Selling your home soon? To set the best price, you need to know the estimated value of your property. You can get this through a home appraisal.
Maybe you’ve heard of the term “home appraisal” already without knowing what it entails. Let’s go over all the details right away to price your home right with the help of your trusted San Francisco real estate agent.
What is a home appraisal anyway?
A home appraisal is “an unbiased professional opinion of the value of a home,” according to experts. Basically, you invite an independent third party to come and assess your home.
Why would I want someone to tell me what my property is worth?
Getting an unbiased professional look at your home may seem counterintuitive. After all, you want people to pay as much as possible for it. So why do people get appraisals, especially if a professional can cost you hundreds of dollars?
The answer here is very simple: it’s a good benchmark for setting a realistic listing price for your home. Mortgage firms and other lending companies also want to make sure borrowers are asking for the right amount when they apply for a loan to buy homes for sale in San Francisco.
Who shoulders the appraisal cost?
Whether you’re getting a home appraisal for a loan or to price your property, you’ll shoulder the cost. Appraisal fees in San Francisco range from $325 to $474. If you’re not too keen on spending that amount, check the most recent comparable sales in your neighborhood. Better yet, ask your real estate agent to conduct a comparative market analysis (CMA).
Great! So, what are home appraisers looking for?
Time for the most important question, how do home appraisers come up with the value of your home? They’re not just rolling the dice or deciding if they like the property.
The first part is a visual inspection. They will look around to see if there’s any damage, mold, or decay. The second part involves looking around for comparable sales in the area. By comparable, we mean homes that are similar to yours in size, age, and features, among other things. This data has the most impact on the estimated market value of your home.
Last but not the least, there’s the state of the housing market and the unique features your house has. As such, make sure to point out these highlights especially if they’re not obvious.
What happens after?
The appraiser will prepare a report that details their findings, the chief of which is the estimated market value of your property. If you’re not satisfied with the appraisal, you can seek a second opinion.
If the home appraisal is for refinancing your loan and you received less-than-desirable results, you’ll have to make an appeal that is supported by a significant error on the appraiser’s part.
Let me, Amir Hardy, help you navigate the San Francisco real estate market. With my years of experience in the field, I can give you advice on property valuation and help you understand the benefits that go with it. Call 415.602.0570 or send an email to amir(dotted)hardy(at)compass(dotted)com.