What Happens during a Home Equity Appraisal?
The institution you approach for lending you money is responsible for the appraisal. It is completed by a certified or licensed appraiser. This alone costs you between $300 and $400. During the appraisal, the appraiser looks into the following factors checked regarding your home.
- Age of the Home: older homes need more repair and maintenance.
- Structural Improvements: this includes Remodeled rooms and additions.
- Size of the Home: this comprises of the bathrooms and bedrooms
- Features and Facilities: rooms with an additional feature on the wood flooring, like a swimming pool.
- The Situation of the Home: Is there a requirement for repairs?
- Similar Properties That Have Been Recently Sold: this includes those houses similar in size, and considers the location of the house.
A home equity appraisal is important for house buying business. Similarly, it is important for availing home equity loans. The lenders make sure that they are lending to people who have the capacity to repay their money.