Learning the true value of the property prior to the purchase or the sale can relieve much anxiety. The home owner can find that the dream can become a nightmare without the protection of an accurate and objective appraisal by a professional real estate appraiser. Most purchasers believe that they have been protected when they go to the final closing, assuming that a professional appraisal has been made. Recent changes in the mortgage lending rules governing who can do an appraisal, and if an appraisal is even needed, have changed the way Americans buy and sell their home. Appraisals are often ordered by lenders, not the consumer.
New rules allow for a limited form of reporting, often something as simple as a drive-by evaluation.
The consumer may be paying for something far less than a professional appraisal. The consumer must be prepared to ask a few questions before agreeing to pay for a report that may be worth little. A complete appraisal takes into consideration the many factors that determine the value of a property. It is performed by a State Certified or Licensed Appraiser. Ask the loan officer what type of appraisal you are receiving and the qualifications of the person preparing the report.