Why Hire A Real Estate Appraiser?

Generally, real estate appraisers are hired by different people for different reasons. A seller may hire an appraiser to determine an accurate selling price, while a buyer hires one to ensure that the purchase price and mortgage of a property is right on the mark. Mortgage lenders also hire appraisers or use their own in-house appraisers on their business transactions.

An appraisal that’s too low could mean that a seller must lower his/her asking price, while a valuation that’s too high could lead to a buyer paying more than what the property is worth. For Loan officers, low valuations could result in lesser commission or none at all. In the case of realtors however, their commission could increase or decrease depending on the purchase or selling price of the property. Needless to say, a lot rests on an appraisal and its accuracy.

Therefore, the appraiser you choose to hire to perform an appraisal on your property should be licensed by the state. It’s best to hire someone who’s local and with years of full-time experience. Keep in mind that the appraiser and appraisal are governed by the minimum standards, published periodically in the Uniform Standard of Professional Appraisal Practice (USPAP).

If you plan on selling your home or other real estate, hiring your own real estate appraiser would be the best way to ensure that you’ll be getting the most for your property. In the same way, hiring an independent appraiser when buying property ensures that your mortgage contract won’t be based on an inflated appraisal valuation. Lenders, on the other hand, may still opt to use their in-house appraisers or someone they have on contract.

If there’s more than one real estate appraisal and they disagree significantly, don’t panic because you still have options. If the value is too low for the seller, doing renovations may raise the home’s value or you can decline to sell. If the lender insists on its appraiser’s value, which disagrees with your independent real estate appraiser’s value, as the buyer, you can look for financing elsewhere or decline to purchase the property. There’s the option to bring the appraisers together so they can come to a common agreement on the value.

Remember, the person who has your best interest at heart is yourself. Though buyers may assume that the lender has their best interest, mortgage lenders may have their own agendas at the forefront. Make sure the appraiser in your real estate transaction is objective, experienced, local and has a good reputation.

For any questions or for accurate and reliable appraisals, call us today at 702-240-2335. You can also Like and Follow us on Facebook for more news, tips and updates! Click HERE.