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The goal is to make sure every adjustment is defensible, based on empirical evidence, and can withstand scrutiny from all stakeholders involved in the appraisalprocess. This is shorthand that every experienced appraiser knows and understands please dont @ me.
11 Helpful Tips For Choosing Comps Whenever I speak to agents about the real estate market and the appraisalprocess the one topic that the discussion always leads to is about choosing comps. Today I’m going to share my top tips for choosing comps from an appraiser’s perspective.
It’s important to understand that collaboration does not mean that both parties must work together so that the deal closes at the contract price no matter what. The appraiser must make sure that they are providing an impartial valuation so that the market value shown in the appraisal is as accurate as possible.
Appraisal Challenges: Listings that were priced using outlier sales can pose challenges during the appraisalprocess. Appraisers typically aim to find similar properties, or “comps,” that are close in location, size, and condition to the subject property.
Agents are looking out for the best interests of their clients and always want to sell their houses for the highest amount possible, however, unless a buyer is paying cash and does not need financing they will need to obtain an appraisal. If you have any questions feel free to contact me, I’d be glad to speak with you.
By bracketing the salient features of the house in the appraisal report, appraisers sometimes overlook the proximity and location factors. They lose sight of this important appraisal comp selection and often do not include them in the report, which warrants a revision request from the lenders and customers.
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