If you’ve been looking at home appraisers in California lately for your real estate goals, you must have found yourself asking this question: what is a home appraisal? How does it work?
Especially for people who’re refinancing or buying a house in California through mortgage, the home appraisal process becomes imperative.
The Factors that Go into Consideration
Home appraisal isn’t a simple process—although it does sound like that on paper. You might think it’s just a guy deciding what your house should be worth—and you think you could do that, too? Well, yes—but no.
A professional, qualified, certified home appraiser looks at several factors that influence the property’s value before deciding on this much-debated price, such as:
- Directional growth
- Neighborhood analysis
- Thoroughfare conditions—such as the general traffic congestion around the area, how far the nearest hospital is, etc.
- Plot size
- Obsolescence—external obsolescence is not desirable at all
- Building restrictions
- Tract layouts
- Square footage
Bear in mind that an appraiser will be looking at multiple factors and will be collecting the information they need from multiple sources which include:
- Local maps
- Population demographics
- Highway systems
- General planning and local zoning data
The whole process is quite detailed and might take more time than you originally thought it would—keep that in mind.
The Report Estimate
Once the appraiser has determined the value of the house you’re trying to buy or refinance, they’ll formulate a report for you. They’ll send this report either to you or to your mortgage lender. This evaluation report is based on market data and analysis, and helps your mortgage lender protect their investment.