If you plan to purchase a property, you want to know how much it’s worth so you don’t overpay. Therefore, getting an accurate assessment of the home’s value is essential. If you plan to sell, you need to set a price that will attract buyers, not drive them away. A real estate appraiser specializes in assessing the fair market value of a home. Not all appraisers have the same qualifications and experience, so it’s important to choose one carefully.
Breaking Down the Appraiser’s Job
An appraiser determines the value of a property by considering many factors, including the size and design of a house, the home’s overall condition, the size and layout of the property and any health or safety hazards or code violations. The appraiser will also consider characteristics of the surrounding community, such as schools and other public amenities, and the recent sale prices for comparable homes in the area.
Finding and Choosing an Appraiser
Your real estate agent should be able to recommend one or more experienced and reputable local appraisers. You can also find information on appraisers online or through your local Chamber of Commerce.
Although all appraisers assess home values, many specialize in specific geographic areas or types of properties. Some appraisers work in multiple cities and counties. Look for someone who has a significant amount of experience in your area. You also want to hire an appraiser who has experience appraising properties similar to the one you own or are thinking about buying, whether it’s a single-family house, condo or townhouse.
Federal law requires most appraisers to obtain state certification. Degree requirements may depend on whether the individual appraises residential or commercial properties. Before you hire an appraiser, talk to a few. Ask about their training, certifications and licenses and verify their credentials.
Ask appraisers you are thinking about hiring how much on-the-job experience they have in the field. It takes several years of practical, hands-on experience to become a skilled appraiser. Discuss local facilities, community features and issues that could affect home values, as well as recent trends in home sales and prices, to make sure the appraiser you decide to hire has a thorough understanding of the local area and real estate market. Request references from several recent clients.
Inquire about the methodology the appraiser uses to calculate home values. Many utilize databases containing information on recent home sales and some also use information from the Multiple Listing Service. Ask if the appraiser would personally perform the appraisal and write the report or if a trainee or assistant would be doing it.
Hiring an Appraiser
A real estate appraiser plays a key role and the results of their work can have a significant financial impact for you. It is important to hire an appraiser who has the appropriate training and experience for your needs. Seek advice from your real estate agent and interview several appraisers before making a choice.
Agents, want more tips like these to share with your existing and prospective clients? Check out our automated social media marketing platform, ACESocial.
