Frequently Asked Questions

An appraiser offers a professional, unbiased opinion of market value, to be used for multiple real estate needs. 

• To get a loan.
• To reduce tax burden.
• To officially display the replacement cost of Primary Mortgage Insurance.
• To contest inflated property taxes.
• If you need to take care of an estate.
• To find a reasonable price when selling real estate.
• If you ever find yourself in a civil case.

Most states require that real estate appraisers are state licensed or certified. The state licensed or certified appraiser is trained to render an unbiased opinion based upon extensive education and experience requirements. To become licensed or certified, appraisers must fulfill rigorous education and experience requirements. In addition, appraisers must abide by a strict industry code of ethics and comply with national standards of practice for real estate appraisal. The rules for developing an appraisal and reporting its results are insured by enforcement of the Uniform Standards of Professional Appraisal Practice (USPAP).

Anytime the value of your home or other real property is being used to make a significant financial decision, an appraisal helps. If you're selling your home, an appraisal helps you set the most appropriate value. If you're buying, it makes sure you don't overpay. If you're engaged in an estate settlement or divorce, it ensures that property is divided fairly. A home is often the single, largest financial asset anybody owns. Knowing its true value means you can make the right financial decisions. 

The first step in most appraisals is the home inspection. During this process, the appraiser will come to your home and measure it, to determine the layout of the rooms inside, confirm all aspects of the home's general condition, and take several photos of your house for inclusion in the report. The best thing you can do to help is make sure the appraiser has easy access to the exterior of the home. On the inside, make sure that the appraiser can easily access items like furnaces, water heaters, attics & crawl spaces. 

In most real estate transactions, the appraisal is ordered by the lender. While the home buyer pays for the report as part of the closing costs, the lender retains the right to use the report, or any information contained within. The home buyer is entitled to a copy of the report - it's usually included with all of the other closing documents - but is not entitled to use the report for any other purpose without permission from the lender. Only the lender can provide you with a copy of the appraisal report.  

The exception to this rule is when a homeowner engages an appraiser directly. In these cases, the appraiser may stipulate how the appraisal can be used; for PMI removal, or estate planning or tax challenges, for example. If not stipulated otherwise, the homeowner can use the appraisal for any purpose.