Why Get a Home Appraised Before Making a Purchase Offer?

Buying property is one of the most significant purchases that you will ever make, which is the reason why you need to ensure that you do not screw things over. One thing you need to do is get a real estate agent. They have intimate know-how, so you can imagine that they know where the best houses are. Another thing you need to do is get the home appraised. As a matter of fact, you should not buy property without having it first evaluated. Here are the best reasons for getting a home appraisal. Read carefully.

Developing an opinion of what the home is worth

You have found a house that is quite attractive. You love the size as well as the fact that it is located in a good neighbourhood. However, you are not sure how much the property is worth. The real estate market does not dictate the price anymore, so you are at a loss. Well, not necessarily, because you have the option of getting a home appraised. The appraised is conducted by a licensed professional, so you have guarantee that the opinion that you are provided is an objective one. The expert will determine if the house you are interested in benefits from good conditions, is indeed located in a good neighbourhood, or has worthy features. Basically, you are provided all the information you need in order to make an informed decision.

The sellers may already have had an appraisal done

You may not be tempted about the idea of having a home appraisal done. What you do not know is that the sellers may have already had determined the home’s value. There are many reasons why buyers might want to proceed this way. On the one hand, they might want to raise the price, thus having ulterior motives. On the other hand, they might want to lower the value, which is not an uncommon practice. No matter what reason sellers might have, they are not being honest with you. So, you should have your own home appraisal performed.

The bank does not loan on a home that is not appraised

With all the excitement, maybe you forgot that you are dealing with the bank. You managed to convince the financial institution to give you a loan, but you should know that things are not so easy. If you have not been informed, know that the bank does not pay for homes that have not been assessed. This means that even if you are not eager to go through with the appraisal process, you have no choice.

The bottom line is that you should never make a purchase offer without having the home appraised. If there are issues like a wet basement or the plumbing is not up to code. You need to know about them. Last but not least, keep in mind that a home appraisal is not the same thing as a home inspection, meaning that it will not reveal all important defects. It just tells you how much the property is worth.

Posted in: Real Estate

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