Explained by One of the Best Real Estate Companies in Las Vegas
If you’re looking to buy or sell your home, or even if you’re the top realtor in Las Vegas, it’s always good to brush up on important real estate processes.
Whether you’re buying or selling a home, there’s a lot at stake. One very important aspect of this process is the home’s value, because it determines what the seller pays, what the buyer gets, and what the lender lends. That’s what appraisals are for.
An appraisal is an objective examination of a home’s value. The results of an appraisal can mean life or death for a sale. Lenders want to know if they’re lending too much money for the home, buyers want to know if they’re overpaying for the home, and sellers want to know if they’re underselling. If things go well, then the transaction proceeds as usual. If the home value turns out to be different than expected, though, you may have to work things out before the sale can continue.
Appraisers are thorough in their examinations. They are required to use data, public records, and photographic evidence to back up their analysis of the home in determining its value. Some factors that determine the results of an appraisal include:
- Recent sales of similar homes
- Recent sales of surrounding homes
- Market Trends
- Floor Plan
- Number of Bedrooms and Bathrooms
- Square Footage
- Condition of Interior and Exterior
- And more
Appraisals are crucial in the negotiating process. If you don’t believe the results of the appraisal are accurate, you can always bring this to the attention of your appraiser or try again through a different appraiser. But if the parties are happy with the results, it can result in peace of mind in completing the transaction.
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