Real Estate Appraisals

Real Estate Appraisals

A real estate appraisal (also known as a property valuation) refers to the process of valuing property.
Knowing the market value of a property is important for several reasons:

Property value is often used as the basis for mortgage loans
It is often used to calculate property taxes
It is used by seller’s to price the property
It is used by buyer’s to negotiate on the purchase price of property
It can be used to settle estates or divorces
The property that is being appraised is called the “subject property” and subject properties should always be appraised by a licensed professional or certified appraiser.

The property appraisal is usually extensive in detail. It will describe the area in which the property is located and will also compare the property to similar properties within the same neighborhood or subdivision. The appraisal will also uncover any serious faults with the property, whether it has to do with the actual infrastructure of the home, or the home’s surrounding land that could eventually affect the foundation. All of these details help to determine the true value of one’s home.>/p>

If the home is about to be sold, the appraisal may also include an estimate of how long the property will take to sell – an especially important detail for the current homeowners.

Appraisals only take a few hours to complete. However, once an appraisal has been ordered, it may take several days for the appraisal company to make it out to the property. Property appraisers actually have busy seasons; when interest rates are low many homeowners want to refinance – which requires a property appraisal. Busy seasons often result in slower turnaround time. jvazquez

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