Appraising property value
A professional appraisal helps to protect the interests of the buyer, seller, and lender by determining the fair market value of a property. Once the buyer and seller have agreed to a price, but prior to approval of the mortgage application, the lender will order a professional appraisal to ensure that the agreed upon price matches the current market value. The appraiser will provide an unbiased opinion of the property’s value based on a specific appraisal technique. This may involve pulling comparable prices of similar homes in the area, examining properties currently on the market, and reviewing national real estate trends to determine accurate value.
If the appraised value is lower than the sale price, a renegotiation may occur or the seller may be given opportunity to provide supporting documentation that may increase the appraisal value. This may include evidence of recent renovations, surveys of recently listed or sold similar properties, or city tax valuations that may increase the property’s worth.
Ask the professionals
Thinking of buying or selling your home or office and need someone to help you through the process? The professionals at Bradford Real Estate are here to help. As a full-service brokerage, you’ll have access to our expertise as well as our network of qualified mortgage lenders, title companies, inspectors, appraisers, and contracting partners to ensure a smooth and enjoyable transaction from initial meeting to closing.