BluefoxToday blog : September 2009

10 Ways to Get a Better Appraisal

Sharon goes over plenty of critical stuff about appraisals. Take a look.

10 Ways to Get a Better AppraisalAppraisals are an important part of the process in purchasing or selling a home. More than ever, the appraiser has the power to determine whether or not a sale goes to the closing table.

As if it were not difficult enough to value some homes in today's real estate environment where often there are no comparable sales in the last year or more, the government swoops in to 'correct' the abuses in the appraisal system, and the consequences of HVCC are that appraisers are traveling a long distance sometimes and are doing more work for less pay. Even if an appraiser has local knowledge, they may or may not do a thorough investigation of the comparable properties and they may choose to use Comparable Sales that are not ideal.

It is imperative that a real estate agent meet the appraiser when one of their listings has sold. This is not to try to influence the appraiser in any illegal way, but to give them the best information, so that the appraiser can value the property accurately. An added bonus is the information you will learn from the appraiser if you ask questions.

10 Ways to Get a Better Appraisal

1. Meet the appraiser at the house. Take the lockbox off the door after you get a contract so an appointment will have to be made.

2. Give the Appraiser as many Comparable Sales as you have for the subject property. If it's a property where there are few or no comparable sales, go out in a radius search until you find some. Go back as far as a year or even more if it's a special type property (waterfront, for example). Realize that the appraiser may deduct value if the sale is further than 3 months out.

3. Call the agents for the Comparable sales to get as much information as possible for the appraiser. The house that sold down the street that needed a new roof - they need to know that, but it's probably not in the MLS information.

4. Give a complete list of every upgrade and improvement that has been performed during the seller's ownership. Be sure to include maintenance items as well as cosmetic upgrades. There is a category for "condition" on appraisals and although it won't match dollar for dollar, it will be mentioned.

5. Be sure to note when flooring is "hardwood" instead of "wood" or "laminate." Be specific about other surfaces (granite vs. corian) and improvements. A glazed 42" raised panel cabinet with full coverage costs most than Level 1 42" cabinets.  Thermador appliances are more valuable than GE Profile, for instance, and an appraiser's quick trip through the house may not take in such details.

10 Ways to Get a Better Appraisal10 Ways to Get a Better Appraisal

6. Give them a copy of your Marketing materials, including the beautiful photos you have of the interior, exterior and grounds.

7. Be sure to note anything about the lot - the Preserve not only on the side but across the street, for instance. Note the size of our lot vs. any comparable sales (if it's to your advantage).

8. Local appraisers probably know the Community amenities, but it never hurts to also give a list of those as well.

9. If there are communities nearby that are not really good comparables, a map with some notes about the lack of amenities, production starter homes vs. your community with custom homes on estate lots, etc., can be very helpful to someone from out of the area.

10. Be gracious, not pushy. Even if the appraiser is from 100 miles away, respect and helpfulness will go much further than a condescending, "You drove all the way from there?" attitude.

If you make the effort to be sure the appraiser is well educated about your listing, you have a much better chance of the house appraising and the sale going through. Appraisers' work hasn't lessened but many times their fees have been cut in half or more. Anything we can do to help is in the Sellers', Buyers', ours, and the community's best interest.

Happy Selling!

 

Original Photography, All Rights Reserved. *10 Ways to Get a Better Appraisal*

_______________________________________________________________________________

Provided by: 

Esko Kiuru
Mortgage, real estate and apartment industry analyst 

www.BluefoxToday.com - syndicated mortgage, housing and property management blog

eskokiuru@gmail.com
My cell: 702-499-1006

Comment balloon 4 commentsEsko Kiuru • September 29 2009 05:15PM
10 Ways to Get a Better Appraisal
share
Sharon goes over plenty of critical stuff about appraisals. Take a look. Appraisals are an important part of the process in purchasing or selling a home. More than ever, the appraiser has the power to determine whether or not a sale goes to the… more
Charleston Heights Las Vegas, NV August 2009 Real Estate Market…
share
Charleston Heights August 2009 Real Estate Resale Market Report: Listings (9/15/2009): 98 Under Contract (9/15/2009): 135 Sold August 2009: 59 Month's Inventory: 1. 7 Since Last Month: Listings… more
Will The New Lending Rules Put The Squeeze On Home Sales?
share
While consumers will are sure to benefit from recent changes enacted by The Federal Reserve will the new lending rules put the squeeze on home sales The changes amend Regulation Z, Truth in Lending, and are “intended to protect consumers from… more
Fannie Mae tightens mortgage requirements a notch
share
The key home loan financier operating on the secondary mortgage market has seen much better days with its immense portfolio. Just like most other lending institutions it, too, has been slowly bleeding as foreclosures keep shaking its once solid… more
Why Las Vegas Homeowners Should Care About Things That Go "Bump…
share
To prevent loss of value on their OWN home. And why should renters care? Maybe if they are buying or considering buying a home across town or in their own area, they should care if they are going to use financing to purchase their home. … more
Mortgage securitization becoming more transparent
share
The U. S. housing industry is very dependent on how the secondary mortgage market is doing. That's where a large share of mortgage-backed bonds generated here are traded. In the recent past the private investor class purchased about 60% of the home… more
WHY Las Vegas Pendings Aren't Closing
share
I have had a good number of astute real estate professionals recently ask me "why aren't your pendings closing? " on my market reports! Here is just a peek at some market reports for one specific area (June, July and August… more
NATIONAL HOME SALES STATISTICS - HELPFUL INFORMATION OR MEANINGLESS…
share
So, why isn't NAR publishing all the stats? Read on. Lenn gives you some ideas. * * * * HARD CORE REAL ESTATE TALK * * * * NATIONAL HOME SALES STATISTICS - HELPFUL INFORMATION OR MEANINGLESS NUMBERS? &… more
Southern Highlands Las Vegas, NV August 2009 Real Estate Market…
share
Southern Highlands August 2009 Real Estate Resale Market Report (Homes For Sale/Pending/Sold): Listings (9/15/2009): 192 Under Contract (9/15/2009): 220 Sold August 2009: 42 Month's Inventory: 3. 7 … more
Fed to continue buying mortgage securities into 2010
share
The secondary mortgage market is the life blood of the massive housing industry. If it catches any kind of ailment, the consequences can be rather dire. A serious virus invaded it not so long ago - it can also be called the great escape of the… more