Why Do I Need A Home Appraisal: Get The Facts
July 1, 2016 6:34 pmLevine Homes Real Estate clients sometimes ask us, “Why do I need a home appraisal?” Having an appraisal performed is an excellent way to add confidence to any statement of value regarding a property. An appraisal is often part of the buying or selling of a home, but what exactly is this value and how can it help you?
Appraisals Contain Valuable Financial Information
An appraisal is a formal statement regarding the value of a home or property. This information is obtained by, first, having a thorough inspection of the home or property completed, and, second, by a comparing the appraised property with the value of relevant nearby properties. Homeowners should know the appraised value of their home before mortgaging, refinancing, or selling. Homebuyers should ask about appraisals to ensure that the stated value is an accurate reflection of the home’s current condition, not the condition it was in five years ago, or the potential it holds after repairs are completed.
Home appraisals are valuable for other reasons, too. For instance, if you work from home then the value of your home office can be declared on your taxes; knowing the exact value of your office’s square footage is important for tax purposes. The value of your home may also have an impact on your property taxes. Clearly, there are numerous important reasons to have an accurate and up-to-date home appraisal.
Do I Need an Appraisal?
An appraisal can be conducted for any of the above reasons. In some cases, this is a necessary step and sometimes it is optional, though recommended. People wondering how to get a home appraisal can speak with a real estate agency about recommended appraisers; these professionals can also be located online.
Making the Most of an Appraisal
Homeowners can positively affect the appraised value of their home by making an effort to clean and prepare the entire property as thoroughly as possible. A tidy, well-tended yard is more desirable than a messy overgrown one; therefore it will be given a higher value. Updated amenities and features also positively influence an appraisal. A visit from a professional housecleaner or a property management service can help you prepare for this important appointment.
Consider investing in a few improvements, if possible. These can include:
Fresh paint
Updated plumbing fixtures
New countertop and cabinets
Updated lighting solutions
Smart home technology
Even a minimal investment in updating the appearance of a home’s interior or exterior can have a profound effect on the property’s appraised value.
Where to Go for More Information
To learn more about the appraisal process and how it differs from processes such as home inspection, refer to your Levine Homes Real Estate agent. We can tell you more about this important statement and how it can affect your property.