It's Tough to Be an Appraiser These Days
June 18, 2012
Appraisals are a critical part of almost all real estate sales. When a buyer is obtaining a loan, the lender will hire an appraiser to assess the property and establish a current appraised value. Most often the appraiser will use the Ccomparative Market Approach. This means finding recent sales of similar properties and comparing condition, amenities and location. The appraiser then must make appropriate adjustments - pool or no pool, three car garage or two car garage, updated features or original, etc. An appraisal is an opinion of value based on the current real estate market.
I believe that it is tough today to be an appraiser. First, there have been relatively few sales and finding similar properties can often be a challenge, especially since properties should be within a half mile to a mile radius from the subject property. Secondly, appraisers are now required to check for the existence of carbon monoxide detectors, pressure relief valves and other safety items. They also are required to measure the property, take photos and ultimately come up with the current market value.
An appraiser must also meet certain judgements such as that the real estate market is declining or improving or rising
Would you like to be the person making all these judgements?
Appraisals are a critical part of almost all real estate sales. When a buyer is obtaining a loan, the lender will hire an appraiser to assess the property and establish a current appraised value. Most often the appraiser will use the Ccomparative Market Approach. This means finding recent sales of similar properties and comparing condition, amenities and location. The appraiser then must make appropriate adjustments - pool or no pool, three car garage or two car garage, updated features or original, etc. An appraisal is an opinion of value based on the current real estate market.
I believe that it is tough today to be an appraiser. First, there have been relatively few sales and finding similar properties can often be a challenge, especially since properties should be within a half mile to a mile radius from the subject property. Secondly, appraisers are now required to check for the existence of carbon monoxide detectors, pressure relief valves and other safety items. They also are required to measure the property, take photos and ultimately come up with the current market value.
An appraiser must also meet certain judgements such as that the real estate market is declining or improving or rising
Would you like to be the person making all these judgements?
posted by shirley harry at 8:19 AM
0 Comments:
Post a Comment
<< Home