If you're planning to buy a home or want to determine the current value of your property, you'll need an appraisal. Before banks or lending institutions can consider loaning money for a property, they need to know the current market value of that property. An appraiser's job is to check the general condition of your home and determine a comparable market value based on other homes in your area.
While you may think that "it is what it is," some steps can help improve your home's appraisal value to ensure you get the best market value possible.
Here are some tips to help you get started.
1. Clean Up
The appraiser is basing the value of your property on how good it looks. A good rule of thumb is to treat the appraisal like an open house! Clean and declutter every room, vacuum, and scrub to ensure your home is as presentable and appealing as possible.
2. Enhance Curb Appeal
First impressions can have a huge impact when it comes to an appraisal. Spending time ensuring the outside of your property, from your driveway entrance to the front steps, is clean and welcoming can make a difference.
Tip: Add some fresh flowers, trim the lawn, and repaint the front door to create a welcoming entrance.
3. Ensure Visibility
The appraiser must be able to see every room of the home, with no exceptions. Refusal to allow an appraiser to see any room can cause issues and potentially kill your deal. If there are any issues with any spaces in your home, be sure to take care of them in advance to allow the appraiser full access.
4. Highlight any Recent Upgrades or Features
Ensuring the appraiser is aware of any upgrades and features can go a long way. Make a list and include everything from plumbing and electrical to new floors, new appliances, etc. This way, they have a reference for what has been updated and how recent or professional that work was done.
5. Be Prudent when Renovating
While the bathroom and kitchen are popular areas, they are not necessarily the be-all-end-all for getting a higher home value. These renovations can be costly, so it is a good idea to be prudent about how you spend your money. Instead, focus on easy changes such as new paint, new light fixtures or plumbing, and updated flooring to avoid breaking the bank while keeping your home fresh.
6. Know Your Neighborhood
You already know where you live better than the appraiser. Looking at similar homes in your neighbourhood and noting what they sold for will give you a ballpark. If your appraisal comes in low, you will be prepared to discuss the examples from your area with the appraiser and why you believe your property is worth more.
7. Be Polite
The appraiser is there to get in and get out. Avoid asking them too many questions or making too many comments, and be prepared should they have questions. Once they have completed the review of your home, that is a good time to bring up any comments you might have.
Bottom Line
Following these tips can increase your home's appraisal value and ensure you receive the best possible appraisal for your property.
Don't forget to contact us if you have any questions about your existing home or mortgage or want to sell and relocate soon.
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