Home Value, Appraisal, Assessment – Which One is Right For You?

As you get curious about your home value and start to do a little research online, you probably see a lot of different terms thrown around: home assessment, home appraisal, comparative market analysis, property value, home value, etc. They all kind of sound the same, but actually hold some basic differences.

First off, home value and property value can be used pretty much interchangeably. Property value just sounds more encompassing because it includes the land on which the house is located. Home value should take into account the same thing, it just sounds like it only deals with the house itself.

Getting a home appraisal or assessment does give you your home value, but it comes from 2 different entities with 2 different motives. An appraisal is something you pay to get done – you higher a (hopefully) neutral third party to evaluate your house and come up with an accurate home value. In most cases, to qualify for any kind of home equity loan, you must have a home appraisal done. It’s most often done after improvements are made to a home.

An assessment on the other hand, is when the government (usually the city or county your property is located in) assesses your home value in order to determine how much property tax you should pay. Most governmental agencies do home assessments every 2 to 4 years, but that span can vary from area to area. In some areas you may never even know your home was reassessed because the government will base the home value on property sales records, age, condition, size and other factors of the home. In other areas officials will send a notice that an assessor needs to see the inside of your home to see if any improvements were made which may affect the home value.

Every governmental agency offers a window in which you can dispute their assessment of your home value. Some homeowners want to see an increased assessment because they may be considering selling, they have plans for a home equity loan, etc. Other homeowners prefer their home value to remain pretty static if not lowered when assessment time rolls around, so that their property taxes won’t sky rocket.

Keep in mind, an ASSESSMENT will ALWAYS affect your property taxes, where as paying to get an appraisal of your home value won’t necessarily do so because the government may never know about it. The two can also be used hand in hand. For example, if you think the government assessed your home value too high, you can pay for an appraisal that might lower your home value and therefore your property taxes. Of course, you do run the risk that the appraisal may wind up being similar to the government’s assessment.

Another term that is often used along with home value, assessment and appraisal is a comparative market analysis or a CMA. Getting a CMA done adds yet another third party to your home value search: a real estate agent. A CMA is an informal assessment of a property’s market value, usually done to generate a fair listing price if a home is selling. Real estate agents figure out your home value by comparing it to similar properties that have sold in the past year. For more accurate home value information, real estate agents will visit the property and do their version of an appraisal and than adjust the price based on similar homes that sold and come up with a comparative market analysis: basically, what you could expect to get your home for if you put it on the market.

There are many different ways to get an accurate home value, but the way you go about it should be determined by what exactly you want it for. If you’re thinking of getting a home equity loan, go for an appraisal. If you think your property taxes are too high, you may want to contact a governmental assessor AND and appraiser to get your home value in case you need to dispute the government’s assessment. On the other hand, if you’re thinking of selling, or you’re just curious and looking for a free home value report, go with a real estate agents.

There are plenty of sites online that offer free home value reports and get you hooked up with a Realtor. You don’t have to be selling, just willing to talk to an agent who is then going to follow up with you from time to time in an effort to win your business. Their home value report will be just as accurate as an assessor or appraiser, and if you play your cards right you might get some freebies from a real estate agent, along with that home value report you ordered!

Find out your own home value and other valuable homeowner information at GetMyHomesValue.com

Ashley Lichty is a webmaster and the resident SEO of Web Xtreme, Inc. She has a background in real estate and marketing with an emphasis in writing.

Article Source:
http://EzineArticles.com/?expert=Ashley_Lichty

Related Home Value Fl Articles

Is Your Home Value Decreasing?

With all the recent hubbub about the state of the real estate market, you’re probably more curious than ever to know your home value. There are several factors contributing to this fall in the market, and there isn’t really much homeowners can do directly about falling home value prices and decreasing property values. If you’re considering moving, don’t get hung up on how lousy the market may be doing or what a crappy time it is to sell (which isn’t necessarily true). Instead, focus on the factors of your home value that you CAN have some control over, and that could be seriously decreasing your home value.

First off, don’t think just about the home value, but the property value as well. That includes the home and the total of any land. You have to take into account home value AND property value – you may have the biggest, baddest home in the area, but if it’s surrounded by weeds and cars on cinder blocks, you’re asking for the total home value and property value to be lowered.

Home value isn’t just based on the physical factors within your property, but on the desirability of the home and neighborhood as well – is it a place that other people would want to live? The more desirable a home, the higher the home value and the higher the likelihood of finding homebuyers easily. Unfortunately, if you’re trying to sell your home, it’s not just your property that is on display to prospective buyers, but your whole neighborhood.

There are 5 main factors that can go a long way to increasing or decreasing your home value:

1. Condition of homes – your home may be well-maintained, but what about other houses in the neighborhood? Do your neighbors keep up on repairs and landscaping, or are their broken shutters and junky lawn bring down your home value as well as theirs?

2. Condition of streets – does your city/county/homeowners’ association take care of the streets, keeping them clean and in good repair? Do they drain water well and are they plowed often in the winter? Being surrounded by shoddy streets is a sure way to bring down your home value. If your streets aren’t up to snuff, you can contact your homeowners’ association or the proper authorities and see what you can get done about it.

3. Crime – how does your neighborhood statistics stack against other areas’. Obviously, the more crime-free the neighborhood, the higher the average home value is bound to be.

4. Schools – the state of the schools in your area has a huge affect on peoples’ decision to move in or move out. The better the school system, the easier it is to get people moved in the neighborhood, therefore the higher your home value can get. The crappier the school system, the less likely you are to get a ton of people trying to move there.

5. Zoning – what is the future of your neighborhood? Is it pretty much going to stay small and quiet, or might the city widen the streets to allow more traffic, or build a shopping strip across the street? A home may have a higher home value when it’s first bought because it has wonderful views – but if zoning allows that view to be turned into a strip mall, you’ve lost an edge in the market and your home value is bound to be affected.

These 5 factors affecting home value may seem like they’re out of your hands, but in reality, they are all things you can have a say in by getting involved with your homeowners’ associations and keeping on top of any changes going on in your neighborhood. By becoming a more active member of your community from the start, you can keep an eye on these factors and enact change when necessary, especially if you get backing from others in your neighborhood.

The fact is, you can’t really do anything about home loan rates, or an economic slump, but you CAN get involved with these factors that affect your home value. If you keep your eye on them from day one, you’re more likely to have a bit more control over your home value and property worth.

Find out your own home value and other valuable homeowner information at GetMyHomesValue.com

Ashley Lichty is a webmaster and the resident SEO of Web Xtreme, Inc. She has a background in real estate and marketing with an emphasis in writing.

Article Source:
http://EzineArticles.com/?expert=Ashley_Lichty

Boosting Your Home Value – 7 Cheap Tips

Whether you want to boost your home value because you’re selling or just for the heck of it, one thing usually comes to mind: cost. How much will it cost to get my home value up and will the improvements be enough to boost my selling price? If you’ve got lots of money, great, you can renovate the whole thing to increase your home value, add another bedroom and bathroom, get all new appliances, replace the siding etc. Those are the major (and costly) things you can do to increase your home value.

Most of us however, are on a budget, especially when it comes time to move to a new home. There are a few cheap tricks you can use to help increase your home value without putting a huge dent in your savings.

1. USE your real estate agent! Technically, they don’t get paid till you actually sell your home, but they will wind up making quite a bit of money off you, so put them to work! Have them do a walk through of the home and point out things that may affect your home value. They are the experts after all and can tell you what kind of things will boost your value the most. Some improvements can actually detract from the value of your home, but a real estate professional can give you hints on what to work on and what to leave along.

2. Focus on your kitchen – it still tends to be the heart of the home and potential buyers usually check it out first when viewing a home for sale. For a couple hundred dollars, you can certainly spruce of the kitchen to increase your home value: spring for new sink faucets, repair any squeaky or off-track drawers and cabinets, replace old and worn cabinet handles, etc. If you’re really handy, you can even refinish the cabinets yourself.

3. Check out your floors and walls – if your hard wood floors are scuffed, buff ‘em. If your carpets are stained, get them professionally cleaned. If your walls are scuffed or paint is chipped, re-paint them if necessary, or just wash them! A Mr. Clean Magic Eraser can go a long way to cleaning up walls. It’s not always good to outright replace flooring or carpeting or paint your walls, as some potential buyers want to be able to do their own renovations to a home they purchase.

4. Be sure to replace anything that is broken, or just looks old and decrepit. Not only does this help maintain your home value, but it shows buyers that the home is maintained and well cared for. This includes doorknobs, light fixtures, light switches handles, etc.

5. Bathrooms are another important feature buyers tend to look at, and which can definitely affect your home value. You can spruce it up relatively cheaply by replacing the old floor with new easy-to -apply vinyl flooring – you don’t even have to take up the old floor, just install the new floor right on top of the old one. You can replace worn or cracked toilet seats, re-grout the tile and even replace an old sink with a pedestal sink for a relatively low price. Fixing up the bathrooms of your home is a great way to up its value.

6. Possibly the most important and overlooked aspect of raising your home value and getting a buyer will to pay market price is CLEANLINESS! Before even thinking about showing your home, you should do a THOROUGH scrub down, from top to bottom. Trash extra clutter, sweep and vacuum floors, dust EVERYTHING, clean ceiling fans, window sills, wash the drapes, dust the furniture, get into every crevice of your house. While just cleaning may not do a whole lot to raise the home value, it does go a long way to getting the home SOLD. Buyers want a home that is relatively clean to move into – no one wants to spend their first day in a new home thoroughly disinfecting everything.

7. Last, but DEFINITELY not least is focusing on curb appeal. Once you’ve done everything you can to the inside of the home, it’s time to step out front. A poorly maintained and junky lawn can not only decrease your home value, it will also discourage potential buyers from even taking a look inside the home. Landscaping is an important consideration when you are deciding to purchase a new home. Get your hands dirty by cleaning up any junk and trash you have littering the outside of your house. Prune the hedges and trees, mow the lawn and clean away any dead plant life. If your lawn has bald spots or dead grass, consider either planting shrubbery there or laying grass seed. When it comes to the outside of your home, a little effort can go a long way!

Those are just a few relatively cheap and easy ways to increase your home value. Of course, it all goes back to number one – using your real estate agent to determine what improvements will be the most beneficial to boosting your home value and getting your home sold faster. Of course, if you’re just looking to improve your home and not necessarily sell anytime soon, you may not have a real estate agent, but that doesn’t mean you can’t use one! Real estate agents are ALWAYS looking for potential business and therefore usually willing to help out what could be potential clients. Even if you won’t be selling for another 3 years, start shopping around for an agent to do a walk through of your home and give you some advice. That doesn’t mean you have to list with them! (But they don’t need to know that.)

You can also take advantage of websites that will give you a free home value report, and many of those sites will actually connect you with a local real estate professional. Take advantage of that by having the agent come out, look at your home and give you some more advice on increasing your home value!

Find out your own home value and other valuable homeowner information at GetMyHomesValue.com

Ashley is a webmaster and resident SEO at Web Xtreme, Inc in Lancaster PA. She has a background in real estate and marketing.

Article Source:
http://EzineArticles.com/?expert=Ashley_Lichty

How could a “staff appraisal” exercise confer any value on an organization ?

Question by secret_schizoid207: How could a “staff appraisal” exercise confer any value on an organization ?
You’d be mad to commence the exercise without knowing what findings you wanted to obtain. Therefore the exercise would be purely cosmetic. Therefore the organization would move to tweak the numbers to achieve the desired result.

Best answer:

Answer by Froggie
Absolutely correct :)

Add your own answer in the comments!

What does “assesed value” on my property taxes mean?

Question by Double R: What does “assesed value” on my property taxes mean?
I am looking at my property taxes statement and it shows how they calculate my taxes. It has my Market Value at $ 876k, and my assesed value at $ 161k. What is “assesed value”? My property is worth much less than the $ 876k they say but $ 161 would not even make sense. My property was appraised at $ 460k. Someone please help me understand this. I live in NY if it helps.

Best answer:

Answer by hrblockerrolquinn
Dear DR: There is a great article at www.mkemortgage.net on NY assessed value vs market value.

Basically the assessed value is a number put on your property for tax purposes only. It is relative and should be fairly distributed among the neighborhoods.

This advice was prepared based on our understanding of the tax law in effect at the time it was written as it applies to the facts that you provided. Click on my profile to read more. Errol Quinn Enrolled Agent Master Tax Advisor

Give your answer to this question below!

How To Value Jewelry From Home Or Work.

How To Value Jewelry From Home Or Work.
Jewelry Appraisal Ebook(r) Home Study Course Has Been Designed By A Qualified Gemologist And Former Member Of The Valuers Council, To Step Anybody Through Worksheets And Examples Using An Antique Sapphire And Diamond Ring On How To Value Jewelry
How To Value Jewelry From Home Or Work.

Get Landscaping Ideas & Plans
Discover Over 65 Beautiful Landscaping Ideas & Tips To Increase The Value Of Your Home Up To 20%. Get Started This Weekend!
Get Landscaping Ideas & Plans

Nlpself Home Study Course
Learn Nlp, Hypnosis, Coaching At Home. Offers Massive Value And Delivers. This Course Is So Good, Others Are Copying It. See For Yourself! Top Performers Only. This Is A Hot Product That Will Reward Your Full Effort.
Nlpself Home Study Course

My parents house burned down today. My dad has “replacement value” home insurance. Pls read the text….?

Question by : My parents house burned down today. My dad has “replacement value” home insurance. Pls read the text….?
My folks like in Austin, Tx. and the neighborhood where they live had a humongous fire tear through it burning down at least 40 houses, probably much more. My dad has “replacement value” home insurance, but how do they decide what the value of the house is? He bought the house for around 250k, but it is now worth much more. The last appraisal they had was around 450k, but it likely was worth much more at the time it got destroyed. So, how do they decide how much to pay out? Does the insurance company use the last appraisal, or do they determine the value right before it got destroyed? Or will they just rebuild the exact same thing in the exact same spot?

I own a house in hurricane-prone Houston so I should get some more insurance for my house too. Right now I just have enough to cover my mortgage but damn, these things can hit you fast!!!
It was a natural brush-fire that was escalated due to winds from the tropical storm in the gulf-coast region. There are hundreds of them across texas right now.

Best answer:

Answer by Ed Fox
A fire is not a natural phenomenon like a hurricane or tornado. A fire is something that is started, usually by a person and only very very occasionally by extra-hot weather conditions.
If the fire you are referring to was indeed set deliberately as a malicious act, there will need to be investigations of both arson and attempted murder

What do you think? Answer below!

The Value of a Home Appraisal

 

Unless you are a professional real estate broker with a degree, you may only have a small idea about what happens in a typical real estate exchange. A person could get really confused when a realtor starts throwing out terms like “terms of loans”, “exchange process”, “investments”, “ARM’s” and the processes that come with buying or selling a home. A homeowner or home buyer who is researching these and many other terms may forget a key element in the selling or buying process. And that is making sure you get an accurate appraisal. This article will outline the key elements and the importance of an accurate appraisal process. Maybe it will help you find the right market for your home.

First off, an appraisal is basically a trained opinion about a property. Remember, everyone is trained differently so the appraisal decision can vary substantially. Some people are color-blind, which makes them see things differently than others. With an appraisal, several factors determine what that opinion ultimately is. In the end, the appraisal will conclude (hopefully accurately) what the market value is of your property. Sometimes the final figure is not well-defined. A well-trained appraiser will know where to find someone who can judge accurately different parts of the proper to make an accurate determination and opinion of what the property value is in your market area. This is where a home inspector enters the equation. This professional is trained to unveil areas that have been, shall we say, swept under the rug.

Every mortgage company requires an appraisal before they decide terms of a pending loan. Sometimes an appraisal may even be required during the property insurance process. An appraiser will view several external factors that relate to the property in his quest to determine his most accurate opinion.

Various factors affect the housing market and an appraiser’s estimates will most likely be based on these factors. An appraiser will take into account the neighborhood and recent home sales of properties similar to yours.

By receiving an accurate appraisal, you will gain valuable information in knowing the value of your home, the outside factors that determine that value, and your own needs. This opinion will help you find ways of increasing that value plus it will help you determine when it may be a good time to sell.

Bryan Missey is the author of hundreds of private label rights articles like this one, which are available at www.honestplr.com. If you are looking for great content for your website, check out the latest article sets Bryan has to offer at www.honestplr.com.

Related Blogs

Home Appraisal – Determining the Home’s Value for a Short Sale Package

One of the most important aspects of the short sale business is determining the value of the property you have under contract. It’s impossible to formulate your offer to the short sale lender without knowing the home appraisal value of the property you are interested in. Likewise, knowing the appraisal value of the property is just as important to the loss mitigator at the bank. The loss mitigator must establish an appraised value for the short sale property so he has a baseline price for negotiation. The appraised value of the property establishes the playing field on which we negotiate the short sale price of the property.

Getting Property Comparisons

The best way to determine the home appraisal value of a property is by using property comparisons (comps). Look at the properties in the same area of the short sale property.

You can get these comps with a little effort. There are a few ways to find market value comparisons for your area:

• Subscription programs (one is Haines, a subscription service on disc)
• Multiple Listing Service (MLS) if you have access
• Network with a realtor who can pull comps for you
• Free comps services on the Internet

It’s not recommended that you use the free market comparison services found on the Internet. These free services are worth about as much as you pay for them. If you have to spend some money getting comps, that’s a good thing. It means that someone is actually doing research behind the website or program.

Finding Home Appraisal Value: An Example

A busy real estate investor may outsource their home appraisal needs to another company or a certified FHA appraiser.

When a deal comes in the real estate investor will email the FHA appraiser, the address and owner’s name. In about 24 to 48 hours the appraiser will send back a limited desktop appraisal with three comparison prices on other similar sold properties and the market value that the appraiser has determined for the property that the company is interested in. The appraisal may also include some additional information and a map.

This appraisal gives an idea of the market value of the property in comparison with other distressed properties in the area. When looking for comps, don’t look for sales of well maintained properties, instead look for comparisons of other properties in foreclosure, REO properties, or corporate-owned properties.

Be Prepared to Pay for it!

Companies spend money getting their comps because they want good, accurate market value comparisons. When you are figuring the budget for your short sale business, remember to allocate some funds to pay a company or a certified FHA appraiser for that home appraisal. It’s well worth it to pay for a home appraisal so that you have accurate comps from third person parties or neutral parties outside of your short sale deal. You present their appraisals as objective evidence to convince the bank to accept your short sale offer.

Factoring in Cost Estimates for Repairs

The physical condition of the property is just as important as comps in a home appraisal. See if there are any repairs to be made on the short sale property. Make notes of what’s wrong, take photos, and get construction estimates for the cost of repairs.

When you do your cost estimates remember that the bank will be making the repairs, not you. Get cost estimates from a general contractor the bank would typically hire.

The best way to get cost estimates for your home appraisal is to hire a certified home inspector. You can look one up in the yellow pages. There’s also an organization called the National Association of Home Inspectors (NAHI). NAHI has high standards and finding a home inspector affiliated with this organization is a good way of making sure you get a thorough inspection.

A typical home inspection can take two and a half to three hours. The inspector gets up on the roof, checks the crawlspace and goes over the home with a fine-toothed comb. On completion of the home inspection the inspector hands over a report that can be 20 pages with detailed information about the property defects. Home inspectors may also takes photos and provide detailed cost estimates.

Paying a home inspector to get cost estimates is a great way to calculate the home appraisal value for your property. You’ll know exactly what’s wrong with that house because you’ve gone to a neutral third party expert.

Getting the Cost Estimates: An Example

Dan Shields is a typical home inspector. He’s a member of NAHI and does all of the home appraisal evaluations and repair estimates for many investors.

Dan states that a home inspector will start an inspection from the outside of the property to get a look at the big picture. He’ll check the roofing, gutters, siding, and windows to make sure they’re properly installed and flashed. He will also check out porches, columns, etc.

From there the home inspector enters the home for the interior survey, to document built-in amenities, appliances, and flooring. He will next go to the mechanical room and check the heating/cooling package and plumbing. Finally, the home inspector will check the attic and find the insulation factor for the short sale property, literally working from the ground up on the home inspection.

A Broker’s Price Opinion Value

When you complete your home appraisal and submit the short sale package to the bank you will be assigned to a specific loss mitigator who will want to determine their own estimate of property value.

The loss mitigator orders the bank’s appraiser to go look at the property and get a broker’s price opinion (BPO) or market value. Sometimes it’s done by a realtor, sometimes an appraiser. It’s your job to be the contact person that the appraiser goes through to get into that property. It’s very important that you meet the appraiser at the property to convince him your home appraisal value is about the same as the BPO value.

When you meet with the bank’s property appraiser let him know the property is in foreclosure and that you’ve been working with the seller to try to do a short sale with the bank. Get that point across immediately.

You don’t want the meeting with the bank’s appraiser to be a confrontation. This is first impression time, so just be yourself and let your personality shine. Shake hands with the property appraiser. Get to know him for the five minutes before you start shoving your material on him.

The whole BPO process will probably take less than 15 minutes. You have 15 minutes to let your personality shine so make it your best effort.

During the BPO

When you go out to these appraisals, take three things; a copy of the Real Estate Purchase Contract with your offer amount, your market value comparisons and a copy of your home inspector’s report

Try to present the material in a conversational tone. Ask if he’d like a copy of the offer you have made on the property and so on. If it’s an appraiser, he will always want a copy. Realtors are a different story—you can never tell what they’re going to take. Just ask and see what he’ll take from you. An appraiser will always take the property inspection report because it’s a good, neutral indication of property damage.

Let the appraiser know that your Purchase Contract has been at least preliminarily accepted by the bank and that’s why he is appraising the market value. You’d be surprised how often the bank’s appraiser doesn’t even realize the property is in foreclosure.

You also want to share comps with the home appraiser. Most of the time, appraisers have pulled comps before they go out to the property, so you may be able to share comps to get an idea of the BPO. Make sure the appraiser knows about specific problems with the property such as; mold, termites, or foundational problems that are not readily apparent. This is something the appraiser won’t spot during his 15 minutes with the property.

Once you get these three documents into the hands of the bank’s home appraiser chances are higher that the bank’s BPO comes in close to your home appraisal value. When you get a good home appraisal value and cost estimates on that short sale property. You’ll have armed yourself with the best tools in convincing the bank to accept your low short sale offer.

Pick up more information about real estate shortsaling at Real Estate Investor.com. This is the place to go for the latest real estate news and advice. You’ll find a network of other real estate investors ready to help you out, along with free articles, blogs, contracts and documents for your use.

Colin Egbert is an experienced
Real Estate Investor with plenty of short sale techniques to aid fellow investors in their quest to succeed and make huge profits. He’s the author of the ebook “Getting Started with Short Sales” providing the tools needed to start your own real estate investing business. Colin is also the CEO of Realestateinvestor.com a website dedicated to helping investors make the most of their business.


Related Blogs

Providing QUALITY appraisals to our
clients for over
40 years!
LiveZilla Live Help

RSS Feed
727-867-9696 (Office)

Appraisal Services

We specialize in all
areas of Residential
Appraisal including:

  • Bankruptcy
  • Divorce
  • Correct Listing Price
  • Estate/Probate
  • Expert Testimony
  • Insurance
  • Tax Dispute
  • Lawsuits
  • Mortgage
  • Buy/Sell Valuation
  • PMI Removal
  • Charitable Contribution
  • Liquidation
  • Bail/Bond
  • Partnership Dissolution

Contact Details

If you have any questions about our services or programs, don't hesitate to call or send us an e-mail.


727-867-9696 (Office)
727-867-9598 (Fax)

Mortgage Rates


Join Our Email List

Enter Email Address Here:
We respect your privacy. We will NEVER share your email address!

Categories

Archives

Meta