An appraisal is an unbiased estimate of a property’s market value, typically required by lenders before approving a mortgage.
Appraisers evaluate:
- Comparable recent sales (comps)
- Size, layout, and condition of the home
- Location, school district, and neighborhood trends
- Renovations, upgrades, and overall appeal
Why it matters:
- If the appraisal comes in low, buyers may need to renegotiate or pay the difference.
- If it comes in high, it confirms you’re getting a good deal.
- For refinances, it determines your loan eligibility and terms.
Tip: Prepare for the appraisal like you would for a showing — clean, declutter, and provide a list of recent upgrades.
