Appraisals: How Are They Done & Who Needs Them
The appraisal process can be a little confusing for buyers
and companies alike. There is a great deal of research, data gathering and
analysis that goes in to every appraisal report and it’s easy to get lost. To
help steer you into the right direction, here are a few basic things that
everyone should know about the appraisal process. Below are some frequently
asked questions about real estate appraisers.
about the value of properties. They assemble a series of facts, statistics and
other information regarding specific properties and then analyze this data and
develop their opinion of value.
value by looking at all of the variables. This can be difficult because every
property is unique and comes with its own specific set of variables.
Standard Professional Appraisal Practices (USPAP) guidelines, state regulations,
and lender regulations that dictate what they can and must put into the
jewelry appraisers, art appraisers … basically there are appraisers for nearly
every industry wherever an item or property’s value is can be debated.
used by other parties in purchase process for informational purposes; this
includes the borrower, title insurance company and the county.
property appraised, because it’s probably the largest purchase a person makes
in their lifetime. You don’t want to pay $250,000 for a house and come to find
out that is only worth $180,000 when you try to sell it, do you?
you the money to purchase the house. They want to ensure that they are giving
you the proper amount of financing for the property. Lastly, it is important to
the title insurance company as the premium the customer pays is directly
correlated with the appraised value of the property.