Buying or Refinancing a Home- Appraisal Process is what you need

Want to buy or refinance your home? If so, you need to go through the home appraisal process. Appraisers like Naftali Horowitz offer a professional estimate of property value before you go out for the purchase. Through the appraisal process, you come to know whether the property is worthy of your investment.

 

                                 

Appraisal also helps the lenders in determining when and how much loan to offer to the property owners. Lenders always look for the home appraisal process before providing a mortgage loan to protect their investments. Some of the critical points about home appraisal process you need to watch out for include:

·     Who pays for the appraisal: You will have to pay for the appraisal process and make arrangements as well. This is true even though the appraisal process protects the interest of the lender and not you. The appraisal report is given to the lender and if you want one you can request for the same.

·     Time and cost involved: The average cost of a professional home appraisal is $ 300 to 400 dollars. However, the cost of appraisal also depends on your property type and location. Residential property with more than one unit will typically cost more. As far as the time is concerned, professional home appraisal process will take 3 to 10 business days for completion.

·     Determining property value: There are various things that property appraiser takes into account while carrying the appraisal process. Like comparable sales. Sale comparable refers to similar properties located in the vicinity of your property. The appraiser compares several of your property features before arriving at the value. Other factors that help in determining property value include square footage, appearance, amenities, and general condition of the property. Note that a property with four rooms is going to fetch a higher price than most of the properties in the area with only three bedrooms.

·     If the appraisal amount is less than the property price: Lenders use sales price or appraisal value, whichever is less to decide on your loan amount. If the appraisal value is more or equal to the sales price, you will get the loan amount. On the other hand, if appraisal is less, lender will reduce the loan amount you asked for. In such a situation, lender will match the loan amount with the appraisal value.

·     Options during low appraisal: In case of a low appraisal, you can negotiate with the seller to reduce the sales price. You may also cover the difference between the sales price and appraised value by paying less. You also have the option to dispute appraisal.

Naftali Horowitz is the appraiser you can count on while buying or refinancing your property. He will take all things into account and ensure you make a wise investment decision.