Understanding the Basics of Home Appraisals

Selling your home can feel like an overwhelming task. As a Realtor, I walk my clients through each step, including the process of getting an appraisal. Not knowing who you’re working with can be nerve-racking, and I can recommend trustworthy appraisers to get an evaluation of your property. I’d like to share some of my knowledge about appraisals with you and offer you a complementary report specific to your neighborhood that I created.

What is an appraisal?

An appraisal is an opinion of the value of your home based on what similar homes in your area have recently sold for. Since getting an appraisal isn’t an exact science, if you feel as if your home has been priced too low, you have the option of getting a second one done. For example, one appraiser may count a recent sale but the other may think it was too long ago to add in the equation. The results of this would be two different values for your home.

Appraisals can be used to determine how much to insure your home for. In addition, appraisals are used to figure out property taxes. So although an appraisal is used for a loan estimates today’s market value, an appraisal of insurance purposes is used to determine what it would cost to rebuild your home with the associated costs of today.

Comparative Market Analysis

Keep in mind that appraisals are different from CMAs (Comparative Market Analysis). Using my knowledge and expertise, I compile a CMA for my clients to determine how much their home will sell for within a certain period of time. I would love the opportunity to do the same for you.

Shifting Markets & the Personal Side of Things

Note that home prices change and appraised values will shift with market changes. If your home is appraised for $200,00 today, that could change in three months when you list it for sale depending on the performance of the market. Unfortunately, appraisals don’t take life changing circumstances into account. Job loss or transfer is not considered when coming up with the value of your home.

I specialize in selling homes in Southwest Florida. From Sanibel Island to Fort Myers and all throughout Lee and Collier counties. I hope you found this information useful. I believe you deserve access to the most current, objective and comprehensive information affecting the value of your home.

If you require the services of a real estate professional in the future in Sanibel, Fort Myers or anywhere in Southwest Florida, please allow me to outline how I can exceed your greatest expectations. You can reach me, John Petel, at 239-560-4960.