Do you know how an appraiser determines a home's value? Do you know what "comps" are, and why they're important to the appraisal process?
You've found your dream home. The asking price is $300,000 -- an amount you've already been pre-approved for by your bank. But is the home really worth that amount? That's the question at the heart of the home appraisal. The worth, or value of the property, will determine how much a lender is willing to give you to buy that particular piece of real estate.
I don’t want you to get confused tho. A home appraisal is not the same thing as an inspection. If you're buying a home, you'll want to hire an experienced home inspector to point out any potential problems that could turn into costly nightmares in the future. Property appraisers will likely make note of any obvious issues, but they won't test your heat and air, check the chimney or determine if your plumbing is up to code. That's the job of the inspector.
Learn all about appraisals in this latest animated video!
My name is Lisa Longest, a full time real estate agent with Realty Navigator. I specialize in serving the Bay Bridge Corridor of Anne Arundel and Queen Anne County. Feel free to contact me to get more information on homes for sale in the Stevensville or surrounding cities, or to help you sell your existing home at 443- 786-4200 or email me at LisaLongest.RE@Gmail.com