Common Home Appraisal Questions

By Author: Steve Leavitt
Total Articles: 3
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If you’re buying or selling a home, you’ll likely be facing a home appraisal process. Here are the most commonly asked questions about home appraisals.

Does the appraiser know the purchase price? Do they see all offers made?

The appraiser will most likely know the selling price of a home. Why? Because the standard appraisal forms require the appraiser to enter the information, thus the appraiser will have a copy of the purchase contract. Whether they see all offers made depends on the Realtor. Some Realtors give appraisers copies of all the offers while others only provide the contract that was accepted. If you have multiple offers, ask your agent to inform the appraiser of all offers received.

Should you challenge a low appraisal?

An appraiser's job is to be impartial on the value of your home. But if you believe your home is worth more than it was appraised for, it’s important to consider if your opinion of value is unbiased? Is it what you WANT for the house, or what you KNOW it's worth? If you still believe your home is worth more than it was appraised for, you can challenge ...
... the appraisal. But - you must be prepared to point out mistakes the appraiser made in comparing other properties or by missing new or upgraded features in your home. These 3 steps to challenge a low home appraisal won't guarantee the outcome you're looking for, but they should help protect against honest mistakes.

What does an appraiser look for during an appraisal?

An appraiser is collecting evidence to support the final opinion of value they arrive at for the bank, or to support a value to set a list price as is done with a pre-listing appraisal. The appraiser’s opinion must stand up in court, if challenged, and pictures taken during the appraisal are a tool to assist the appraiser’s description.

So what exactly does an appraiser evaluate? There are dozens of internal and external items on the Uniform Residential Appraisal Report including: garage, exterior of the home, roof, foundation, kitchen, bedrooms, bathrooms, HVAC, recent home improvements, and location.

What’s the difference between an appraisal and a home inspection?

Many people think that appraisals and inspections are essentially the same thing - but there are some key differences. Both an appraiser and inspector will walk around the house and take a good look at it, but they're each at the house for different reasons.

The appraiser is looking at the value of the home. An appraiser's primary mission is to protect the lender (Fannie Mae, FHA, VA Etc.). Lenders don't want to own overpriced property and that's why the appraisal takes place before the lender grants final approval of the buyer's loan. With that in mind, it's not surprising that appraisers aren't interested in whether or not the house is clean - but they do notice signs of neglect such as cracked walls, chipped paint, broken windows, torn carpets, damaged flooring etc.

While an appraiser is looking at the value of the home, a home inspector is looking for any defects with the home that may cause you financial grief later and educates the buyer about the condition of the home and its major components.

What if the square footage on your home is wrong?

If you believe that the public records are inaccurate, you should contact your local county’s assessment department to request that the data be reviewed. The process varies by location; some may ask you to file an appeal or submit a grievance. It may help to submit the recent appraisal, or property measurements done by a certified appraiser, to the department to review and make any adjustments if necessary.

Square footage will affect your home’s assessed value, but it also has an affect on how much property tax you pay. If the actual measurements result in more square footage than the county tax assessment office has recorded, using the higher square footage calculation could increase the value of your home. That’s great if you want to sell, but it may also increase your property taxes.

How long does a home appraisal usually take?

Depending on the size of the home, an appraiser can spend anywhere from 1 to 4+ hours at your home, and additional time at the office completing the appraisal report. The office work after the appraisal inspection can take anywhere from 2-48 hours or more depending on the complexity of the property being appraised.

Does a messy house affect a home appraisal?

Appraisers focus on the condition of the property, its layout and size. What they're not evaluating is the interior decorations, furniture or whether the side yard is a mess. A clean (or cluttered) home does not affect a home’s value. Appraisers see hundreds of homes a year and will look past most clutter, however, a good impression can help form a better opinion.

What repairs do I need to make before the appraisal?

A home appraisal is different from a home inspection. A real estate appraiser looks for things that affect the overall value of the house. An inspector looks deeper to identify things that need to be fixed before you close. Three of the most common repairs that should be completed before a real estate appraiser visits your home: health and safety issues, protecting the security of the property, and structural soundness of the property. Examples of repairs needed before the appraisal.

Need An Appraisal In Phoenix AZ? Master Appraisal Services does home appraisals in the Phoenix area including Scottsdale, Chandler, Gilbert, Mesa, San Tan Valley and surrounding areas. Give us a call to schedule your appraisal.