For refinancing or selling your home, you would need a home appraisal during the whole process. Let's see some tips on the same with a better chance of a good return on your investment.
Dec 14, 2018
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You may be thinking of moving on from your present home or may be thinking of a refinance to buy another one. But then, how would you determine the price you would want for your property? This is when a home appraisal or your real estate appraisal would come in handy.
On the other hand, if you are thinking of a refinance, an appraisal of your home would give you an exact idea of the amount you are eligible for getting another loan. Here are some tips, which, if followed, would assure you the best possible value.
If you are thinking of a refinance, the lender would usually use the services of an appraiser that they prefer. However, on the other hand, if you want to sell your home, you can opt to choose an independent appraiser.
During the appraisal, an inspection of your home would be conducted. This would include a visual examination of your house and the condition of the bedrooms, bathrooms, kitchen, etc.
The appraiser would provide an estimated value of your house, which is based on two factors. The first factor is the cost required to construct a similar house and the second element that he would consider is comparing other houses in your locality which have been recently sold.
Getting the House Ready for Appraisal
Make the House Shipshape
One of the most important home appraisal tips is to make your house appealing, you can do this by improving its exterior. The outdoor surroundings of your home should look attractive, with green grass and not dead brown one. Make sure not to leave gardening tools like lawn mowers lying around, besides keeping the plants trimmed.
It's good to have landscaped garden with ponds, gardens, etc., provided they are maintained well. Ensure that not only the overall surroundings of the house looks great, but the exterior walls are also well painted.
Clean the Interiors
A day or two before the appraiser comes, make sure that you clean the walls, kitchen, and bathroom. The most challenging part is managing the clutter. If you don't want your house to look small and unappealing, make sure that clutter is managed properly.
Even if, you are planning to take away all the furniture, it may still look dirty. Moreover, random things here and there are bound to affect the appraiser. More the space your house seems to have, more the chances of its higher valuation.
Renovate Your House
Renovation would require some money. Buyers are attracted towards renovated houses, thereby increasing the value of your house. The most important rooms which should be renovated are the kitchen and bathrooms.
Try replacing the cabinetry of the kitchen, as it takes much of the wall space thereby, affecting the kitchen style. Even though the other parts of the kitchen are up-to-date, but if the cabinets are old, it would reduce your home's value.
On the other hand, the bathroom should look spacious and there should be enough storage space. If there is enough space, try to include double sinks, as they are very popular. If the floors are old, update them or else the appraiser may be put off and it may affect the valuation.
Color and Decor
Always keep in mind that buyers picture themselves living in the home they are going to buy. So, put efforts in making the house look as big as possible. The walls and floors should seem as if, they are well maintained.
You need to make sure that the colors are warm and inviting, which would ensure a better deal for you. It's affordable and easy to replace paint, so make it a point to do it before you show your house to your prospective buyers, or the bank agent if you are looking for a refinance.
The decor will also effect the value of your home. It may seem troublesome as you may be moving furniture and other belongings out, but then if the buyer sees the home dirty and things scattered here and there, he is bound to have a negative impression. So ensure that your house looks spacious, large, and tidy.
If there are any problem areas make sure you fix them. Not only would the appearance of the house be effected, but it would have an impact on the price as well.
For example, if there is a leakage make sure that you fix it. You give a negative impression to potential buyers and home inspection professional by not fixing problem areas and it may get in the way of you getting a good value. If you don't fix things, your chance of asking for a better deal would get effected.
The bottom line of home appraisal for refinancing or for selling your house is to make sure that your house is in the best possible condition. It should not only be inviting, open, and clean, it should also look as big as possible.
If you keep these things in mind, the asking price would definitely increase by a great extent. On the other hand, if you are the one who wants to buy a house, don't overlook these points mentioned here.