Another critical element necessary in the home buying and selling process includes an appraisal service. Ultimately, an appraiser determines an unbiased real and fair value of the property being purchased/sold.

Typically, the buyer pays for the report and the lender hires an appraiser. Appraisers need to perform some detective work to accomplish their goal of placing a value on a property. They must research many elements –

• Neighborhood comps. Knowing the surrounding property values help place a reasonable estimate on the location in question.

• Square footage. Determining livable space is an important piece of the appraisal process.

• Potential noise levels. An airport down the street or a railway in the backyard is a perfect example of how an appraisal could be impacted due to excessive and unwanted noise levels.

• Property views. Looking out the window at a wooded lot vs. the next-door neighbor’s brick wall would affect the decided value.

• Condition of the exterior. The property’s exterior impacts the value an appraiser will assess.

• Interior condition. Like the outside, knowing the condition inside can cause the final value to change.

An appraisal report will be provided back to the lender anywhere from two days to two weeks or more following the investigation.