Author: Mohamed T Gulamali
A home appraisal that is paid by the Buyer & ordered by the Lender is required when purchasing the property this will give a professional estimate of the current market value to ensure this is a good investment for both the lender as well as the home buyer it will also address if there are any safety concerns and if any repairs need to be made prior to closing.
Below is a FHA Appraisal Checklist along with Frequently Asked Questions.
FHA Appraisal Checklist (prior to appraisal):
How to increase home value for an appraisal:
What is a Home Appraisal?
It's a report that is a professional estimate on the value of a property in order to protect themselves and also ensure that the home buyer’s are not over paying for their house.
The appraiser will visit the home then write a report that will include an estimated market value of the home, as well as any required repairs.
What are the factors in determining the market value of the home?
They will look at comparable recently sold properties within the same area as the one being purchased considering factors such as: square feet; number of bedrooms; number of bathrooms; the location and age of the property; along with interior improvements. These facts about the house will then be compared with other houses that are comparable in order to come up with your home’s value.
FHA appraisals evaluate the value & also ensure the home is safe and secure for its occupants. If the appraiser flags certain issues within the home such as peeling paint, loose handrails, or other safety issues the issues must be corrected before the loan will be funded.
Information in this document is subject to change