An appraisal report is a written description and estimate of the value of a property. National regulators govern not only the format for the appraisal; they also require the appraiser’s qualifications and credentials to be in good standing.
The appraiser will create a written report and we will provide you with a copy prior to closing. The report includes the comparison of qualities of your home with other homes that have sold recently in the same neighborhood. These homes are referred to as “comparables” and play a significant role in the appraisal evaluation process. Abiding by industry guidelines, the appraiser will try to weigh the major components of your home to come up with an estimated value of your home. The appraiser adjusts the price of each comparable sale (up or down) depending on how it compares (better or worse) against your property. If your home if for an investment purpose, or is a multi-unit property, the appraiser will also consider the rental income that will be generated by the property to help determine the value.
What is an appraisal report and who completes it?
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