When it comes to buying or selling a home, there are a lot of things you need to do. Agreeing on a price, dealing with closing costs, and other tasks are all essential. One thing that may not come to mind, but that is vital is a home appraisal. Whether you are buying a home or selling your current residence, appraisal services are a necessity. But, an appraisal something that many don't understand the importance of getting. Here's what you should know about home appraisals.
Why It Is Needed
The first thing that you need to know about home appraisals is why they are necessary. Appraisals offer a professional and objective estimate of a home's value. If you are a seller, you can get an appraisal before listing your home to help you come up with an asking price. If you are a buyer and plan on taking out a mortgage, your lender will require an appraisal to make sure that you are paying fair market value. If the asking price is higher than the value of the home, your lender will typically not approve the home loan.
How Long They Take
Another thing that you should know about home appraisal services is how long they take. The appraiser will do a visual inspection of the property and use comparable home sales, the quality of the home, and also current market trends to come up with an appraisal. This appraisal will usually take somewhere between one and two weeks. While an appraisal will give you an estimate of how much a property is worth, it's important not to confuse it with an inspection. An inspection takes a closer look at a home to identify potential problems.
How Much They Cost
There are a few different factors that will impact how much home appraisal services will cost. The size of the home, it's location, and other qualities will affect the cost of the appraisal. On average, you can expect to pay between $300 and $450 for an appraisal. On the high end, you can end up paying $500 to $800 for your home's appraisal. It costs more to appraise large homes or homes where there are few comparable properties nearby.
When it comes to home appraisals, there are a few things that you should know. First, appraisals are often a necessity, especially if you are taking out a home loan. They typically take between one and two weeks in total. Home appraisals usually cost between $300 and $450 but can be pricier.