Understanding The Home Appraisal Process

What is a Home Appraisal?

A home appraisal is an estimate of a home’s value. To find out a home’s value the appraiser is looking at the key characteristics of the property including location, square footage, number of bedrooms and bathrooms, condition of the home, current recently sold comparables that are close in proximity and health and safety issues.

Why Do I Need a Home Appraisal?

Home Appraisals for buyers: When buying a home in St. Louis or St. Charles County areas and throughout the U.S., mortgage borrowers will be required by their financial institution to complete a home appraisal in order to be qualified for a mortgage loan on the property. 

Home Appraisals for Sellers: Sometimes an appraisal before listing your home for sale can provide valuable insight as to the pricing.

When Do I Get a Home Appraisal?

What can make a home appraisal a tense time for all parties in a sales transaction is when they are performed. The buyer’s financial institution orders the appraisal from an independent party after you've negotiated a price, agreed to buy or sell the house and signed the contract. So it's in everyone's best interest that the appraisal is close to the price that both seller and buyer have agreed on.

What is the Cost of a Home Appraisal?

In Missouri a home appraisal can cost $300-$400. The cost usually falls on the buyer but can sometimes be negotiated when closing on the home.

How Long Does The Appraisal Process Take?

An appraisal should be requested soon after all parties sign the home sale contract. Once an appraisal is performed, underwriters can request additional information about the house than they could in past years, and gathering that data and photos can take up to a few weeks.

What Can I Do To Improve a Home Appraisal?

As a homebuyer, there is nothing you can do to help a home appraisal. As a seller, there are a few things that can help:

• Make the property as pleasing as possible by cleaning the home and trimming the yard.
• Make any necessary fixes to the property.
• Make a list of repairs and improvements that have been done to the house over the past several years. Note anything you can think of and give the list to the appraiser. The appraiser will decide what is important to the value.

How Do I Order a Home Appraisal?

When you buy a home with The Boehmer Team, we work with your lender to get them the information needed to order the home appraisal for you. This is just one more way we make your sales transaction smoother.

The Boehmer Team is Here to Help

The Boehmer Team is a team of experienced agents working to assist homebuyers and sellers in the St. Louis and St. Charles County areas of Missouri. We know how to make a daunting home buying process a great experience. We are always available for your questions about the home buying and selling process. You can find more great information online at www.TheBoehmerTeam.com.

Additional References:

http://money.usnews.com/money/personal-finance/articles/2015/08/20/what-you-need-to-know-about-home-appraisals