What Do Home Appraisers Look For?

A home appraisal can be needed for various reasons and is an important part of any real estate transaction. It establishes a fair market value of a home that can help with things like buying or selling a home. In some cases like divorce and bankruptcy, a home appraisal is often required.

Regardless of the reason, the homeowners who are getting a home appraisal often wonder what the home appraisers look for and what influences the value of their home. We are licensed home appraisers in Chicago. In this blog, we will share what we, or any other appraiser will look for while appraising a property.

Many homeowners think the home appraiser will point out defects or repairs needed in a home. Those things do influence the appraised value of a home, but that’s not the primary job of a home appraiser. That is the job of a home inspector. A home appraiser’s job is to evaluate the value of a property based on its current condition.

Key Factors Home Appraisers Evaluate

Following is a list of factors that a home appraiser typically looks for while evaluating a property. These are also the factors that increase or decrease the appraised value of your home.

Property Condition

The appraiser will look at the overall maintenance and upkeep of your home. Any apparent defects or repairs that may reduce the value of the home. A property that is well maintained will naturally increase the home’s value.

Size and Layout

Things like square footage, livable space, number of bedrooms and bathrooms, and the functional layout play a key role in determining the home’s value. More space and rooms means more value.

Location and Neighborhood

The location of your home can significantly impact the value of your home. This is especially true in Chicago where each neighborhood is unique. Your home’s proximity to schools, amenities, and transportation will impact your home’s value. Being close to shopping places will positively impact the appraisal value. The safety and desirability of the neighborhood also matter.

Another important thing that goes into determining your home’s value is the market trend and recent selling prices of homes similar to yours in the area. If the house prices have gone up since the last appraisal of your home, the new appraisal may come out higher without any changes to the home itself.

Upgrades and Improvements

Any recent improvements to your home, such as a kitchen or bath renovation, new appliances, or new lighting, will bump up the appraised value. Any major improvements, like a roof replacement, will significantly increase your home’s value.

These will probably be the main factor in increasing your home’s value since the previous appraisal. If you are the homeowner, we recommend that you have a list of all the improvements made to the property since you purchased it handy when the appraiser visits your home. This ensures that the appraiser has everything they need to know to accurately appraise your home.

Even small improvements can add up. However, keep in mind that smaller improvements will lose their value more quickly than major ones. So, if you repainted your home 2 years ago, that probably won’t have much effect now.

Curb Appeal

Landscaping and outdoor maintenance of your property will also play a role. Well-maintained front yards will bring up your home’s value. Be sure to have well-kept plants and a mowed lawn before your scheduled appraisal.

Driveways, walkways, and the overall exterior appearance of your home are important as well. These things also help put up a good first impression on the appraiser.

So, there you have it. These are some of the main things an appraiser will look for while appraising your home. Since you are reading this, we assume that you are gonna get a home appraisal soon. If you haven’t already found a home appraisal company, be sure to give us a try. We have been in the industry for over a decade and worked on thousands of appraisals.

Feel free to contact us for a free quote and with any questions you may have.