A real estate appraisal can be done for any number of reasons, though it is most often done as part of the closing process toward the conclusion of a property sale. If you are thinking about selling your home, it is important to recognize the vital role that an appraisal plays. After all, a lender is unlikely to let a buyer borrow a number of funds greater than what the home was appraised at. This means that the greater the appraisal, the more of an advantage the seller naturally has in negotiating the final price. Keep reading below to learn more about three things all sellers can do to maximize the appraisal amount.
List All Upgrades
No appraiser knows everything about your home, which is exactly why you should feel free to tell them. Take a few hours to think about (and document) every upgrade and improvement you have made to the house. Doing so can positively affect the appraiser's sense of the home's overall value, ultimately leaving you with a higher sale price.
Time the Sale
A popular real estate adage claims that location is everything, but timing can matter just as much. Ask your real estate agent if a significant number of distress sales or foreclosures have happened in your neighborhood during the past few months. If so, then the appraisal amount is likely to be negatively impacted. If you are able to wait a few more months to sell, you may be able to leverage improved market conditions to save money with a more favorable appraisal. If you cannot wait, however, you can still speak directly with the appraiser to persuade them that your property differs from nearby foreclosed properties in notable ways.
Fix Cosmetic Issues
All sellers should be aware that any appraisals of their property will include multiple photographs of it, as well as photographs of properties that the appraiser considers to be comparable. For this reason, it is always in the seller's best interest to fix any cosmetic issues that their property may have. Although it may seem unfair to include curb appeal and other such seemingly superficial aspects in determining the value of a home, it is an unavoidable fact. Pressure washing dirty exterior walls, repairing a broken window, and pulling big weeds in your front lawn are all little things that can have a huge impact on the final appraisal amount.
Contact a local real estate appraisal service to learn more.