Before you buy or sell a home it is key to know who pays for what and how much the payment is. This post goes over the appraisal.
Appraisal is the estimation of a property’s value. The value includes factors such as location, structural condition, recent sales in the local area, and amenities.
The process includes a walk-through by a professional that observes anything that could impact the value of the home. Often done by a third-party certified licensed contract or individuals the lender recommends.
Based on the appraisal factors listed above and other things like property value, location, and size of property. The cost can vary to a few hundred dollars and generally is the buyers responsibility for the fee at closing. One can also choose to pay it up-front if they wish.
As most loans take an assessment of a few hours or less, the turn around for the appraisal can be completed within a couple business days. All depending on the market speed and may lead to longer waits. The final documents called the appraisal report will be given to the lender who is required to then show it to the buyer. Always make sure to have your copy for your own records.
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