You've likely heard the term before, but do you know all that goes into an appraisal, and even what it is for?
Selling your Greater Phoenix Home? Get a free home value report
Buying a Greater Phoenix Home? Search all homes for sale
Let's talk about appraisals.
An appraisal is a third party getting the value of a home in the most scientific way possible. The appraiser is neutral, so unlike buyers, they won't have an emotional connection to the home or its value. They use comparable properties in the neighborhood together with the updates in your home to find a value for the home. A willing and able buyer and their purchase contract will be a big part of that.
Anyone can order an appraisal on a property they own, but I recommend sellers that I work with not get a pre-appraisal because, as a real estate professional and local market expert, I can give you a value and show you a marketing plan to get your home sale to that value.
Buyers, on the other hand, will be required to do an appraisal by their lender if they are financing their purchase. Cash buyers may want to have an appraisal, but they aren't required.
Don't let appraisal issues break a deal at the 11th hour
Obviously, there are a lot of things that can happen surrounding an appraisal and a lot of things your agent can do up front to help you avoid issues down the road that can make or break a deal at the 11th hour. That's why it's so important to have a great agent on your side to help you as a buyer or a seller.
If you have more questions, or you're thinking about buying or selling a home, give us a call.