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I am often asked which homeimprovements “count” towards the appraised value of a house. Many people envision a list of improved items with predetermined relevancy, along with a specific dollar value assigned to each of those items. Chronological age refers to the actual age of the dwelling. it all counts!
Home Renovations and Appraisal Value As an appraiser, I get asked about how much value will be added for different types of home projects or renovations. The best way to look at home renovations is by considering the overall impact they will have on your home.
Like any other investment, you want to know its value with some reliable degree of accuracy. A home appraisal is an unbiased opinion of a home or property’s value. Real estate professionals or other appraisal experts can help you determine the marketvalue of your home.
Comparable Properties (Comps) Listings with similar specs — lot size, square footage, number of bedrooms and bathrooms, floor plan, and architectural style — as your home sold within the past six months are excellent points of reference when pricing your house. Search real estate listing sites to find suitable candidates.
For most loans, the lender obtains a signed and completed appraisal report that accurately reflects the marketvalue, condition and marketability of the property. They must take into account all factors that influence a home’svalue when developing the marketvalue opinion in the appraisal report.
A home equity loan lets you borrow money using the value youve built up in your home. This value, called equity, is the difference between what your home is worth and what you still owe on your mortgage. The interest paid on a home equity loan may be tax deductible if the funds are used for homeimprovements.
With the plethora of data available today, could an appraiser living hundreds or even thousands of miles away gain sufficient knowledge of local market conditions, trends, and regulations to produce accurate and reliable appraisals? And could it actually be a benefit to not live in the immediate geographic area?
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