NMLS# 3151

Tuesday, February 4, 2014

An introduction to home appraisals

A common question heard from our clients, especially those first time home buyers, is "what is involved with a home appraisal?"  It's a great question because the preparation for a home appraisal can be as important as the appraisal itself.  That's why below we've outlined the basics below so you can familiarize yourself with the process.

Click here for a Free Home Value Estimation

If you are buying a home
Make sure to let your lender know that you are ready to order the home appraisal.  You'll typically want to order it as soon as possible in case anything goes wrong or repairs need to be made.  This is an out of pocket expense prior to what you'll end up paying for your loan.  Appraisals generally range between $300 and $500.

If you want your current home appraised
Be prepared to gather a few documents pertaining to your home before you move forward with ordering a appraisal.  You will need a copy of your deed, a current property tax bill, and other documents.  Information about your mortgage will also need to be given to the appraiser.

Some considerations
You'll want your home to be in the best shape possible before the appraiser visits.  Make sure to pay special attention to how the walls look - paint them if necessary and fix any major damage.  Outside appearance is considered as well. The better your home looks to the eye the better chance of your value coming in higher. Plus, appraisals that require repairs often mean that the appraiser will have to come back out for a second visit, which will increase the cost of your appraisal.

Ask your lender for a free, home-value estimation.  RANLife offers one by submitting your home's information here.  This will give you an estimated idea beforehand of where your value sits.

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