There are important reasons you should attain an appraisal even though you have a Realtor:
Very Little Sales Information Is Available:
If you live in a rather rural area, accurate sales prices on homes can be pretty scant because there aren’t a great deal of sales taking place. Rural markets are low in activity so an appraisal might be something you want to have. Granted, your Realtor might have a great deal of experience in selling your property, but might not have a good grip on the going prices for your country-side area.
A Neighborhood Might Be Actively Selling, But Not Similar To Your Property:
There are many cases where a particular neighborhood has a great deal of activity in sales of homes but you are not seeing property sales that match your property. In many cases, a Realtor may look into recent sales, compare the square footage and come up with a price range for your listing. Unfortunately, if you have a large variety of property types, square footage may not be the best indicator of the true value of your property. This might not work in your favor because you are bouncing off a property that is very different from yours. You might want to get an appraisal.
Over Improving Your Home Might Not Work Out:
One school of thought states that when making upgrades or improvements, owner beware. Know how much you are sinking into your home and what you will get back in a sale and how much you might lose in that sale. Not all improvements will equal value. Every homeowner would like to think they will get a price for their home that will give them back everything they sunk into the property. In reality, that’s not usually the case. If you want to sell your home, you must have it priced to the actual market. If you overprice your home it could sit on the market for a long period of time and you might have re-evaluate and drop the asking price. An appraiser can give you a pretty good idea before you start listing.
Keep Lenders In Mind When Pricing Your Home:
An appraiser takes into consideration the current underwriting guidelines when choosing and developing an estimated value for pricing a home. Should you price well and your home sells in a relatively short period of time, probably the comps used for the listing will be about the same as what the appraiser would use for the mortgage. If you don’t have this information, you probably won’t match.
You Need Accurate Stats:
Before you can arrive at a listing price, you need to know the actual square footage of your home. An appraiser will accumulate this information along with using comparisons to bring your property up against other homes similar to yours.
Although you might have the smartest, best Realtor on the market, it is always a good idea to have a professional appraisal done before setting a price and listing your home. If you question the appraiser’s assessment, you can always dispute it in writing. Again, always provide the appraiser with any pertinent information such as upgrades, renovations including those not obvious items such as insulation.