#Home appraisal checklist pdf professional

Your agent will typically look at five or six comps but sometimes can examine up to ten.Ĭomps are selected from your immediate geographic area. The feature that tends to pull the most weight in home appraisals is the selling price of similar homes, known as comparables or 'comps' for short. The appraisal agent will also consider the following things:

The finishing details in the home (such as the material of the countertops and floors).

Whether the basement (if included) is finished or unfinished.

The quality of natural light in the home.

How many bedrooms and bathrooms there are.

Here are just a few of the things the appraisal agent will consider about the home itself: There are many factors that go into deciding a home's fair market value. What is Evaluated during a Home Appraisal? Lenders will always compare the sales price of the home to its appraised value to ensure this. This would be too risky for the lender as the value of the asset would then not be enough to support the weight of the loan. It would not make any sense to approve you for a $350,000 mortgage on a $300,000 house. That is, if the home is worth $300,000, the mortgage needs to be exactly that much. The long answer: your lenders need to make sure that the amount of money that they are giving you for your mortgage matches the property you would like to purchase. The short answer: because your lenders say so! However, if you are still unsure, be sure to ask for references for the appraiser and ask as many questions as you need. He could then structure his review to ensure that it goes through.Īs mentioned, there are regulations in place to prevent this, especially since 2008.

Sometimes, an appraiser who works with the same bank on a regular basis might know the proposed loan amount in advance. » MORE: Should I get an appraisal before selling my house? One Caveat to the Accuracy of Home Appraisals

#Home appraisal checklist pdf professional

You can feel confident trusting your appraisal agent's professional opinion on the value of your home. These appraisal agents are also licensed through a state agency that enforces the Uniform Standards of Professional Appraisal Practice, along with many other regulations. You only pay the inspector a flat fee for his services.īecause of this, you can be sure that the person is not inflating or deflating the value of your property for personal gain. This means that they do not receive anything from the sale of your home.

This person has absolutely no stake in the value of your home. You can be sure that the results you receive are accurate.Ī state-licensed professional home appraiser.

This way, the firm can ensure the amount of money it lends you to pay for the home does not exceed its value.īecause an independent agent conducts your home appraisal, it is fair and impartial. The lender you are using to underwrite your mortgage needs to know the fair market value of your home. A home's worth is also known as its fair market value. In short, a home appraisal helps you and your listing agent determine what your home is worth in the current housing market. This home appraisal checklist covers everything you need to know about getting your home appraised, from start to finish. Are you a top realtor? Join Clever’s networkĭo you want to close more loans? Join Clever's partnership programįind an agent The Ultimate Home Appraisal Checklist