Appraisals refer to the reports indicating the market value of your house. The actual worth of a property is estimated with the help of the appraisals in case of buying or selling. Appraisals can be requested by either the buyer or seller to evaluate the true value of residential and commercial properties.
A lot of appraisal management companies (AMC) provide digital and onsite appraisal services. Metrowide Appraisal, for instance, offers home appraisal services with a high degree of accuracy and reliability.
However, a lot of factors may influence the valuation of your living abode. Check out the executable appraisal tips listed below to raise the worth of your property.
Why do appraisals matter?
When you mortgage your property to revive loans, lenders usually request appraisal reports stating the property’s true value. This helps them ensure fair assurance in case you fail to pay loans in the near future. This also means the lenders make sure they are not lending extra amounts than the price of your house.
Appraisals are also important for refinancing your home. Properties with high valuations get fair-priced interest rates when refinancing. In the case of house buyers, appraisals act as an assurance document against overpayment.
According to the market values, buyers usually request appraisals to check whether the house is suitable enough. Furthermore, home appraisals play a significant role in obtaining home insurance.
Simple appraisal tips to increase the house valuation
Here are a few tips you can work on to raise the valuation of your property.
- Examine issues in old appraisals
Note down all the troubles you have experienced while living in your house. Make sure to include both interior and exteriors while recounting the issues.
Additionally, if your house has been appraised previously and you have a copy of the appraisal report, review it to examine what reduced the valuation of the house. Generally, appraisals longer than 90 days are considered quite old.
In case you have such reports, you need to either update them within the specified time or request recertification and evaluation. But before you go for either of the options, make sure to fix the problems listed in the reports that decreased the valuation of your property.
- Improve the curb appeal of your property
Among the many factors that affect the estimation of the house’s true value, curb appeal is perhaps one of the most important ones. When a potential buyer or appraiser initially visits your house, the first thing that they notice is how your house looks from the outside.
This first impression is often a turning factor in addition to a well-maintained interior. Make sure your front door is in good condition, and there is no peeling, chipping, or fading paint. Trim overgrown plants and snip shrubs and bushes in the yard.
Remove the browning or dead plants and replace them with lush greens. Moreover, make sure not to invest in awfully expensive repairs as such investments don’t pay off in the long run.
- Repair and update interiors
While the exteriors play a huge role in determining the valuation of your house, the interiors are equally important. Look out for dents, protruding nails from furniture, chipping paint, and damaged doors and windows.
Try to fix these minor issues by caulking for holes and repainting the house. Make sure the colors you choose while repainting are lively and match your house’s structure and design. Furthermore, divide the upper and lower floors if your house is big enough.
Large property with poor distribution of space in the interiors is likely to be valued lower than a small property with the right portion of space.
If you have bedrooms or open kitchen spaces blending into one another, it is better to update your house with furniture or wall construction to divide the space.
- Deep clean your house before an onsite visit
Although housing aesthetics do not determine valuation officially, it is better to clean and declutter. Proper cleanliness ensures you’ve put enough effort into maintaining your house. This will create a good impression on buyers and appraisers.
Make sure to tidy up the interiors and exteriors. Clean for cobwebs, molds, mildews, debris, etc., that make your house look off-putting. Tidy up the bedrooms, bathrooms, lawns, garages, kitchens, etc., by removing unnecessary and old furniture, replacing trash cans, etc.
Ensure the sidings of doors, windows, etc., are not rusted. Spruce up the yards, porch, and driveway by power washing. Furthermore, you can clean for dust and dirt in the vents, installations, etc.
- Maintain right atmosphere
The right atmosphere is maintained by ensuring your house feels comfortable and safe. Make sure your interiors and exteriors align based on color themes to maintain the right atmosphere. Pick cool color tones with muted but not so dark colors while painting the house.
Put up matching blinds, curtains, furniture, etc., and ensure the house smells pleasant. Moreover, when the appraiser visits for an official inspection, do not tag along with appraisers everywhere they go and constantly praise the interiors or exteriors.
This will come off as a red flag, as the appraiser might believe something is off about the house.
- Gather important documents
The last before inspection is to gather all the receipts, documents, and records related to your house. For instance, gather previous sales price reports, property size documents, documents mentioning when the house was constructed, etc.
Keep all the receipts of any upgrades you’ve done in recent years, such as installing air cooling systems, thermostats, new furniture, sinks, countertops, and so on.
If you have fixed any imperfections such as blocked drainage pipes, replacing faucets, dishwashers, or recent construction altering the interiors, collect their receipts that cite the amount and date of fixations.
However, minor they may seem, these documents will add value to your house as the appraiser might see this as good maintenance of the house.
When choosing a contractor to repair and update your house, it is important to select reputed ones. Check out the credentials, experience, Insurance, and other important factors when selecting a particular contractor.
Do not fix repairs or update by yourself without adequate experience, as this may lead to last-minute failures before the appraisal visit and therefore reduce the housing valuation.