Appraisal myths & facts
Legally, an appraiser has to be state certified to write substantiated real estate appraisals for federally-supported sales. You are also entitled by law to receive a copy of the finished appraisal from your lending agency. Contact our professional staff if you have any questions about the appraisal process.
Myth: Market value will always be the same as the assessed value of the property.
Fact: It might be that North Carolina, like most states, supports the suggestion that the assessed value equates to the market value; however, this certainly varies based on state-to-state. Often when interior remodeling has occurred and the assessor is has not investigated the improvement or properties in the Butner have not been reassessed for a good length of time, it may vary wildly.
Myth: The buyer or the seller sometimes may have some pull in the cost of the property depending upon for whom the appraiser is working.
Fact: The appraiser has no personal interest in the result of the appraisal report and should complete his job with independence, objectivity and impartiality - no matter for whom the appraisal is conducted.
Myth: The replacement value of the home should be is on par with the market value.
Fact: Market value is based on what a willing buyer would be interested in paying a willing seller for a specific property, with neither being under duress to buy or sell. The dollar amount necessary to rebuild a property is what shows the replacement cost.
Myth: There are specific methods that appraisers use to determine the cost of a house, like the price per square foot.
Fact: An appraisal is an amalgamation of data concluded from the property's size, location, proximity to certain facilities, the condition of the home and the cost of recent comparable sales. You can count on Weaver Appraisal Group's staff to be honest in assessing this data.
Myth: When the economy is strong and the cost of homes are found to be rising by a certain percentage, the other properties in the area can be expected to rise based on that same percentage.
Fact: All appreciation of worth is on a case-by-case basis, found by data on relevant conditions and the data of comparable houses. It doesn't matter if the economy is doing well or declining.
Have other questions about appraisers, appraising or real estate in Granville County or Butner, NC?Contact our professional staff
Myth: The property's outside is determinate of the actual value of the property; there is no need to do an interior appraisal.
Fact: To find an accurate price beyond all doubt, an appraiser must examine the home on a variety of factors based on location, condition, improvements, amenities, and current market trends. There's no real way to get all of this information from just examining the home from the outside.
Myth: Since you're the one funding for the appraisal when applying for your loan to purchase or refinance your home, you own the provided appraisal.
Fact: Unless a lending agency releases its interest in the report, it is legally owned by the lending company that ordered the appraisal. Consumers have to be provided with a version of the report through request because of the Equal Credit Opportunity Act.
Myth: Consumers need not be concerned with what is in their appraisal document so long as it exceeds the necessities of their lending group.
Fact: It is very important for home buyers to look at a copy of their report so that they can double-check the accuracy of the report, in case it's required to question its accuracy. Remember, this is probably the most expensive and important investment a consumer will ever make. An appraisal can double as a record for the future, containing an incredible amount of information - including, but not limited to the legal and physical description of the property, square footage measurements, list of comparable properties in the neighborhood, neighborhood description and a narrative of current real-estate activity and/or market trends in the area.
Myth: Appraisers are hired only to assess real estate property values in house sales involving mortgage-lending deals.
Fact: Appraisers can have many different qualifications and designations which allow them to provide a variety of different services including - but not limited to - advice on estate planning, tax assessment, zoning, dispute resolution in many different legal situations and cost analysis.
Myth: A house inspection serves the same purpose as an appraisal.
Fact: Appraisal reports are nothing like a home inspection. The purpose of the appraiser is to find an opinion of value in the appraisal process and through writing the report. A home inspector determines the condition of the home and its major components and reports these findings.