Hi,
I am in the process of refinancing my home, I live in a townhome community. The finance company showed said my homevalue is valued at 185,000. but they need to send a appraial company out to get there say. I looked at the last 6-12 months what the units sold for anywhere from 181,000-190,000. Now my question is that there is 3 units that are up for sale and the asking price is at 167000-172000. what would the apprasial company look at.
2007-01-13 04:09:59 · 9 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
We look at not only what has sold ,but the pattern of sales. If the properties are moving up or down in value. We also look at what is listed in the area for sale(we are required to do this). marketing trends are one of the parts of an appraisal.The fact that there are comparable sales in your range is good. The fact that there are ones listed lower than you range indicates they are below market or that the market is starting to slide backwards.The sold comparables have the major weight though.
2007-01-13 05:27:38 · answer #1 · answered by lumberman57 4 · 2⤊ 1⤋
An appraisal is meant to reflect what someone should be able to get for their home in the current market. In general, this means using comparable sales, ones that have actually closed.
But, if current listings show that there is no chance of getting the same price, a good appraiser must take that into account. It's a bit of a gray area, since sold comps should carry more weight that current listings, but it shouldn't be ignored.
And you are probably hoping for as much cash out as possible, and want the highest value possible. Considering your townhome is probably only worth $170K right now, if you take out $185K you'll be upside down for at least 3 years. And after selling costs, it will take you 5-7 years before you can afford to sell.
Proceed with caution.
2007-01-13 08:09:24 · answer #2 · answered by Anonymous · 0⤊ 0⤋
in maximum circumstances, value determinations are valid for below one hundred twenty-a hundred and eighty days. interior of a year, the appraiser can bypass out, reinspect the valuables, and recertify the unique appraisal. they'd desire to be limited in time, simply by fact values exchange over the years. In some markets, values have dropped 15-30% considering final year. The banks would desire to be responsive to that, and so do you, considering you relatively do not prefer to finally end up financing better than your house is worth. A notice of warning. Many lenders doing HELOC's will purely use an AVM, automatic valuation modules. automatic appraisal. that's staggering, simply by fact they are super-low-value, and the financial company will possibly not even value you for it. yet, they at the instant are not continually extraordinarily precise, and you'd be able to desire to finally end up the different way up. That got here approximately to somebody in this talk board presently, the different way up by roughly $40 5 grand. OUCH. greater advantageous to pay $350 and ensure you're coping with precise numbers.
2016-10-19 22:29:29 · answer #3 · answered by woodworth 4 · 0⤊ 0⤋
They don't care about what is for sale, only SOLD within the last 6 months. Even 7 months is too long ago and is not in the equation. They are coming in to look to make sure your home is in average condition, there is nothing that will prevent it from selling in case they have to foreclose.
2007-01-13 06:44:47 · answer #4 · answered by Anonymous · 1⤊ 1⤋
The most recent comparable units that have sold. But they will also look at the property individually, to see what it has that other towhomesmay not.
2007-01-13 04:16:32 · answer #5 · answered by moonman 6 · 0⤊ 0⤋
I refinanced a couple of years ago...and, they sent out an appraisal co. (which padded the bill)..and, what the appraisal co. looked at were houses in the area that sold for what my house was worth at that time...so, the asking price...of these other units probably wouldnt apply...
good luck
2007-01-13 04:19:42 · answer #6 · answered by Winters child 6 · 0⤊ 1⤋
The appraisal does take into consideration what the other units are selling for, it is called comps. They will also look at yours individual and then it gets averaged out.
2007-01-13 04:22:08 · answer #7 · answered by CJ 2 · 0⤊ 1⤋
The appraisal company looks at what property has sold for not what they are asking for.And the properties have to be almost exactly the same as your home.
2007-01-13 04:32:22 · answer #8 · answered by Sheilah b 2 · 0⤊ 2⤋
They normally base values on what comparable homes sold it. It doesn't matter about asking prices.
2007-01-13 04:19:00 · answer #9 · answered by Faith 4 · 0⤊ 1⤋