Here is a fairly good, but very basic, understanding of how an appraiser sees things. This is overly simplified and of course there is much more that goes into a good appraisal that what is shown here; but they do make a very excellent point on making sure the appraiser is knowledgeable and familiar with your particular neighborhood. I am surprised they did not even mention "HVCC" (Home Valuation Code of Conduct) appraisals. I have beat this topic like a dead horse here on my blog site, so if you're interested to know all about HVCC just search through my blog archive to see the many articles and videos I have posted about it.
The appraiser here sort of touches on it, but could have brought the point home more clearly by specifically mentioning "cost vs value" in upgrades, updates that a homeowner does. For example just because you spent $40K on the garage project doesn't necessarily mean that equates to an automatic $40K increase in your home's value. Same as with the granite counter tops and other kitchen & baths improvements. The appraiser in this video makes an excellent point about being relative to other properties in your neighborhood. For example if you have granite counter tops, and everyone else does too in your neighborhood; then that update to granite counter tops you did probably isn't going to get you additional value on that appraisal....
(if video does not play correctly, switch video mode to HD in embedded player)
No comments:
Post a Comment