The internet is a great resource for finding well-liked appraisers. Use your search engine to find a local appraiser by, for example, searching for ct real estate appraiser and see what comes up in your area.
• Appraisals usually include a detailed report about the property and a comparison to three similar properties as well as an overall report of the real estate market in the area the home is located in. Your appraisal will also include notes about your property structure and property value and things that may increase or decrease that value.
• While home appraisals are a good indication of the appearance and structural quality of a home, as well as the location and quality of comparable homes, it is not an indication of the complete condition of the home. If you are using a home appraisal as a guide for buying homes, be sure to go and check them out yourselves – check appliances, structure, location, etc. for yourself.